{"id":379,"date":"2024-12-16T14:05:06","date_gmt":"2024-12-16T15:05:06","guid":{"rendered":"http:\/\/www.drkarlgeorge.com\/?p=379"},"modified":"2025-05-08T15:39:40","modified_gmt":"2025-05-08T15:39:40","slug":"jif-2024-what-resilience-success-looks-like","status":"publish","type":"post","link":"http:\/\/www.drkarlgeorge.com\/index.php\/2024\/12\/16\/jif-2024-what-resilience-success-looks-like\/","title":{"rendered":"JIF 2024: What Resilience Success Looks Like"},"content":{"rendered":"<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/insuranceindustryblog.iii.org\/wp-content\/uploads\/2024\/12\/Success-scaled.jpg\"><img loading=\"lazy\" width=\"1024\" height=\"720\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" alt=\"\" class=\"wp-image-19419 lazyload\" data-src=\"http:\/\/www.drkarlgeorge.com\/wp-content\/uploads\/2024\/12\/Success-1024x720-1.jpg\"><\/a><\/figure>\n<\/p>\n<p><strong><em>By Lewis Nibbelin, Contributing Writer, Triple-I<\/em><\/strong><\/p>\n<p>The efficacy of collaboration and investment by \u201cco-beneficiaries\u201d in resilience initiatives was a dominant theme throughout Triple-I\u2019s&nbsp;<a href=\"https:\/\/insuranceindustryblog.iii.org\/climate-resilience-and-legal-system-abuse-take-center-stage-in-miami\/\">2024 Joint Industry Forum<\/a> \u2013 particularly in the final panel, which celebrated leaders behind recent real-world impacts of such investments.<\/p>\n<p>Moderated by Dan Kaniewski, Marsh McLennan (MMC) managing director for public sector, the panelists discussed how their multi-industry backgrounds inform their innovative mindsets, as well as their knowledge on the profound ripple effects of targeted resilience planning.<\/p>\n<p>The panel included:<\/p>\n<ul>\n<li>Jonathan Gonzalez, co-founder and CEO of Raincoat;<\/li>\n<li>Bob Marshall, co-founder and CEO of Whisker Labs;<\/li>\n<li>Dawn Miller, chief commercial officer of Lloyd\u2019s and CEO of Lloyd\u2019s Americas; and<\/li>\n<li>Lars Powell, director of the Alabama Center for Insurance Information and Research (ACIIR) at the University of Alabama and a Triple-I Non-Resident Scholar.<\/li>\n<\/ul>\n<p><strong>Productive partnership<\/strong><\/p>\n<p>Kaniewski \u2013 who spent most of his career in emergency management, previously serving as the second-ranking official at the Federal Emergency Management Agency (FEMA) and the agency\u2019s first deputy administrator for resilience \u2013 kicked off the panel by raising the question \u201chow do we define success?\u201d<\/p>\n<p>He characterized success as \u201cputting theory into practice\u201d and \u201chaving elected officials taking steps to reduce risk and transfer some of this risk from federal, state, or local taxpayers.\u201d<\/p>\n<p>But, as participants in earlier panels and this one made clear, government efforts can only go so far without private-sector collaboration.&nbsp;<\/p>\n<p>\u201cIt doesn\u2019t matter who makes that investment, whether it\u2019s the homeowner, the business owner, or the government,\u201d Kaniewski explained. \u201cThe reality is we all benefit from that one investment. If we can acknowledge that we benefit from those investments, we should do our best to incentivize them.\u201d<\/p>\n<p>Kaniewski and Raincoat\u2019s Gonzalez were both integral in the development of <a href=\"https:\/\/insuranceindustryblog.iii.org\/community-catastrophe-insurance-four-models-to-boost-resilience\/\">community-based catastrophe insurance<\/a> (CBCI)<a href=\"https:\/\/blogs.edf.org\/markets\/2023\/11\/02\/harnessing-community-insurance-lessons-from-nycs-innovative-post-flood-assistance-program\/\"><\/a>, developed in the wake of Superstorm Sandy in 2012.<\/p>\n<p>\u201cA lot of the neighborhoods that experienced flooding due to Sandy didn\u2019t have access to insurance prior to the flooding \u2013 and then, post flooding, the government really had to step up to figure out how to keep those families in those houses,\u201d Gonzalez said.<\/p>\n<p>In collaboration with the city, a nonprofit called the Center for NYC Neighborhoods developed the concept of buying <a href=\"https:\/\/insuranceindustryblog.iii.org\/rising-interest-seen-in-parametric-insurance\/\">parametric insurance<\/a> on behalf of these communities, with any payouts going toward helping families stay in their homes after disasters. Unlike traditional indemnity insurance, a parametric policy pays out if certain agreed-upon conditions are met \u2013 for example, a specific wind speed or earthquake magnitude in a particular area \u2013 regardless of damage.&nbsp; Parametric insurance eliminates the need for time-consuming claim adjustment. Speed of payment and reduced administration costs can ease the burden on both insurers and policyholders.