Alternative risk transfer (ART) was a key focus of last month’s Ferma Forum in Madrid, which brought together risk and insurance managers from across Europe.

It is becoming more challenging for governments to choose between the available financial instruments for disaster risk, which include parametric insurance, catastrophe bonds, contingent financing and debt clauses, according to the Centre for Disaster Protection (CDP).

Peak natural catastrophe perils are the focus of parametric risk transfer discussions ahead of the January 2025 renewals, as reinsurance buyers seek flexible alternatives to costly traditional layers.

From the University of California to farmers in Austria, many prominent examples of parametric risk transfer in recent years have been found in the primary insurance market. But the use of parametric triggers is also picking up in reinsurance, unlocking capacity to address needs that traditional solutions are unable or unwilling to meet.

The parametric market uses a variety of structures and metrics to transact earthquake risk, as underwriters and brokers look to design transparent covers that will respond when their clients need it.

As property catastrophe reinsurance attachment points remain high, cedants are turning to structured solutions and, in some cases, parametric covers to address frequency perils.

Ibrahima Cheikh Diong, former director general of parametric risk pool African Risk Capacity (ARC), has been selected as the first executive director of the Fund for Responding to Loss and Damage (FRLD).

Lockton Re has announced a partnership with Verisk to use its risk models for agriculture (re)insurance, including developing new parametric products.

Asia is a leading provider of key crops such as rice and wheat but insurance availability across the continent is struggling to keep pace with rising exposures.

The US Department of Agriculture (USDA) is paying more than $143mn in parametric insurance claims to Florida agriculture producers affected by Hurricane Milton in October.

Heavy rainfall in Myanmar has triggered payouts to paddy farmers under a parametric weather insurance scheme.

Charlotte Belin has joined Liberty Mutual Re as a senior underwriter for agriculture and parametrics, based in Paris.

The government of Ghana has purchased insurance from the African Risk Capacity (ARC) for the first time, covering drought risks.

Start-up AIR Parametric, Liberty Mutual Reinsurance (LM Re) and Guy Carpenter have announced a parametric insurance product called Milkshake to protect US dairy producers from reduced yield due to heat stress.

Land Bank Insurance Company (LBIC) and parametric specialist CelsiusPro have announced a pilot drought insurance scheme for crop and livestock farmers in South Africa.

Several farms in China have received parametric insurance payouts after Typhoon Bebinca made landfall last month, according to local media.

A parametric insurance program that aims to compensate poultry farms for reduced egg yield in extreme heat has paid a claim to Srinivasa Farms relating to the heatwave in India this year.

Farms in Austria have received approximately €120mn ($134mn) in parametric insurance payouts after a severe drought this year,

India-based climate risk management company WRMS is expanding its operations into Latin America as it seeks to help the agriculture sector manage and insure weather risks.

Miller's Alice Glenister has joined the board of CPP Group as a non-executive director as the firm focuses on developing its Blink Parametric proposition.

Arbol’s Scott Klemm and Mitiga Solutions’ Obbe Tuinenburg have joined Tokio Marine HCC (TMHCC) as it builds out its parametric weather (re)insurance underwriting team,

Parametric insurance data and technology firm Skyline Partners has hired geospatial data scientist Dr Sam Murphy as head of parametric structuring.

Tokio Marine HCC (TMHCC) has hired former Arbol executives Kit Muir and Hector Ibarra to build out its parametric weather (re)insurance underwriting capabilities,

HDI Global has appointed Eric Joly-Pottuz to lead HDI Enablers, the insurer’s alternative risk transfer (ART) division, replacing Etienne de Varax who is set to retire.

Demex has appointed Arbol’s John Qiang Su as managing director of structured risk solutions as the severe convective storm (SCS) reinsurance specialist continues to build out its team.

Parametric insurer and MGA Descartes has appointed Axa’s Cyril Blin and Coface’s Benjamin Lambert to explore new classes of business for the company.

Kit Muir, Arbol’s Europe managing director, UK director and global head of insurance origination, departed the weather risk transfer firm in September,

Lockton has continued to build out its parametric team in the UK and Europe with the hire of Henry Bellwood from parametric MGA FloodFlash, Parametric Insurer can reveal.

NormanMax Syndicate 3939, the parametric natural catastrophe-focused syndicate launched earlier this year, has hired Dominic Coyne from Munich Re as executive underwriter.

Africa Specialty Risks’ Raveem Ismail and Ian Bishop and Stable’s William Ormerod and Patrick Tear have launched Trigger Parametric, a new underwriting firm backed by insurtech veteran Graeme Dean.

Parametric underwriting firm Global Parametrics has hired Harry Titherley from Gallagher Re as business development director.

Ibrahima Cheikh Diong, former director general of parametric risk pool African Risk Capacity (ARC), has been selected as the first executive director of the Fund for Responding to Loss and Damage (FRLD).

Arbol’s insurance operations head Hector Ibarra and chief revenue officer Scott Klemm have both recently exited the weather risk transfer firm, Parametric Insurer can reveal.