Eqecat plans to release an upgraded version of its German flood model, enabling the European and international insurance industry to more effectively manage flood exposures there.
The model, to be released in late June is part of its EuroFlood platform.
James Webb, EQECAT product manager, speaking to clients at Eqecat's 2006 Catastrophe Management Conference, in Amsterdam, said: “Flood events that have struck Europe from the 1990s to the present have shown that exposure to flood events has been underestimated, and the insurance market continues to express concern as to the ability to control exposure to large flood events.
“The loss potential is significant: for example, the insured losses from the Elbe River flood event in 2002 amounted to €1.8bn in Germany alone, and around €2.5bn across Continental Europe, placing it in the world's 30 most costly insured losses since 1970 according to Swiss Re.
“Large flood events can consist of river-based and non-river-based flooding. While Eqecat's previous German flood model covered river-based flooding only, the new release will cover other types of flooding for all Germany through the use of a new flood modeling methodology.
"This upgraded model is part of Eqecat's continuing focus on providing clients with a reliable modelling solution centered on the best available science, engineering, and modeling methodologies."
Webb explained that the new Eqecat German flood model is a fully probabilistic tool enabling insurers to assess building asset exposure to various flood types in Germany.
