Vortex Insurance launched a new insurance program giving businesses the ability to purchase supplemental hurricane insurance for areas of the U.S. threatened by hurricanes.

Unlike traditional insurance, the InsurTech’s new offering provides coverage in the event of a Category 3 (or stronger) hurricane.

According to the parametric weather insurance provider, there is no loss adjustment process or large deductibles, and payouts are provided rapidly with no questions asked.

The supplemental hurricane insurance covers gaps left by traditional property insurance, according the company’s announcement today.

“We are delighted to make this product available to businesses along the entire Atlantic coast of the U.S. (from Texas to Maine),” said Andy Klaus, vice president of Business Development. “Over the last few years, so many businesses have been negatively impacted by major hurricanes. And this impact is not limited to property damage. Even if a business experiences no physical damage from a storm, there are countless other business interruptions and financial hardships that can occur during and after the storm passes. Our new supplemental hurricane insurance is designed to minimize these financial difficulties by providing a completely independent, transparent, and quick claims process to help close gaps left behind in most traditional property insurance policies. Recoveries are quick and can be used to begin the rebuilding process or for any other purposes.”

Vortex partnered with Speedwell Settlement Services Ltd., a provider of settlement data for parametric weather and climate related contracts, to bring the product to market.

“We’re thrilled to be a part of this innovative product launch. Parametric products such as these are powerful whereas they bring simplicity, transparency, and speed (payment of benefits) to the small and midsize business insurance market. We have a long history of acting as an independent third party for the certification of weather and climate observations for parametric products,” said David Whitehead, CEO of Speedwell Settlement Services.

Policies are triggered at an insured business located within a coverage area, defined by a 20-mi or 40-mi circle centered upon the business (depending upon the product chosen), when a Category 3 or stronger hurricane tracks within the zone. Payouts occur regardless of whether a business has actually experienced physical damage or loss due to the storm.

According to the announcement,the supplemental policy is also structured to offer payouts should more than one triggering hurricane cross into a business policy’s coverage area within the same policy year (subject to overall policy limits). Vortex states policy owners do not need to prove loss or business interruption.

The coverage is available for purchase through an online portal.

(Alexander Gerst/ESA/NASA via AP)