How satellite technology is changing the wildfire insurance response

When a wildfire destroys hundreds of properties in hours, traditional claims assessment cannot keep pace. Loss adjusters face access difficulties, smoke and debris complicate site inspections, and payouts can take months. This operational problem is reshaping how the market thinks about wildfire cover and how quickly claims timelines can realistically move.

Liberty and ICEYE have launched a building-level parametric wildfire insurance product to address this gap, with initial availability in the US and Australia. The product uses satellite radar technology to assess property damage and trigger payouts within days of a wildfire event.

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The solution is built on ICEYE’s constellation of Synthetic Aperture Radar (SAR) satellites, which monitor wildfire-affected areas continuously. The satellites capture high-resolution imagery through smoke, at night and in all weather conditions.

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After a wildfire, SAR imagery is combined with property footprint data and machine learning algorithms to produce a building-level damage assessment. Each insured property is classified as either destroyed or undamaged against predefined criteria, with results deliverable within hours.

The binary classification removes the need for site visits or loss adjusters. When agreed loss parameters are met, payout procedures are triggered within days.

The scale of recent losses gives the product launch its sharpest context. According to Moody’s, the Los Angeles wildfires generated between US$20 billion and US$30 billion in insured losses in 2025.

Wildfires and severe convective storms together drove the majority of global insured catastrophe losses that year. This pattern is reshaping underwriting, capital planning and reinsurance demand across the property market.

Why speed matters to the market

Jean-Christophe Garaix, head of parametrics and agriculture at Liberty, said the product is designed to respond more quickly than traditional indemnity cover.

“By pushing the boundaries of technology, we are delivering a new generation of parametric wildfire coverage that is faster, more responsive, and fully data driven,” he said. He added that the cover allows for more efficient claims settlement alongside traditional insurance.

Anke Sielker, head of reinsurance solutions at ICEYE, said the partnership produces fast and verifiable damage assessments at the property level.

“Built on rapid and verifiable observation data from our SAR satellite constellation, this offering provides quick confirmation when agreed loss parameters are met,” she said.

The product is designed for homeowner associations, residential communities, municipalities, public risk pools, infrastructure owners, and re/insurers with property portfolios seeking to reduce wildfire exposure.

A market moving toward parametric

The launch sits within a broader strategic direction for Liberty. In January 2026, Liberty Mutual Reinsurance partnered with the European Space Agency on satellite-based parametric products. The work focused on agriculture and forestry risk, with remote-sensing technology positioned as a core underwriting and claims tool.

Liberty is not alone in moving in this direction. In August 2025, SiriusPoint provided capacity for Arden’s wildfire programme in California. The programme embedded parametric cover within a policy targeting multi-family buildings in a market where standard carriers have pulled back significantly.

Both companies said the product is targeted for expansion as ICEYE broadens its product scope.