Has Lloyd's Just Found The Answer For Pandemic Insurance Cover?

As part of the Lloyd’s Lab accelerator, Thimble will tackle this issue by developing low-limit parametric contingent business interruption coverage that would protect businesses from future pandemics. The insurtech hopes that the development of the coverage solution will serve as a “first line of defense” for small businesses that pay them once the parameters of the insurance are met.

“Traditional insurance policies do not work for pandemics because most policies will pay out at the same time,” said Thimble founder and CEO, Jay Bregman. “No private company can maintain a balance sheet big enough to pay those claims and survive. We can, however, sell smaller policies with lower limits, that would pay out programmatically and instantly if criteria are met-- for example, if all the businesses within a certain zip code are forced to close.”

Bregman added that Thimble is thrilled to have Lloyd’s support on the development of the parametric insurance program.

Lloyd’s received over 140 applications from around the world for the fifth cohort of its Lloyd’s Lab accelerator, which begins September 07, 2020.