According to InsurTech Insights, the introduction of GridProtect coincides with the acceleration of climate change, which is leading to a rise in weather-related power system failures.

Businesses are facing severe financial difficulties as a result of these failures, especially in the US, where power disruptions cause $150 billion in damages annually. Adaptive Insurance discovered a need in the present market and developed this solution to give rapid financial help during these important occasions.

GridProtect is intended to provide companies impacted by brief power disruptions with prompt financial protection. In contrast to conventional insurance plans, which frequently have a 24-hour waiting time before becoming active, GridProtect does away with this inconvenience and offers instant capital relief to minimize financial setbacks.

The product offers a customized parametric insurance solution that reacts as soon as an outage happens using AI and climate data.

Power grid failures have become more frequent; since 2000, weather-related incidents have been blamed for 80% of significant outages in the United States.

Businesses may promptly recover from these disasters with the support of GridProtect's AI-driven platform, which helps them manage the short- and long-term effects. Companies may put cash toward employee assistance, business expansion, and community activities by guaranteeing speedier reimbursements.

Adaptive Insurance is a component of Montauk Climate, a well-known climate technology incubator. Philip Krim, Founder and Partner of Montauk Climate, claimed, “Climate and weather events cause $1bn in damage every three weeks in the U.S.” "We founded Adaptive to tackle this enormous and expanding issue with a unique strategy that is both efficient and scalable," he went on.

"Climate change is accelerating faster than the insurance industry can adapt, and businesses are paying the price," said Mike Gulla, CEO and co-founder of Adaptive Insurance, in highlighting the necessity of GridProtect's debut. "We designed GridProtect to fill a critical void in the market," the speaker continued. Businesses can now protect themselves against the financial shock of power outages the minute they happen—no waiting, less uncertainty—with our AI-powered platform.

Apart from its main insurance products, GridProtect helps companies to avert long-term closures by empowering them to take proactive steps to lower their risk to outages. Businesses that are closed for longer than five days due to power outages have a 90% risk of never opening again, according to the Federal Emergency Management Agency (FEMA). GridProtect seeks to reduce such dangers by offering instantaneous financial compensation.

Leading the way in climate-focused insurance technology, Adaptive Insurance creates products that help companies manage an ever-more-unpredictable climate.

"We founded Adaptive to provide a unique, scalable, and effective solution to this massive and expanding issue. Philip Krim of Montauk Climate said, "Mike Gulla and Arik Yelovitch have the vision and experience needed to steer this innovative company."