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Liberty Mutual Re, Safehub pay first sensor-triggered earthquake parametric claim
A magnitude 5.8 quake in Ica, Peru, triggered a payout that arrived 21 days after the May 19 event, providing liquidity for immediate recovery costs.
Liberty Mutual Reinsurance (LM Re) and Safehub said their earthquake parametric coverage reached its first live test after a magnitude 5.8 earthquake hit Ica, Peru, on May 19.
According to Insurance Business, the client that held a ShakeNet Parametric policy received a claims payment 21 days after the earthquake, and used the funds to cover immediate recovery costs.
The outlets said the Peru event produced the first earthquake parametric payment triggered by Safehub's Shake Network. The policy was designed as a liquidity layer after qualifying seismic events, not as a replacement for traditional indemnity coverage.
They added that the trigger was based on ground acceleration levels recorded across multiple client locations by Safehub's proprietary sensor network, using localized shaking maps generated with the Global Earthquake Model Foundation's OpenQuake engine, and that the payout does not require a damage assessment.