There’s a couple of ways parametric insurance is different to traditional insurance such as home and contents or business insurance.

1. Parametric insurance may not be based on experiencing any physical damage or loss to property.

Most people are familiar with traditional property insurance – you pay a premium to cover you in the case of property damage or loss. As the goal is to return you to your original position before the damage, you may only receive a payment after an assessment which verifies the extent of any material loss or damage.

Parametric insurance is based on an agreed event occurring, not necessarily the resulting in material damage.

Redicova covers you for any financial or economic loss (including property damage or personal injury) suffered by You caused by Very Destructive Winds as a result of a Severe Tropical Cyclone or within the 5km Buffer Zone, occurring at the Insured Situation. So you don’t need to have any physical damage to claim, instead you might be an employee who suddenly doesn’t have any income as your workplace has been damaged; or you’re a business owner who can’t operate because an event has affected the local area and your customers.

2. Parametric insurance claims assessment process.

As it’s not necessarily based on property damage, you don’t have to go through the usual process of having your damage being assessed by the insurance company before a claim can proceed. If the triggering event occurs at your Insured Situation, you get paid.

Not at all. You can purchase Redicova without having any other insurance, or in addition to existing insurance arrangements. Traditional insurance can cover your assets for run of the mill claims like fire, storm damage, lightning strike, fusion and accidental damage so you should consider what your requirements are based on your particular objectives, financial situation or needs.

Redicova benefits are payable regardless of any other insurance you may have.

Redicova benefits are payable regardless of any other insurance you may have.

Redicova can provide a handy back-up as cash benefits received from Redicova can be used to cover any additional costs you incur after an event or to fund insurance excess costs on your standard insurance claim.

You should check your other insurance policies to see if the benefits reduce if you make a claim under Redicova or any other insurance. Seek professional advice if required.