<\/p>\n<p>In this case, Kaniewski said, success was reflected in the fact that the pilot program received sufficient funding not only for renewal but expansion, bringing needed protection to even more vulnerable communities.<\/p>\n<p>Powell reinforced this sentiment in explaining ACIIR\u2019s research on the <a href=\"https:\/\/fortifiedhome.org\/\">FORTIFIED<\/a> method, a set of voluntary construction standards created by the Insurance Institute for Business and Home Safety (IBHS) for durability against severe weather. The insurance industry-funded&nbsp;<a href=\"https:\/\/www.strengthenalabamahomes.com\/\">Strengthen Alabama Homes<\/a>&nbsp;program issues grants and substantial insurance premium <a href=\"https:\/\/insuranceindustryblog.iii.org\/fema-reauthorization-session-highlights-importance-of-risk-transfer-and-reduction\/\">discounts<\/a> to homeowners to retrofit their houses along these guidelines, prompting multiple states to replicate the program.<\/p>\n<p>Such homes in Alabama sustained 54 to 76 percent reduced loss frequency from Hurricane Sally compared to standard homes, Powell reported, and an estimated 65 to 73 percent could have been saved in claims if standard homes were FORTIFIED.<\/p>\n<p>Incentivizing contractors to learn FORTIFIED standards was especially critical, Powell explained, because they further advertised these skills and expanded the presence of FORTIFIED homes beyond the grant program.<\/p>\n<p>\u201cA lot of companies have said for several years, \u2018we don\u2019t know if we\u2019re comfortable writing these\u2026we haven\u2019t seen it on the ground,\u2019\u201d Powell said. \u201cWell, now we\u2019ve seen it on the ground. We need to have houses that don\u2019t burn down or blow over. We know how to do it, it\u2019s not that expensive.\u201d<\/p>\n<p><strong>Addressing concerns to drive adoption<\/strong><\/p>\n<p>Miller described how Lloyd\u2019s Lab works to ease that discomfort by creating a space for businesses to nurture and integrate novel insights and products without fear. With mentor support, companies are encouraged to test new ideas while free from the usual degree of financial and\/or intellectual property risks attached to innovation investments.<\/p>\n<p>\u201cIt\u2019s about having an avenue out to try,\u201d Miller said. \u201cHaving that courage, as we continue to work together, to try to understand what\u2019s working, what\u2019s not, and being brave to say, \u2018this isn\u2019t working, but we can course correct.\u2019\u201d<\/p>\n<p>Whisker Labs\u2019 Marshall noted that numerous insurance carriers have taken a chance on his company\u2019s front-line disaster mitigation devices, Ting, by paying for and distributing them to their customers.<\/p>\n<p>Ting plug-in sensors detect conditions that could lead to&nbsp;electrical fires through continuous monitoring of a home\u2019s electrical system. Statistically preventing more than <a href=\"https:\/\/www.insurancethoughtleadership.com\/future-risk\/technology-can-prevent-4-5-electrical-fires\">80 percent<\/a> of electrical fires, communities benefit \u2013 not only by preventing individual home fires but also by providing data about the electrical grid and potentially heading off grid-initiated wildfires.<\/p>\n<p>\u201cThere are so many applications for the data,\u201d Marshall said, but \u201cto have a true impact on society\u2026we have to prove that we\u2019re preventing more losses than the cost, and we have to do that in partnership with insurance carriers.\u201d<\/p>\n<p><strong>Everyone wins if everyone plays<\/strong><\/p>\n<p>Cultivating innovative solutions is pivotal to enhancing resilience, the panelists agreed \u2013 but driving them forward requires more than just the insurance industry\u2019s support.<\/p>\n<p>He pointed to a project last year \u2013 funded by Fannie Mae and developed by the National Institute of Building Science (NIBS) \u2013 that culminated in a <a href=\"https:\/\/www.nibs.org\/reports\/resilience-incentivization-roadmap-20\">roadmap for resilience investment incentives<\/a>, focusing on urban flooding.&nbsp;<\/p>\n<p>The co-authors of the project, including Triple-I subject-matter experts, represented a cross-section of \u201cco-beneficiary\u201d groups, such as the insurance, finance, and real estate industries and all levels of government, Kaniewski said.<\/p>\n<p>Implementation of the roadmap requires participation from communities and multiple co-beneficiaries. Triple-I and NIBS are exploring such collaborations with potential co-beneficiaries in several areas of the United States.