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Newark, CA – May 6, 2020: The world is experiencing the extraordinary crisis of the COVID-19 pandemic, coupled with the never-ending climate crisis and escalating cyber threats. Markets, supply chains, economies, societies and assets can be highly susceptible to shocks and damage from these dynamically shifting risks, posing major challenges to understanding the impacts of these risks and to recovery. Today, at the annual Exceedance® conference, RMS, the world’s leading catastrophe risk solutions company, underscored the high cost that both acute and chronic risks pose while demonstrating that informed decision-making requires next-generation risk insights. To help address these challenges, RMS announced new model updates during the conference – focusing on infectious diseases, climate and cyber risk.

During his keynote presentation today, Mohsen Rahnama, Executive Vice President, Models, at RMS, compared lessons from COVID-19 to the response to climate change: “Over the last 120 days, every daily action has been critical to flattening the COVID-19 curve and has given us more data to gain insights into outcomes; similarly, climate change has gradually influenced risk over the last 120 years and will for the years to come. In turn, actions taken annually by companies and organizations will be equally critical to both understanding the totality of the risks and impacting outcomes. The effects span all parts of the insurance value chain from acute risks arising from catastrophic events, such as hurricane landfalls, to chronic risks, such as coastal flooding at high tide.”

In the same keynote, Pete Dailey, Vice President, Model Development, at RMS, stressed that science, data and models have together brought higher confidence to the relationship between climate change and insured perils. “One example is sea level, which we know, based on observations and physics, is rising globally and will continue to rise in the future. RMS is moving forward on two fronts: first, keeping cat models up to date with the latest in climate science, and second, developing new ways of projecting risk based on the future climate, in the near term as well as the long term. In addition, due to COVID-19, extreme weather events that occur this year, such as a major hurricane landfall, will potentially present a number of new challenges for insurers, such as with deployment of adjusters and claims processing, potentially while communities are social distancing. RMS Event Response services provide critical real- time insights for these types of events to help meet these challenges.”

Companies and governments are compelled to understand risks more deeply than ever before, and they need modern technology and the highest-quality, most-advanced models to accomplish this challenging task.

RMS has recently enhanced key models to help clients address the risks posed by these chronic and acute disasters.

  • RMS Infectious Diseases Model

    The RMS Infectious Diseases Model (IDM) provides a probabilistic view of loss that could result from a full range of infectious disease pandemics, including COVID-19, and epidemics ranging from influenza to Ebola. Updated most recently in the RMS LifeRisks® platform Version 2.7, the model captures the impact of infectious diseases on mortality and morbidity for multiple age groups in 59 different countries, and it considers the use of non-pharmaceutical interventions used to slow transmission throughout a population. Recent model updates capture improvements in global vaccine production and manufacturing capacity, the availability and efficacy of pharmaceuticals, country-specific pandemic response and the underlying health of an insured portfolio, leading to a better understanding of how different factors impact pandemic mortality. To assess the dynamic impact of the COVID-19 pandemic, RMS also offers projections on the number of cases, deaths and hospitalizations by region, accounting for regional mitigation measures. Clients can understand the expected impact of COVID-19 over a multi-month time horizon and get updated forecasts based on risk and response developments over time.
  • RMS Climate Models

    RMS offers robust analytics through a global suite of climate models for hurricane/typhoon, extratropical cyclone, flood, severe convective storm, winter storm and wildfire. Built on consensus science and recent empirical data, RMS models incorporate the most important aspects and recent observations around climate change to ensure a stable and dependable view of risk. New advancements with RMS Risk Intelligence™ and Risk Modeler™ 2.0 offer even greater flexibility and computational power for RMS models. Clients can analyze their book of business to measure current climate impacts including consensus trends due to climate change, leveraging either Risk Modeler 2.0 starting June 2020, their current RiskLink® solution or RMS Analytical Services. The results inform both expected and tail risks. The Europe Severe Convective Storm High Definition Models are the newest climate models to be added to the global climate model suite and are available through RMS Analytical Services now and on Risk Modeler 2.0 this summer.
  • RMS Cyber Solutions

    Initially released in February 2016 in collaboration with the Cambridge Centre for Risk Studies and eight insurance partners, the RMS cyber model has been well received in the insurance market. The very dynamic nature of cyber risk has translated to significant and regular annual improvements in the model since its very first release, most recently with the release of Cyber Solutions Version 4.0 in October 2019. Enhancements in Version 4.0 included exposure data enrichment, new hazard data, a cyber loss module and computation enhancements. RMS continues this trajectory and is making further enhancements in 2020 in its next release, Cyber Solutions Version 4.1, along with a brand new Cyber Underwriting capability, that includes rich new dashboards for simplified underwriting, which will be available by September 2020.

