1. Adverse effect on corporate costs or revenue of the non-catastrophic effect of weather that deviates from normal conditions; e.g. poor heating energy sales due to mild winter. Weather-sensitive businesses use weather derivatives. 2. Risk of injury/damage by high severity/low probability events such as severe windstorm. Insurance is the usual response. 3. Adverse effect on insurers’ underwriting results following widespread losses through hurricane, tornado, flood, etc. Reinsurance is the traditional response, but catastrophe bonds or swaps, and other alternative risk transfer products, are also used. See also WEATHER INSURANCE; PLUVIUS INSURANCE.