<\/p>\n<p><strong><em>Learn More:<\/em><\/strong><\/p>\n<p><a href=\"https:\/\/insuranceindustryblog.iii.org\/outdated-building-codes-exacerbate-climate-risk\/\">Outdated Building Codes Exacerbate Climate Risk<\/a><\/p>\n<p><a href=\"https:\/\/insuranceindustryblog.iii.org\/rising-interest-seen-in-parametric-insurance\/\">Rising Interest Seen in Parametric Insurance<\/a><\/p>\n<p><a href=\"https:\/\/insuranceindustryblog.iii.org\/community-catastrophe-insurance-four-models-to-boost-resilience\/\">Community Catastrophe Insurance: Four Models to Boost Resilience<\/a><\/p>\n<p><a href=\"https:\/\/insuranceindustryblog.iii.org\/attacking-the-risk-crisis-roadmap-to-investmentin-flood-resilience-2\/\">Attacking the Risk Crisis: Roadmap to Investment in Flood Resilience<\/a><\/p>\n<p><a href=\"https:\/\/insuranceindustryblog.iii.org\/mitigation-matters-and-hurricane-sally-proved-it\/\">Mitigation Matters \u2013 and Hurricane Sally Proved It<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Lewis Nibbelin, Contributing Writer, Triple-I The efficacy of collaboration and investment by \u201cco-beneficiaries\u201d in resilience initiatives was a dominant theme throughout Triple-I\u2019s&nbsp;2024 Joint Industry Forum \u2013 particularly in the final panel, which celebrated leaders behind recent real-world impacts of such investments. Moderated by Dan Kaniewski, Marsh McLennan (MMC) managing director for public sector, the panelists discussed how their multi-industry backgrounds inform their innovative mindsets, as well as their knowledge on the profound ripple effects of targeted resilience planning. The panel included: Jonathan Gonzalez, co-founder and CEO of Raincoat; Bob Marshall, co-founder and CEO of Whisker Labs; Dawn Miller, chief commercial officer of Lloyd\u2019s and CEO of Lloyd\u2019s Americas; and Lars Powell, director of the Alabama Center for Insurance Information and Research (ACIIR) at the University of Alabama and a Triple-I Non-Resident Scholar. Productive partnership Kaniewski \u2013 who spent most of his career in emergency management, previously serving as the second-ranking official at the Federal Emergency Management Agency (FEMA) and the agency\u2019s first deputy administrator for resilience \u2013 kicked off the panel by raising the question \u201chow do we define success?\u201d He characterized success as \u201cputting theory into practice\u201d and \u201chaving elected officials taking steps to reduce risk and transfer some of this risk from federal, state, or local taxpayers.\u201d But, as participants in earlier panels and this one made clear, government efforts can only go so far without private-sector collaboration.&nbsp; \u201cIt doesn\u2019t matter who makes that investment, whether it\u2019s the homeowner, the business owner, or the government,\u201d Kaniewski explained. \u201cThe reality is we all benefit from that one investment. If we can acknowledge that we benefit from those investments, we should do our best to incentivize them.\u201d Kaniewski and Raincoat\u2019s Gonzalez were both integral in the development of community-based catastrophe insurance (CBCI), developed in the wake of Superstorm Sandy in 2012. \u201cA lot of the neighborhoods that experienced flooding due to Sandy didn\u2019t have access to insurance prior to the flooding \u2013 and then, post flooding, the government really had to step up to figure out how to keep those families in those houses,\u201d Gonzalez said. In collaboration with the city, a nonprofit called the Center for NYC Neighborhoods developed the concept of buying parametric insurance on behalf of these communities, with any payouts going toward helping families stay in their homes after disasters. Unlike traditional indemnity insurance, a parametric policy pays out if certain agreed-upon conditions are met \u2013 for example, a specific wind speed or earthquake magnitude in a particular area \u2013 regardless of damage.&nbsp; Parametric insurance eliminates the need for time-consuming claim adjustment. Speed of payment and reduced administration costs can ease the burden on both insurers and policyholders. In this case, Kaniewski said, success was reflected in the fact that the pilot program received sufficient funding not only for renewal but expansion, bringing needed protection to even more vulnerable communities. Powell reinforced this sentiment in explaining ACIIR\u2019s research on the FORTIFIED method, a set of voluntary construction standards created by the Insurance Institute for Business and Home Safety (IBHS) for durability against severe weather. The insurance industry-funded&nbsp;Strengthen Alabama