Insurance Daily News

ICEYE Expands Satellite Catastrophe Data Use Across Asia Pacific

Satellite data provider ICEYE is expanding its operations across the Asia Pacific region, aiming to position its catastrophe intelligence beyond post-event response and into the realms of underwriting and risk pricing. The company, which utilizes synthetic aperture radar satellites capable of observing events through cloud cover and darkness, is increasingly leveraging its historical data archive to assist insurers in understanding risk profiles before losses occur.

Australia currently serves as ICEYE’s largest market in the region regarding the breadth of insurance adoption. Japan also remains a key market, following the company’s 2020 entry alongside Tokio Marine and a more recent agreement to provide flood insights to Sompo Japan. The firm is now extending its reach by adding flood coverage capabilities in India, Thailand, Vietnam, the Philippines, Taiwan, and South Korea. India is a particular focus for growth, with the company opening a local office to support both insurance and public-sector applications.

Historically, ICEYE’s technology has focused on mapping flood extent and depth to help insurers expedite claims and deploy resources. However, the company has now compiled observations from approximately 600 floods across more than 35 countries over the past five years. According to Stephen Lathrope, senior vice president for solutions, this archive allows insurers to move away from theoretical models toward observations of actual flood behavior. For instance, Australian insurer QBE has utilized this data to gain insights into restoration costs following flood events.

In August, ICEYE announced a partnership with The Water Institute, based in Louisiana, to bring the FloodID predictive intelligence platform and its development team into ICEYE. The objective is to integrate forecasts of potential water movement with the company’s existing satellite observations. Lathrope noted that while the company is not aiming to become a catastrophe modeling firm, it intends to enhance client preparation and response capabilities. He also identified parametric insurance as a significant opportunity for the region, particularly in markets with low conventional insurance penetration, noting that the company already supports similar arrangements in Africa.

Looking ahead, Lathrope expects flooding and tropical cyclones to drive the largest growth in technology adoption across the region. As insurers increasingly integrate real-world satellite observations into their underwriting processes, the industry may see a shift in how catastrophe risk is priced and managed, potentially narrowing protection gaps in emerging Asian markets.

Why it matters

The shift from using satellite data for claims response to informing underwriting and pricing represents a significant evolution in how insurers assess and manage catastrophe risk.

FAQ

What technology does ICEYE use to observe catastrophe events?
ICEYE uses synthetic aperture radar satellites that can observe events regardless of darkness or cloud cover.

Which Asian countries is ICEYE currently adding to its flood coverage reach?
The company is adding coverage in India, Thailand, Vietnam, the Philippines, Taiwan, and South Korea.

How does ICEYE plan to use its partnership with The Water Institute?
The partnership aims to bring the FloodID predictive intelligence platform and its development team into ICEYE to combine water movement forecasts with satellite observations.

Source: Insurance Asia News. See the original source for full details.