It wasn’t long ago that public officials in Florida were casting serious aspersions on Newark, Calif.-based catastrophe/hurricane modeling specialist Risk Management Solutions (RMS) for supposedly stacking the deck in favor of insurance companies by switching to a medium-term model that emphasized the increased frequency and severity of recent storms. However, it seems the two parties have come to an understanding, or the State of Florida has made its point. RMS has issued a statement saying that Florida had certified an updated version of the vendor’s hurricane model. During any other year, that would have been a routine announcement.

Since Florida does the certifying, RMS had little choice but to withdraw its “medium-term” model and toe the line. But the vendor nevertheless reasserted its position (and its dignity, one might say) in its drily expressed explanation of the conflict’s denouement:

This is the second version of the model that RMS submitted to the FCHLPM for review. The first uses RMS' forward-looking medium-term view of hurricane activity that has become the 'new average' since 1995, reflecting the increase in hurricane frequency and intensity being experienced in the Atlantic basin. Earlier this spring a review by the FCHLPM Professional Team indicated that the regulatory standards would not accommodate the RMS forward-looking medium-term view, so RMS withdrew this version of its model from the certification process, and re-submitted one based on the historical average.

This is a public forum. CMP Media and its affiliates are not responsible for and do not control what is posted herein. CMP Media makes no warranties or guarantees concerning any advice dispensed by its staff members or readers.

Community standards in the message center do not permit hate language, excessive profanity, or other patently offensive language. Please be aware that all information posted to this forum becomes the property of CMP Media LLC and may be edited and republished in print or electronic format as outlined in CMP Media's Terms of Service.

Important Note: The Message Center is NOT intended for commercial messages or solicitations of business.