EQECAT Hurricane Model Certified by Florida Commission; Model Approved for Seventh Consecutive Year.

Business Editors

OAKLAND, Calif.--(BUSINESS WIRE)--May 20, 2004

EQECAT, Inc. announced today that the Florida Commission on Hurricane Loss Projection Methodology (FCHLPM) unanimously re-certified EQECAT's Hurricane model for use in Florida.

The certification was the seventh in a row. "EQECAT's Hurricane model has been certified by FCHLPM on the first review of its model every year since the inception of the certification process," said Tom Larsen, senior vice president of product management. "No other model has equaled the EQECAT record of certification without ever having to go through a subsequent supplemental meeting."

EQECAT, the authority in extreme risk modeling, provides leading insurance companies worldwide with innovative, reliable and technically robust tools and solutions, covering natural hazards in 88 countries, the highest number of any organization.

EQECAT's U.S. Hurricane model is used by primary insurers, reinsurers, intermediaries, and other financial institutions to develop strategies for pricing, portfolio management, and risk transfer.

Certification Includes On-Site Review By Expert Panel

To be certified, a company must meet a number of requirements set by the FCHLPM. The standards are verified by a professional team, consisting of an independent panel of experts, through an on-site review at the company. After the panel completes its review process, the company must present its model to the commission at the FCHLPM's annual conference.

The EQECAT Hurricane model met all requirements established by the FCHLPM, including those covering vulnerability, validation, computing, statistics, and the actuarial use of modeled loss costs. "The Florida certifications process presents users with a special opportunity to differentiate all models in a public venue," Mr. Larsen said.

Hurricane Model Is Part Of WORLDCATenterprise(TM)

EQECAT's U.S. Hurricane model was released in 1994, and has undergone five major upgrades since then.

"The current U.S. hurricane model is a part of our latest offering of the WORLDCATenterprise, providing users with a complete solution," Mr. Larsen said. "All our models may be licensed to our clients."

EQECAT Serves Global Insurance, Business, Financial Services 

EQECAT, Inc., an affiliate of ABSG Consulting Inc., serves the global property and casualty insurance industry, major multinational corporations and financial institutions. EQECAT is known as the technical leader and innovator in the development of analysis tools and methodologies to quantify insurers and major corporations exposure to natural and manmade catastrophic risk.

It is a recognized industry thought-leader providing the expertise and real-world tested tools to turn risk-theory into innovative actions and solutions to effectively manage extreme-risk worldwide. EQECAT's flagship product, WORLDCATenterprise is a multi-user platform for evaluating insured risks for many natural catastrophe perils in 88 countries.

EQECAT was founded in 1994 and is headquartered in Oakland, California. ABSG Consulting Inc., headquartered in Houston, Texas, has risk-management revenues of more than $140 million, and more than 1,000 employees worldwide. For additional information, please log on to www.absconsulting.com, or www.EQECAT.com.