New Calamity Software Serves Insurance Industry

February 5 - Global warming and an increase in natural disasters are taking their toll on the insurance industry, with many companies having to pay out huge amounts for unexpected calamities.

A new product in the market that helps insurance companies calculate risks by simulating natural disasters has been introduced in South Africa. XTreme Loss Solutions recognized a niche in the African market and launched an innovative software platform that essentially helps insurance companies plan for worse case scenarios in case of calamities.

XTreme Loss Solutions has already developed an earthquake simulator for Africa, and is now rolling out plans for a new hail model to complement the first product.

Using thousands of satellite images, the hail model allows insurance companies to choose specific areas and simulate worse case scenarios. Users are also able to track potential damage to their own farms and property.

The company was founded by Riaan Botes who has many years experience in the reinsurance industry and thus understands how useful his product can be to local insurance companies.

The earthquake simulation model was developed for Kenya and designed locally, taking in a wide number of factors, including natural and man made elements (such as mining) and other characteristics unique to the African continent.

New legislation requires the all South African insurance companies to base their assessments for natural catastrophes on competent models. As there are no models available locally, XTreme Loss Solutions saw a gap in the market and started developing them as soon as possible.