Payouts Made on AWS Outage Claims

Rapid payments made on AWS outage incident;

Parametrix, the leading provider of downtime insurance solutions for digital infrastructure and technology risk, has already paid claims to clients impacted by the Amazon Web Services (AWS) us-east-1 outage on October 20, 2025.

Such prompt payment allows businesses affected by the incident to recover very quickly. Parametrix had provided its insurer partners with a clear, data-driven breakdown of the outage within hours of the event’s conclusion. Customers affected were identified, and their exposure levels estimated. This real-time transparency ensured all stakeholders had full situational awareness immediately, and confidence in the measured financial impact of the outage.

Parametrix informed brokers of impacted client policies within 24 hours. They were then immediately able to circulate Declaration of Loss requests to their claimants. Once loss confirmation had been returned to Parametrix, claims payment commences for completion within two weeks, ensuring rapid liquidity and business continuity following the disruption.

Shay Simkin, Global Chair of Howden Cyber, says, “The speed and clarity of Parametrix’s response to the AWS outage have been exceptional. The process was straightforward, and our clients immediately understood what was covered and the amount to be paid. They appreciate the simplicity and efficiency, receiving confirmation and payment within days.” “

At Parametrix, everything begins with our clients,” said Ori Cohen, COO of Parametrix. “When disruptions happen, they shouldn’t be left waiting for answers or compensation. We work hand-inhand with our insurers and brokers to provide full transparency from the moment an event begins. Our parametric model ensures that clients have the funds they need to recover quickly and confidently.”

The AWS outage on October 20, which originated in the largest AWS cloud region, unfolded across two distinct phases. The first disrupted core services such as EC2, Lambda, and API Gateway. The second affected autoscaling and new-instance creation. This two-phase structure made the event especially complex, impacting organizations differently depending on their architecture and reliance on dynamic infrastructure scaling. The full Parametrix analysis is available here.