Aon to include US storms in expanded AER
Aon has announced the expansion of its Automated Event Response (AER) service to include US severe convective storms (SCS), further helping insurers to manage losses, deploy resources and respond quickly to policyholders during active weather events.
According to Aon US SCS has emerged as one of the most volatile sources of catastrophe loss for the insurance industry. According to Aon’s 2026 Climate and Catastrophe Insight report, SCS has become the costliest insured peril of the 21st century on a cumulative basis, with approximately $794 billion in price-inflated insured losses. In the US alone, SCS drove $52 billion in insured losses in 2025, reinforcing the need for faster, decision-ready loss intelligence during active events.
An expansion of Aon’s existing AER platform, which already covers perils including US hurricanes, European windstorms and Japanese typhoons, the US SCS service combines Aon’s latest SCS catastrophe model with daily meteorological data and storm reports to provide updated event loss estimates aligned to how insurers manage their portfolios, capital, and business operations as events occur.
Against continued loss pressure from SCS on insurers’ profitability, the AER solution is designed to support faster, more confident decisions during active events and in the critical days that follow. By delivering daily, decision‑ready loss and claims count estimates, AER helps insurers manage SCS volatility across underwriting, exposure management, reinsurance and claims.
According to Aon key benefits include:
• Drives faster response times with greater confidence – Daily loss insights support earlier operational decisions, including claims triage, staffing and communications with executives and key stakeholders.
• A view of gross, ceded and net positions in reinsurance terms – Customisable event windows and financial breakouts help carriers evaluate losses in line with treaty structures and hours clauses, supporting more informed decisions on reinsurance usage, reinstatements and capital deployment.
• Strengthened stakeholder communications – Automated, email‑based delivery reduces the need for manual model runs or data consolidation across platforms, allowing catastrophe, exposure management and claims teams to focus more time on interpreting results and advising the business rather than on process.
• The ability to make clearer portfolio and pricing decisions around SCS tail risk – By leveraging Aon’s latest SCS catastrophe model and the trends highlighted in its Climate and Catastrophe Insight report, carriers can better understand event severity, informing portfolio optimisation, pricing strategies and future capital decisions.
Tracy Hatlestad, head of North America analytics for Aon’s Reinsurance Solutions, said: “Severe convective storms are no longer isolated events for insurers – they are an ongoing source of volatility that is reshaping how capital and claims decisions are made. During active events and in the days that follow, carriers face increasing pressure to act earlier, communicate clearly and understand their net positions while loss information is still evolving. Having daily, decision‑ready loss insights is becoming critical to managing U.S. SCS exposure with clarity and confidence.”
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