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    Parametric explained

    Parametric insurance, explained

    Plain guides to how parametric insurance works, the data behind it, and where it fits.

    Written for brokers, risk managers and anyone new to the market.

    Parametric basics

    • What is Parametric Insurance?
    • How Does Parametric Insurance Work?
    • Parametric vs Traditional Insurance
    • What is an Insurance Trigger?
    • What is Basis Risk?
    • Advantages and Disadvantages of Parametric Insurance
    • When Should You Use Parametric Insurance?
    • How Are Parametric Claims Paid?
    • What Makes a Good Parametric Trigger?
    • Frequently Asked Questions About Parametric Insurance

    Data and modelling

    • What Data is Used in Parametric Insurance?
    • Satellite Data in Insurance
    • Weather Data Explained
    • Earthquake and Catastrophe Data Sources
    • Index Based Insurance Explained
    • How Parametric Models Are Built
    • Why Independent Data Matters
    • How Trigger Calibration Works
    Trigger Parametric

    Specialist parametric risk solutions. Independent data. Precise structuring. Disciplined underwriting.

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    © 2026 Trigger Parametric Limited (FCA Firm Reference Number 1039945) is an Appointed Representative of I.M.S. (London) Limited, which is authorised and regulated by the Financial Conduct Authority (FRN 300186).

    Insurance products may be underwritten through the Trigger Parametric Cell of Opportuna Insurance PCC Limited, licensed in the Bailiwick of Guernsey and authorised and regulated by the Guernsey Financial Services Commission (GFSC) under registration number 2690930.

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