ENDS

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June 30, 2021
RMS Models and Services to Strengthen Asia Insights for Saudi Re

NEWARK, Calif. – June 30, 2021 –  RMS, the world’s leading catastrophe risk solutions company, and the Saudi Reinsurance Company (Saudi Re) announce a new agreement, with Saudi Re adopting RMS models and services for a more comprehensive view across the Asian market. The agreement will enable Saudi Re to enhance risk analysis across multiple geographies including India, China, and the Philippines. Saudi Re continues to grow its activities and client base in the Asian market, and is further enhancing its ‘in-house’ capability of assessing risks particularly in this expanding region. “Our clients know and expect the best insights, service and quality from Saudi Re,” said Fahad Al-Hesni, MD-CEO at Saudi Re. “The new agreement with RMS will help ensure the continued delivery of these standards, through applied use of leading science and technology. Being the first to acquire RMS models in the Saudi and Gulf Cooperation Council (re)insurance market, we expect that our use of RMS models will increase value, and ultimately profitability, to all our global clients when managing their risk.” RMS EVP Client Development Pat McCarthy said, “We are honored to be working with Saudi Re. With this deal, the reinsurance and insurance markets in the Middle East and Saudi Arabia are able to take full advantage of the latest science and technology to help navigate the evolving risk landscape. Our continued investment in our models and services aims to give Saudi Re full confidence that they will be in the best position to proactively support their own clients and goals.” END About Saudi Re Saudi Reinsurance Company "Saudi Re" is a Saudi joint stock company, founded in Riyadh in 2008 as the first reinsurance company established in Saudi Arabia. With offices in Riyadh (Saudi Arabia) and Kuala Lumpur (Malaysia), Saudi Re is one of the MENA regions leading reinsurers and has a diversified global portfolio which expands over 40 countries across the Middle East, Asia, and Africa. Saudi Re is A3 rated by Moody’s with a stable outlook.

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June 08, 2021
Version 21.0 of RMS North Atlantic Hurricane Models Certified by Florida Hurricane Commission on Loss Projection Methodology

