BOSTON, June 14, 2010 — AIR Worldwide (AIR) today announced the certification of its 2010 U.S. Hurricane Model by the Florida Commission on Hurricane Loss Projection Methodology (FCHLPM). The Commission certifies models for use by insurers for developing Florida residential and commercial residential property rate filings. AIR has met the rigorous standards of the Commission every year since the Commission’s inception in 1996.
“The Commission thoroughly examined AIR’s approach for incorporating the latest science and other significant enhancements in this year’s update to our U.S. Hurricane Model,” said David Lalonde, FCAS, FCIA, MAAA, senior vice president at AIR Worldwide. “AIR provided comprehensive documentation and explanations of the new science and data to the Commission and its professional team. Certification to these standards provides AIR model users with increased confidence for employing our models for all catastrophe risk management activities.”
The Version 12.0 update to the AIR U.S. Hurricane Model will contain state-of-the-art enhancements that encompass virtually every component of the model to provide a more complete and comprehensive view of U.S. hurricane risk. These include the incorporation of the latest meteorological understanding on hurricane structure, a basin-wide catalog, a model domain expanded by three additional states to include 29 states and the District of Columbia, and more detailed modeling of spatial and temporal variations in vulnerability.
Overall, the latest release of the AIR U.S. Hurricane Model will enable significantly more precise risk differentiation based on such factors as geography, construction, occupancy, year built, and individual building characteristics. In addition to certification by the Florida Commission on Hurricane Loss Projection Methodology, the model has undergone comprehensive external peer review. The hazard, vulnerability, and actuarial components of the model, as well as its implementation in the software, have been reviewed by leading scientists and engineers in those disciplines.
AIR’s 2010 U.S. Hurricane Model will be available in Version 12.0 of CLASIC/2TM, CATRADER®, and CATStation® catastrophe risk management systems.
About AIR Worldwide
AIR Worldwide (AIR) is the scientific leader and most respected provider of risk modeling software and consulting services. AIR founded the catastrophe modeling industry in 1987 and today models the risk from natural catastrophes and terrorism in more than 50 countries. More than 400 insurance, reinsurance, financial, corporate, and government clients rely on AIR software and services for catastrophe risk management, insurance-linked securities, detailed site-specific wind and seismic engineering analyses, agricultural risk management, and property replacement-cost valuation. AIR is a member of the ISO family of companies and is headquartered in Boston with additional offices in North America, Europe, and Asia. For more information, please visit www.air-worldwide.com.