Catastrophe Risk Trends in Insurance, Finance, and Modeling – Article in Contingencies
An Ounce of Prevention: Catastrophe Risk Trends in Insurance, Finance, and Modeling
by Claude Penland, ACAS, MAAA
It’s estimated that there was over $250 billion of economic loss worldwide associated with catastrophes in 2010, with $38 billion in insured loss. The cause was a succession of meteorological evils of almost Biblical proportions: Five severe weather events (tornadoes, hail, severe thunderstorm winds), one winter-based storm event (snow, icing, cold temperatures, and damaging winds), two earthquake events, and two flood events, layered on top of lesser winter storms, severe weather, flooding, tropical cyclone activity, earthquakes, and wildfires.
Looking ahead, the Tropical Meteorology Project at Colorado State University forecasts the 2011 hurricane season will be exceptionally active. It’s been five years since a major hurricane struck the U.S. coast. Are we due? And, more importantly, what should we do?
Read the rest of the article as published in Contingencies, May/June 2011 issue.
(If you have trouble with that link, the article is available via .pdf as well.)
Related posts:
- Insured Catastrophe Losses of $38 Billion in 2010. What were some of the causes?
- What do you Think about the Veracity of the “Hurricane Frequency Paradox”?
- 2011 Hurricane Season Expected to be Exceptionally Active
- Risk and Insurance Article Archive Announced at ClaudePenland.com/multimedia
- Catastrophe Risk Bonds Article, New York Times
