An on-site assessment of two manufacturing facilities.

Our technical analysis of the earthquake resilience of a global manufacturer’s facilities helped them save $460,000 a year on their insurance premium, increasing their national market share.

When it comes to insuring mission-critical assets against natural disasters, using a standard insurance pricing model to assess risk levels doesn’t go far enough for small property portfolios.

The standard modelling systems used by insurers regularly misjudge risk by up to 300%; furthermore they don’t provide the detailed analysis needed to mitigate against risk.

Our rigorous on-site assessment of two of our client’s manufacturing facilities in 2003 and 2006 pinpointed a series of simple improvements designed to increase their resilience to different magnitudes of earthquake, and modelled the potential impact of failing to do so.

The level of insurance needed for both plants, before the improvements, was $78m - after a $430k one-off investment this was reduced to $43m.

These improvements cut the company’s annual insurance premium by four times their cost and meant that both of the plants withstood the impact of the 11 March 2011 earthquake in Japan.

Our accurate understanding of risk reduced exposure and premiums, by increasing resilience, this firm increased their market share.