Newark, Calif. – June 8, 2021 – Today, RMS, the world’s leading catastrophe risk modeling and solutions company, announced that Version 21.0 of the RMS North Atlantic Hurricane Models was approved by the Florida Commission on Hurricane Loss Projection Methodology (FCHLPM) on June 1, 2021, for use in residential rate filings with the Florida Office of Insurance Regulation. The certification applies to Version 21.0 hurricane models available on RiskLink® 21.0 and the Risk Modeler application on the RMS open cloud platform, RMS Risk Intelligence™. This multi-environment approval builds on the successes of the Version 18.1 FCHLPM certification in 2019, when RMS became the first catastrophe risk modeling and solutions firm to have its hurricane models certified for use simultaneously on both on-premises and cloud software. Matthew Nielsen, senior director, regulatory affairs, RMS, said: “Obtaining FCHLPM certification is a key milestone in the development and go-to-market process of our hurricane models. It underscores the continued quality and reliability of our North Atlantic Hurricane Models, based on industry-leading science, data, methods, engineering, and software. The certification also has implications for other regions, as many other states affected by hurricanes look to Florida’s model certification process as a first step for their own state approvals.” On May 5, 2021, RMS announced updates to Version 21.0 of its hurricane models. Informed by new data and learnings from recent impactful seasons, including more than US$6 billion in new claims data, the updated hurricane models allow RMS to continue providing the (re)insurance market with the most comprehensive view of the hurricane risk landscape. Jeff Waters, senior product manager, RMS North Atlantic Hurricane Models Suite, said: “The updates in Version 21.0 include the latest insights into current and evolving market conditions in risk-prone areas. For instance, recent changes to the statewide building code in Florida have extended the geographical applicability of roof replacement requirements throughout the state. Initial assessments suggest this may drive material increases on overall claim severity, because it means a roof that might experience as little as 25% damage is required to be replaced in full. In Version 21, alongside our reference view of vulnerability, we've introduced a new alternative view of vulnerability for residential lines in Florida to help clients understand the sensitivities of these potential impacts to their books.” Other enhancements in Version 21.0 of the RMS North Atlantic Hurricane Models include: Long-term event rates updates to incorporate two new seasons of hurricane activity (2017-2018) from the National Hurricane Center’s Hurricane Database (HURDAT2) data. New medium-term rate forecast for 2021-2025 informed by data-driven updates, including the latest historical Atlantic Basin hurricane data through the record-breaking 2020 season. New historical event reconstructions from recent seasons, including hurricanes Harvey (2017), Irma (2017), Maria (2017), and Michael (2018). Vulnerability updates in the Caribbean based on new claims data and learnings from the impactful 2017-2018 seasons. Mohsen Rahnama, chief risk modeling officer and executive vice president, models and data, RMS said: “As the 2021 hurricane season is now underway, it’s important to remember that hurricane is one of the biggest drivers of annual insured losses throughout the North Atlantic Basin. Version 21.0 of the RMS North Atlantic Hurricane Models incorporates important learnings and insights from the 2017 and 2018 hurricane seasons, including the most new claims data and event rates informed by data from the most recent 2020 season. These advantages help give (re)insurers a more comprehensive view of risk applicable at the point of underwriting through to portfolio management and risk transfer decisions."  The FCHLPM certification of Version 21.0 of the RMS North Atlantic Hurricane Models will be valid until November 1, 2023. Version 21.0 will be generally available on June 23, 2021, on both RiskLink and Risk Modeler simultaneously. Learn more about the RMS North Atlantic Hurricane Models here. The technology and data used in providing this Information is based on the scientific data, mathematical and empirical models, and encoded experience of scientists and specialists. As with any model of physical systems, particularly those with low frequencies of occurrence and potentially high severity outcomes, the actual losses from catastrophic events may differ from the results of simulation analyses. RMS SPECIFICALLY DISCLAIMS ANY AND ALL RESPONSIBILITIES, OBLIGATIONS AND LIABILITY WITH RESPECT TO ANY DECISIONS OR ADVICE MADE OR GIVEN AS A RESULT OF THE INFORMATION OR USE THEREOF, INCLUDING ALL WARRANTIES, WHETHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO, WARRANTIES OF NON-INFRINGEMENT, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. IN NO EVENT SHALL RMS (OR ITS PARENT, SUBSIDIARY, OR OTHER AFFILIATED COMPANIES) BE LIABLE FOR DIRECT, INDIRECT, SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES WITH RESPECT TO ANY DECISIONS OR ADVICE MADE OR GIVEN AS A RESULT OF THE CONTENTS OF THIS INFORMATION OR USE THEREOF.

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About RMS

Risk Management Solutions, Inc. (RMS) shapes the world's view of risk for insurers, reinsurers, financial services organizations, and the public sector. We empower organizations to evaluate and manage global risk from natural and man-made catastrophes, including hurricanes, earthquakes, floods, climate change, cyber, and pandemics. RMS models underlie the nearly US$2 trillion Property & Casualty industry and many insurers, reinsurers, and brokers around the world rely on RMS model science.

RMS helped pioneer the catastrophe risk industry, and continues to lead in innovation by offering unmatched science, technology, and 300+ catastrophe risk models. Leaders across multiple industries can address the risks of tomorrow with RMS Risk Intelligence™ (RI), our open, unified cloud platform for global risk, which enables them to tap into RMS HD models, rich data layers, intuitive applications, and APIs.

Further supporting the industry's transition to modern risk management, RMS spearheaded the Risk Data Open Standard (RDOS), a modern, open-standard data schema designed to be an extensible, flexible, and future-proof asset within modeling/analysis systems.

RMS is a trusted solutions partner, enabling effective risk management for better business decision-making across risk identification and selection, mitigation, underwriting, and portfolio management.

Visit RMS.com to learn more and follow us on LinkedIn and Twitter.

(C) 2021 Risk Management Solutions, Inc. RMS, the RMS logo, and RMS Risk Intelligence are trademarks of Risk Management Solutions, Inc. All other trademarks are property of their respective owners.

Media Contacts

Matthew Longbottom

PR Lead, EU and APAC
+44 20 7444 7706 prteam@rms.com

Devonne Cusi

PR Lead, Americas
+1 551 226 1604 prteam@rms.com
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