Flood Hazard Pricing and Insurance Premium Differentials: Evidence from the Housing Market

1990 ◽  
Vol 57 (4) ◽  
pp. 654 ◽  
Author(s):  
Don N. MacDonald ◽  
Harry L. White ◽  
Paul M. Taube ◽  
William L. Huth
Keyword(s):  
Housing Market ◽  
Flood Hazard ◽  
Insurance Premium

Viewscapes and Flood Hazard: Coastal Housing Market Response to Amenities and Risk

2008 ◽  
Vol 84 (3) ◽  
pp. 434-448 ◽  
Author(s):  
O. Bin ◽  
T. W. Crawford ◽  
J. B. Kruse ◽  
C. E. Landry
Keyword(s):  
Housing Market ◽  
Flood Hazard ◽  
Market Response

scholarly journals Flood risk assessment and scenarios for a flood insurance program in central Vietnam EGU2018

2020 ◽  
Author(s):  
Thoa Hoang ◽  
Magali Zuanon ◽  
Tu Vu ◽  
Roberto Ranzi
Keyword(s):  
Flood Risk ◽  
Flood Hazard ◽  
Insurance Premium ◽  
Paddy Rice ◽  
Insurance Companies ◽  
Flood Insurance ◽  
Insurance Program ◽  
Central Vietnam ◽  
Flood Losses

Severe floods occur in several coastal area of Vietnam and causes both properties and causalities. It is important to guide local households in selecting risk management strategies according to their capacity to reduce significant damage (Molinari et al). Insurance was recently recognized as one of the possible non structural measures to mitigate losses and damages from natural disasters (UNISDR, 2015). Despite the huge effect on citizens' life from flood risk and believable higher damages caused by flood in the future due to climate change, it is surprising that there is no flood insurance program in Vietnam. This paper investigates the vulnerability of households to flood and suggests a conceptual framework to implement possible scenarios of flood insurance programs for Central Vietnam. We implement 2D simulations of the physical hazard in term of flooding, velocity, depth and duration, and then combined the flood hazard maps, exposure and vulnerability maps to obtain risk maps. We calculate major flood damages, regarding housing damages and paddy rice damages, for five different return periods (10, 20, 50, 100, 200 years). Based on 386, out of 400 responses to 35 questions in a questionnaire directly related to flood risk and preparedness, the vulnerability curve for direct tangible costs to building structure, building contents, and paddy rice were assessed. We also find that, in the long term, with a proper flood insurance premium, three actors (Vietnam Government, insurance companies, and local households) could all achieve their targets. Local households are insured by insurance contracts against flood losses with a reasonable insurance premium. Vietnam Government might reduce its budget for subsidising local households after flooding by transferring flood risk to insurance companies. Insurance companies might make profits in long term as this market has a potential growth in Vietnam. One more important contribution of this paper is that this measure could guide land planning toward decisions which tend to minimize the total flood losses

scholarly journals THE STUDY OF INSURANCE PREMIUM RATE GIS MAPPING CONSIDERING THE STORM AND FLOOD HAZARD RISKS

2016 ◽  
Vol XLI-B8 ◽  
pp. 95-98
Author(s):  
J. S. Lee ◽  
I. S. Lee
Keyword(s):  
Adverse Selection ◽  
Flood Hazard ◽  
Insurance Premium ◽  
Gis Mapping ◽  
Flood Insurance ◽  
Gis Analysis ◽  
Risk Area ◽  
High Risk Area ◽  
Premium Rate ◽  
Insurance Rate

Recently, the number of natural disaster occurrence is increasing because of abnormal changes of weather in Korea. In Korea the storm and flood insurance system is in effect to prevent these natural disasters. The national storm and flood insurance Premium rate is very low and the risk of adverse selection resides because of choosing by who lives in high risk area. To solve these problems, the storm and flood insurance rate map are required. In this study, the prototype of storm and flood insurance premium rate map of the Ulsan, Korea was made and the method of GIS analysis for the insurance premium rate calculating and the procedure of the Ulsan storm and flood insurance rate map were researched.

scholarly journals Flood insurance rate map for non-structural mitigation

2019 ◽  
Vol 76 ◽  
pp. 03002 ◽  
Author(s):  
Rasyikin Roslan ◽  
Rohayu Che Omar ◽  
M. Hara ◽  
B. Solemon ◽  
I.N.Z Baharuddin
Keyword(s):  
Flood Risk ◽  
Flood Hazard ◽  
Insurance Premium ◽  
Flood Disaster ◽  
Mitigation Measures ◽  
Flood Insurance ◽  
Detailed Knowledge ◽  
Social Infrastructure ◽  
Risk Area ◽  
Insurance Rate

