Insurance is a data-driven industry. And access to reliable data can make the difference between understanding a r
isk or being caught off guard, between an opportune advantage or a missed opportunity.
With this in mind, we examine three emerging risks: what we know–and don’t know–about a possible large-s
cale space weather catastrophe, the impressive diagnostic abilities of q
uantum sensors, and the sobering realities and potential liabilities of digital addiction.
A Space Weather Event for the Ages?
Could America’s power grid withstand a once-in-a-century space storm?
Researchers and federal regulators are somewhat limited by data availability from past precedent, such as the 1859
Carrington Event. That solar storm was said to be so powerful that it set the
night sky alight and disrupted telegraphic systems around the world.
Scientists suggest that even more powerful solar phenomena–called extreme solar events–might be possible on a star l
ike the sun. Two types o
f extreme solar events keep experts up at night: superflares and extreme solar particle events.
A superflare could deliver a radiation punch to our planet 100 times greater than that of the Carrington Ev
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ent, potentially disrupting (or even destroying) parts of the electrical grid, knocking satellites out of orbit, and causing
radio blackouts around the globe. Scientific estimates on th
e frequency of a potential superflare event vary: some suggest it could be a once-a-millennia ev
ent, while others believe one might occur once every 400 to 2,400 years.
Extreme solar particle events prompted by solar flares and coronal mass ejections–an explosive dose of solar
plasma and magnetic field from the sun’s outer atmosphere–can send
waves of highly energized protons toward the Earth’s surface, potentially depleting ozone and elevating global radiation levels.
Regarding the electric grid, factors such as the geological composition below grid infrastructure are expected t
o play a major role in the location of possible damage. Given the size a
nd intensity of solar events, we can reasonably suspect that a superflare might be even more disruptive than a Carrington-sized event.
A Quantum Leap
While debate rages about when quantum computers will overtake their classical counterparts, quantum sensors have already arrived. Thi
s novel technology holds a number of promising applications for the insur
ance industry, from improved natural disaster monitoring to autonomous vehicle navigation to critical infrastructure monitoring.
Quantum sensing is a broad category with technology that several industries could leverage. For example, certain quantum sensors can identify corros
ion and leaks, precisely monitor greenhouse gas emissions, and map underground areas.
Quantum sensors are extremely responsive and can detect minuscule changes in pressure, frequency, acceleration, rotation, magnetic fields, and more. Th
ey can even “hear” when cracks start to form in certain materials.
Quantum sensors’ high degree of sensitivity means they can perform complex geological surveys that are part
icularly valuable in the energy, construction, and geoengineering sectors.
For insurers, these capabilities can help reduce risks. For example, quantum sensors may be able to detect oil and gas pipeline leaks and identify steel corrosion in bridges earlier than traditional systems.
Additionally, as autonomous trucking advances, these sensors can help properly space commercial truck platoons and identify leaks and corrosion on the vehicles.
Although quantum sensing is the most mature quantum technology, different models remain in various stages of development.