Boston, October 14, 2002 — AIR Worldwide Corporation (AIR), the technological leader in catastrophe modeling and weather risk management, today announced that it supports CRESTAplus, the global catastrophe data exchange standard. Primary insurers in Europe can now easily transfer exposure data in the CRESTAplus format to their reinsurers around the world who, in turn, can import the data into AIR's CATRADER® and CATMAP®/2 software to help price their reinsurance.
"AIR has taken an important step by proactively supporting the CRESTAplus standard," said Paul Hertelendy, the underwriting manager for property catastrophe at Converium Ltd. "As primary and reinsurance companies are accepting this standard worldwide, it is very important to gain support from the catastrophe modeling industry. Now companies using AIR's catastrophe modeling software will have the support needed to easily use CRESTAplus data to price and manage catastrophe treaties."
The call for universal reporting standards typically gains momentum in the year following significant loss for the industry. In the United States, that year was 1993 after Hurricane Andrew. In Europe, it was 1999 after the windstorms Lothar and Martin. In both cases, primary and reinsurance companies suffered significant losses, in part because their loss potential had not been properly analyzed. As a result, many contracts had been written based on inadequate information.
In the aftermath of these events, companies recognized the need for a universal data-reporting standard to help prevent similar losses in the future. After Andrew, AIR took the initiative in the United States to create what is now the industry standard UNICEDE®. After Lothar and Martin, members of CRESTA set up a working party driven largely by the initiative of Converium's senior management to develop what became known as CRESTAplus for the European markets. Insurers outside of the United States can also use AIR's UNICEDE/2 to report exposure data to their reinsurers, virtually all of whom use CATMAP/2 or CATRADER.
"AIR understands the importance of using the best data available in catastrophe models. Inadequate data leads to inaccurate results," said Neil Wiseman, managing director of AIR Ltd. in London. "Quality data has always been of primary concern to AIR. That is why AIR offered the UNICEDE and UNICEDE/2 standards to the industry after Hurricane Andrew and why it now supports the global CRESTAplus standard in its software applications."
About AIR Worldwide Corporation
AIR Worldwide Corporation (AIR), a wholly-owned subsidiary of Insurance Services Office, Inc. (ISO), is a leading catastrophe and weather risk modeling company. Through its web-based and computer software solutions (ClimateCastTM, CLASIC/2TM, CATRADER®, CATMAP®/2, AIRProfiler®), AIR services the insurance, reinsurance and capital markets. AIR's models simulate losses from both man-made and natural catastrophes in more than 35 countries. AIR is headquartered in Boston and has additional offices in North America, Europe and Asia. For more information, please visit the AIR website at www.air-worldwide.com.
ISO is a leading source of information, products and services related to property and liability risk. For a broad spectrum of commercial and personal lines of insurance, ISO provides statistical, actuarial, underwriting and claims information and analyses; consulting and technical services; policy language; information about specific locations; fraud-identification tools; and data processing. In the United States and around the world, ISO serves insurers, reinsurers, agents, brokers, self-insureds, risk managers, insurance regulators and other government agencies.