December 2014 flooding in Kelantan river basin caused severe damage to economic and social infrastructure and dealt a serious blow to Kelantan state economies. Mitigation of flood disaster can be successful only when detailed knowledge is obtained about the vulnerability of the people, buildings, infrastructure and economic activities in a flood risk area. Therefore, to identify a community's flood risk, pre-disaster financial instrument will be introduced as non-structural mitigation measures know as flood insurance rate map. This instrument will be developed based on geospatial technology using satellite images, topographic surveys, cadastral map, type of community building such as residential or commercial and households’ income. Flood hazard maps and flood insurance rate map will provide the flood risk zone and flood insurance rate and premium coverage for the affected community. In additions it helps to determine the type of flood insurance coverage is needed since standard homeowners’ insurance doesn't cover flooding. Flood insurance rate map will provide affordable insurance for property owners, based on the lower the degree of risk state in flood hazard map, the lower the flood insurance premium. These insurance rate map are valuable to communities because it creates safer environments by reducing loss of life and decreasing property damage, allows individuals to minimize post-flood disaster disruptions and to recover quicker.

scholarly journals Flood risk assessment and scenarios for a flood insurance program in central Vietnam EGU2018

2020 ◽  
Author(s):  
Thoa Hoang ◽  
Magali Zuanon ◽  
Tu Vu ◽  
Roberto Ranzi
Keyword(s):  
Flood Risk ◽  
Flood Hazard ◽  
Insurance Premium ◽  
Paddy Rice ◽  
Insurance Companies ◽  
Flood Insurance ◽  
Insurance Program ◽  
Central Vietnam ◽  
Flood Losses

Severe floods occur in several coastal area of Vietnam and causes both properties and causalities. It is important to guide local households in selecting risk management strategies according to their capacity to reduce significant damage (Molinari et al). Insurance was recently recognized as one of the possible non structural measures to mitigate losses and damages from natural disasters (UNISDR, 2015). Despite the huge effect on citizens' life from flood risk and believable higher damages caused by flood in the future due to climate change, it is surprising that there is no flood insurance program in Vietnam. This paper investigates the vulnerability of households to flood and suggests a conceptual framework to implement possible scenarios of flood insurance programs for Central Vietnam. We implement 2D simulations of the physical hazard in term of flooding, velocity, depth and duration, and then combined the flood hazard maps, exposure and vulnerability maps to obtain risk maps. We calculate major flood damages, regarding housing damages and paddy rice damages, for five different return periods (10, 20, 50, 100, 200 years). Based on 386, out of 400 responses to 35 questions in a questionnaire directly related to flood risk and preparedness, the vulnerability curve for direct tangible costs to building structure, building contents, and paddy rice were assessed. We also find that, in the long term, with a proper flood insurance premium, three actors (Vietnam Government, insurance companies, and local households) could all achieve their targets. Local households are insured by insurance contracts against flood losses with a reasonable insurance premium. Vietnam Government might reduce its budget for subsidising local households after flooding by transferring flood risk to insurance companies. Insurance companies might make profits in long term as this market has a potential growth in Vietnam. One more important contribution of this paper is that this measure could guide land planning toward decisions which tend to minimize the total flood losses

scholarly journals THE STUDY OF INSURANCE PREMIUM RATE GIS MAPPING CONSIDERING THE STORM AND FLOOD HAZARD RISKS

2016 ◽  
Vol XLI-B8 ◽  
pp. 95-98
Author(s):  
J. S. Lee ◽  
I. S. Lee
Keyword(s):  
Adverse Selection ◽  
Flood Hazard ◽  
Insurance Premium ◽  
Gis Mapping ◽  
Flood Insurance ◽  
Gis Analysis ◽  
Risk Area ◽  
High Risk Area ◽  
Premium Rate ◽  
Insurance Rate

Recently, the number of natural disaster occurrence is increasing because of abnormal changes of weather in Korea. In Korea the storm and flood insurance system is in effect to prevent these natural disasters. The national storm and flood insurance Premium rate is very low and the risk of adverse selection resides because of choosing by who lives in high risk area. To solve these problems, the storm and flood insurance rate map are required. In this study, the prototype of storm and flood insurance premium rate map of the Ulsan, Korea was made and the method of GIS analysis for the insurance premium rate calculating and the procedure of the Ulsan storm and flood insurance rate map were researched.

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