AXA launches first heatwave parametric insurance

It aims to provide protection to employees exposed to outdoor conditions.  

AXA has introduced the market-first “Heatwave Parametric Insurance” for practitioners who work outdoors in the summer.

This comes as data from the Hong Kong Observatory Climate Change in Hong Kong Temperature revealed that the annual mean temperature in Hong Kong has exhibited a statistical increase of 0.30°C per decade from 1994 to 2023.

This  poses heightened risks for certain occupations, such as construction workers, property management staff, as well as practitioners in the public utility and transportation sectors, who are routinely exposed to outdoor conditions during extreme heat events

Insured individuals are eligible to receive $100 or an “anti-heatwave kit” of an equivalent value when the temperature exceeds 36.0°C2 for three consecutive days from August to October. 

The insurance policy does not require proof of damage and submission of claims for payout.

The insurance has a premium of $19.9 per person.