Insurers need to improve understanding of flood risk exposure – Swiss Re

Thammasat University in Thailand

Insurers are underestimating their potential losses from catastrophic flooding, as they are failing to understand fully their risk exposure, Swiss Re has warned.

Recent catastrophic flooding events have demonstrated the need for flooding to be considered a primary peril within catastrophe models to reflect the level of potential losses that flooding can cause, according to the reinsurer.

Historically the limited level of insured losses that normally arise from flooding have led to the peril

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