Previsico powers UK's first sensor-based parametric flood insurance for racecourses 

Previsico is proud to announce its role in a landmark parametric flood insurance solution for UK racecourses, developed in partnership with Willis (a WTW business), specialist underwriter Descartes Underwriting, and insurer Generali. Royal Windsor Racecourse, owned and operated by Arena Racing Company (ARC), has become the first venue to go live with the cover, a significant milestone for both the sport and the wider insurance market. 

Bridging the protection gap 

UK racecourses face a growing and largely unmet flood risk challenge. Typically situated on low-lying floodplains, venues are highly exposed to property damage, costly clean-up and business interruption losses. The result has been a chronic protection gap: insurers have either excluded flood cover entirely at the most exposed locations or imposed deductibles that make cover impractical. Royal Windsor Racecourse, sitting directly on the River Thames, had previously been considered uninsurable for flood risk altogether. 

This new parametric solution changes that. By placing Previsico's flood sensor technology at the heart of the product design, the partnership has created a policy that works precisely where traditional insurance has failed. 

How Previsico's technology makes it work 

Previsico installed a flood sensor at a carefully selected location on the insured property, chosen in consultation with ARC to reflect the racecourse's specific exposure profile. The sensor provides continuous, real-time monitoring of water levels - the foundation on which the entire policy rests. 

When floodwater reaches the pre-agreed trigger depth, a payout is automatically activated, scaling in line with the maximum recorded water height up to the policy limit. There is no loss adjuster visit, no damage assessment, and no protracted claims process. Payouts are released quickly and objectively, giving ARC the financial certainty it needs to recover and resume operations. 

Beyond the insurance trigger, the continuous monitoring capability provides a critical additional benefit: early warnings. When water levels begin to rise, ARC's teams receive advance notice, giving them time to implement flood risk management protocols including moving sensitive equipment to higher ground before damage occurs. This dual function, protection and prevention, is at the core of what Previsico's technology delivers. 

Scalable across the portfolio 

Arena Racing Company operates 16 racecourses across the UK, several of which including Worcester and Southwell share similar flood exposure profiles to Royal Windsor. The solution has been designed from the outset to be replicable, with the potential to be rolled out across additional ARC venues and, more broadly, to other sports and leisure venues facing comparable challenges. 

Kieran Gallagher, Group Operations Director at ARC, said: "The business has previously not been able to insure against flooding, so this new approach, combined with the ongoing monitoring of river levels by Previsico, will be hugely important." 

The bigger picture 

Flood risk in the UK is not static. Industry projections suggest flood-related costs could rise by as much as 50%, reaching £3.6 billion annually by 2050. More than 300,000 UK commercial properties are estimated to be exposed to flooding. For venues like racecourses that are seasonal, high-profile, and physically vulnerable, a need for innovative, fit-for-purpose protection has never been more pressing. 

This partnership demonstrates how real-time flood intelligence, combined with parametric insurance structures, can unlock cover for risks that the traditional market has struggled to price and protect. It is a model Previsico believes has significant potential across sport, events, and the broader commercial property sector.