Professional services firm Aon plc has announced that its impact forecasting team is now offering ERN’s Latin America catastrophe model to clients through the Oasis Loss Modeling Framework (Oasis LMF).
Latin America is becoming a key region for reinsurers looking to diversify their portfolios. Although the region faces climate-related disasters, its disaster profile (dominated by earthquakes rather than hurricanes) provides a unique complement to global portfolios.
Aon’s impact forecasting team has integrated an expanded set of ERN (Evaluación de Riesgos Naturales) Latin American disaster models into its ELEMENTS platform via Oasis LMF.
This demonstrates Aon’s commitment to open source modeling initiatives that expand the use of disaster models and provide alternatives to traditional vendor options. The new model enhances Aon’s existing impact prediction models in Oasis LMF, which include the European Storm, European SCS, Canadian Flood, European Flood, Thailand Flood and Manhattan Explosion models.
As climate-related volatility and regulatory pressures intensify, reinsurers face increasing demands to maintain reliable and flexible risk assessments. By integrating Oasis LMF, Aon allows reinsurers/insurers to better oversee their catastrophe risk models, leverage configurable tools to extract insights and make smarter decisions around risk and capital. This approach reflects the unique characteristics of each reinsurer/insurer’s risk exposure, enabling more precise assessment and pricing.
Aon provides clients with a combination of modeling expertise and technical capabilities. Through the ELEMENTS platform, users can use Aon impact prediction models as well as third-party models, providing the option to review, benchmark and combine different models to gain a complete understanding of their risk profile.
Adam Podlaha, global head of impact forecasting at Aon, commented: “Aon recognizes that clients need Access disaster data and models through their preferred systems and platforms. with our Through our partnership with Oasis LMF and active dialogue with software and model suppliers, we will continue to Find the best solutions and expand the range of models we offer to help quantify disaster risk our customers. Our approach reflects Aon’s ongoing commitment to innovation, transparency and customers Empowering in the evolving world of disaster risk management. “
Paula Ferreira, CEO of Aon Reinsurance Solutions Latin America, added: “Emerging risk and underinsured areas are creating profitable growth opportunities for our clients in Latin America, but to seize these opportunities, reinsurers/insurers need a clear understanding of their underlying risks. In this regard, these additional models from ERN enable us to provide our clients with increasingly accurate assessments, tailored solutions and superior service, ultimately leading to better business decisions.”
Aon Impact Forecast enables insurers to tailor catastrophe models to their individual risk profiles, using proprietary claims and risk data to refine damage and vulnerability functions based on historical loss experience. For example, the US Severe Convective Storms (SCS) model is the latest SCS model to support custom vulnerability curves that better reflect specific portfolios.
Users also have access to model hazard and event data, providing transparency into model components and supporting confidence in modeling results. Beyond the insurance industry, Aon has expanded its open modeling work into disaster risk reduction and risk financing for public sector and corporate clients.
These include Aon as a founding partner of the Insurance Development Forum, Impact Forecast providing free-to-use scenarios in Oasis LMF, and event sets for typhoons and earthquakes in Oasis Risk Explorer. Aon is also working with development banks on projects, including multi-risk models in Vietnam and Nepal.
