Jean-Christophe Garaix, head of parametrics and agriculture at Liberty Mutual Reinsurance, said: “Parametric insurance is increasingly being used to support natural catastrophe events. We deliver sophisticated parametric solutions which help clients in their times of need. There is a huge potential for parametric insurance right now, particularly after recent seismic events in the LatAm region. The speedy payout in Peru demonstrates how the solution can strengthen disaster resilience.”
LONDON: Liberty Mutual Reinsurance (LM Re), part of Liberty Mutual Insurance Group, in partnership with Safehub has made the world’s first earthquake parametric payment triggered by Safehub’s Shake Network.
The magnitude 5.8 earthquake that struck Ica, Peru, on 19 May 2026 generated significant ground acceleration levels across multiple client locations.
The policy was purchased by the client in October 2025 to complement their traditional placement with a quicker response solution in the event of a catastrophe. Due to the parametric structure, the claim was released 21 days from the event. The funds received will be used by the client to cover immediate recovery costs due to the earthquake.
The policy uses ShakeNet Parametric, LM Re’s earthquake parametric solution that is triggered by Safehub’s proprietary sensor network.
Powered by the Global Earthquake Model’s (GEM’s) OpenQuake engine, and informed by Safehub’s sensor network, the solution delivers highly localised shaking information that supports rapid, transparent, and objective payouts while enhancing emergency response and post-event decision-making. This parametric solution underscores the growing importance of high-resolution earthquake impact data in commercial and sovereign risk transfer programs worldwide.
The deal was brokered by Price Forbes Latam.
Jean-Christophe Garaix, head of parametrics and agriculture at LM Re, said: “Parametric insurance is increasingly being used to support natural catastrophe events. We deliver sophisticated parametric solutions which help clients in their times of need. There is a huge potential for parametric insurance right now, particularly after recent seismic events in the LatAm region. The speedy payout in Peru demonstrates how the solution can strengthen disaster resilience.”
Andy Thompson, CEO of Safehub, said: “A parametric insurance policy is only as good as the data driving the trigger. This first-of-its-kind payout validates the real-world impact of Safehub’s Shake Network. By providing hyper-localized shaking data, we are providing the precision and speed needed to best support clients. This is a significant step forward in building a more earthquake-resilient society.”