This mini-market briefing will highlight how the insurance market can understand and manage ground risks including subsidence, landslides and coastal erosion.
Climate change is increasing the costs of ground risks to the insurance industry with many of the existing approaches to assessing hazards being outdated or incomplete. Most approaches do not assess the full range of these (often hidden) ground risks.
UK weather records indicate that summers are already becoming hotter and drier which can lead to an increase in subsidence. Relying on historic data as a guide to short-term future risks is becoming an increasingly risky approach as previously unaffected areas of the country are now seeing a growth in claims. In addition, coastal erosion caused by rising sea levels, storm surges and stronger waves are fast becoming a real challenge for many insurers. Erosion risks also occur inland with natural and man-made slopes, abandoned mines and hazardous sinkholes having a devastating impact on property and land.
At this market briefing, our speaker will discuss the key hazards that insurers and reinsurers should be aware of and how understanding and managing the risks will help to minimize the impact and identify new opportunities for the insurance market.