Homes&nbsp;program issues grants and substantial insurance premium discounts to homeowners to retrofit their houses along these guidelines, prompting multiple states to replicate the program. Such homes in Alabama sustained 54 to 76 percent reduced loss frequency from Hurricane Sally compared to standard homes, Powell reported, and an estimated 65 to 73 percent could have been saved in claims if standard homes were FORTIFIED. Incentivizing contractors to learn FORTIFIED standards was especially critical, Powell explained, because they further advertised these skills and expanded the presence of FORTIFIED homes beyond the grant program. \u201cA lot of companies have said for several years, \u2018we don\u2019t know if we\u2019re comfortable writing these\u2026we haven\u2019t seen it on the ground,\u2019\u201d Powell said. \u201cWell, now we\u2019ve seen it on the ground. We need to have houses that don\u2019t burn down or blow over. We know how to do it, it\u2019s not that expensive.\u201d Addressing concerns to drive adoption Miller described how Lloyd\u2019s Lab works to ease that discomfort by creating a space for businesses to nurture and integrate novel insights and products without fear. With mentor support, companies are encouraged to test new ideas while free from the usual degree of financial and\/or intellectual property risks attached to innovation investments. \u201cIt\u2019s about having an avenue out to try,\u201d Miller said. \u201cHaving that courage, as we continue to work together, to try to understand what\u2019s working, what\u2019s not, and being brave to say, \u2018this isn\u2019t working, but we can course correct.\u2019\u201d Whisker Labs\u2019 Marshall noted that numerous insurance carriers have taken a chance on his company\u2019s front-line disaster mitigation devices, Ting, by paying for and distributing them to their customers. Ting plug-in sensors detect conditions that could lead to&nbsp;electrical fires through continuous monitoring of a home\u2019s electrical system. Statistically preventing more than 80 percent of electrical fires, communities benefit \u2013 not only by preventing individual home fires but also by providing data about the electrical grid and potentially heading off grid-initiated wildfires. \u201cThere are so many applications for the data,\u201d Marshall said, but \u201cto have a true impact on society\u2026we have to prove that we\u2019re preventing more losses than the cost, and we have to do that in partnership with insurance carriers.\u201d Everyone wins if everyone plays Cultivating innovative solutions is pivotal to enhancing resilience, the panelists agreed \u2013 but driving them forward requires more than just the insurance industry\u2019s support. He pointed to a project last year \u2013 funded by Fannie Mae and developed by the National Institute of Building Science (NIBS) \u2013 that culminated in a roadmap for resilience investment incentives, focusing on urban flooding.&nbsp; The co-authors of the project, including Triple-I subject-matter experts, represented a cross-section of \u201cco-beneficiary\u201d groups, such as the insurance, finance, and real estate industries and all levels of government, Kaniewski said. Implementation of the roadmap requires participation from communities and multiple co-beneficiaries. Triple-I and NIBS are exploring such collaborations with potential co-beneficiaries in several areas of the United States. Learn More: Outdated Building Codes Exacerbate Climate Risk Rising Interest Seen in Parametric Insurance Community Catastrophe Insurance: Four Models to Boost Resilience Attacking the Risk Crisis: Roadmap to Investment in Flood Resilience Mitigation Matters \u2013 and Hurricane Sally Proved It<\/p>\n","protected":false},"author":1,"featured_media":381,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[15],"tags":[],"_links":{"self":[{"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/posts\/379"}],"collection":[{"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/comments?post=379"}],"version-history":[{"count":2,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/posts\/379\/revisions"}],"predecessor-version":[{"id":382,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/posts\/379\/revisions\/382"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/media\/381"}],"wp:attachment":[{"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/media?parent=379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/categories?post=379"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.drkarlgeorge.com\/index.php\/wp-json\/wp\/v2\/tags?post=379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}