According to a recent industry report, these technologies facilitate the analysis of large datasets, leading to improved predictions of weather patterns.
[1] This advancement is important for weather insurance, as it aids in refining risk assessments and pricing models.
Weather cancellation insurance reduces an organization’s risk in planning an outdoor event.
This form of insurance is typically used by retailers to drive sales prior to national holidays such as New Year’s or 4 July.
If a car dealership wanted to insure a conditional weather promotion in which new car buyers would receive a rebate if at least 2 inches of rain fell at their location on the day after Easter, the client would need to contact the insurance company about two weeks prior to the peril date.