JBA Risk Management has launched the first-ever probabilistic global flood model, which allows reinsurers to model river and surface water floods at 30-meter resolutions worldwide.
The Global Flood Model not only fills gaps left by currently available catastrophe models but also enables consistent comparison of loss across country and continental borders.
It’s supported by FLY, the firm’s “groundbreaking modeling technology” that allows risk quantification for any location around the world and removes the need to embed assumptions into the model – letting users investigate and customize each aspect of the model when analyzing a portfolio.
“The Global Flood Model opens up a whole world of new opportunity. Firstly, it presents users with a probabilistic flood model for any country and thereby eliminates the coverage gap. This is a huge step forward. Secondly, the system is unprecedented in its flexibility, enabling users to customize the model to create the view of risk most relevant to their portfolio,” said Stephen Hutchings, head of modelling at JBA Risk Management.
Jane Toothill, director at JBA Risk Management, added: “Gaps in global coverage, often in important flood-prone regions, have proved costly for (re)insurers and the market has long been demanding consistent and transparent global data. We knew we had to think differently in order to overcome the challenges of creating a global flood model and JBA’s FLY was the technological breakthrough we needed. This is a really exciting new direction for the modelling industry.”
The new model is easy to access as it runs within the Oasis Loss Modelling Framework and is available via JBA or via in-house installation.
“JBA Risk Management has taken a bold new approach in overcoming the challenges of creating a global flood model,” said Dickie Whitaker, chief executive officer of Oasis.
“This is a significant development which we hope will be transformative for the industry. Its compatibility with Oasis is a key benefit, making the model easily accessible to the market, and allowing users to model other perils alongside flood.”