Munich Re has developed a typhoon insurance solution utilising the WeChat messaging platform, China’s most popular social media app with 938 million active users.

The Typhoon Index Insurance app, developed in co-operation with Chinese weather data start-up WeatherTech, launched last month.

“This product co-operation between WeatherTech, with its excellent market network, agile Chinese primary insurance companies and Munich Re showcases the win-win partnerships we can expect in China,” Munich Re Greater China CEO Christoph Hoch said.

“This typhoon solution provides a fresh interpretation of how risk solution providers such as Munich Re work in times of digitalisation with the Chinese innovation ecosystem.”

The product will automatically determine insurance payouts based on triggers from ground stations and meteorological data.

“Compared with traditional insurance, the solution will immediately and automatically provide a payout to the policyholder once it is triggered,” Munich Re says.

“The insurance product offered provides financial compensation to cover losses from wind and excessive rain after a severe typhoon has made landfall.”