Swiss Re has acquired Fathom, a UK-based company specializing in water risk intelligence and flood modeling.
Their work is at the forefront of understanding and quantifying flood risk, leveraging advanced science and technology.
Through this transaction, Swiss Re’s Reinsurance Solutions division gains valuable expertise and a robust set of products, complementing its own data and risk capabilities in the field of flood perils – a major driver for constantly rising losses from natural catastrophes globally.
Retaining its own brand, Fathom will work closely with Swiss Re’s Reinsurance Solutions division to further develop and distribute its innovative flood and climate risk data, maps, and models.
Fathom’s market-leading research and innovative tools in this area create great synergies with Swiss Re’s risk knowledge and digital capabilitiesRussell Higginbotham, CEO of Swiss Re Reinsurance Solutions
According to latest Swiss Re data, the re/insurance industry covered roughly 40% of the economic losses related to natural catastrophes in 2023, indicating a large protection gap across the world.
Swiss Re estimates that, globally, natural catastrophes caused USD 100 billion insured losses this year alone. At least USD 12 billion of these total insured losses can be attributed to flood-related events, which is more than 30% higher than the past ten years’ annual average.
We are committed to helping organisations around the world to analyse, understand and respond to flood risk and the changing climate landscapeStuart Whitfield, CEO of Fathom
“This transaction represents a further key step in helping us achieve our vision of becoming the gold standard in the provision of water risk intelligence”, Stuart Whitfield said.
Advanced data modelling, combined with scientifically robust tools and intelligence, enable insurance and risk management professionals to better understand the impact of floods on people, buildings, and businesses.
Fathom is dedicated to leveraging its expertise in this field to help its customers efficiently identify, analyse and mitigate flood risks. By working closely with Swiss Re Reinsurance Solutions, Fathom gains access to Swiss Re’s client franchise and long-standing expertise in the field of natural catastrophes.
As part of this transaction, Fathom will retain its own brand and continue its well-established research activities.
Fathom is known for its expertise in creating detailed, accurate flood models. These models are crucial for understanding flood risk, which is increasingly important given climate change and its impact on weather patterns.
The company employs cutting-edge technology and data analysis techniques, including geographic information systems (GIS), remote sensing, and hydrological modeling. This allows them to produce highly detailed and predictive flood maps.
Fathom’s services and models have a global reach. They offer insights into flood risk at both a macro and micro level, providing valuable information for a range of stakeholders, from governments to individual property owners.
by Yana Keller