Flood Risk Modeling to Support Risk Transfer: Challenges and Opportunities in Data-scarce Contexts

The "Flood Risk Modeling to Support Risk Transfer: Challenges and opportunities in data-scarce contexts" report reviews the processes and challenges in developing flood risk models to support disaster risk financing and insurance and proposes guidelines for risk modeling and risk monitoring in support of flood risk transfer instruments for data-scarce contexts. The guidance in this report is informed by consultations with insurance industry and development sector practitioners including with flood hazard and risk modeling experts, underwriters and brokers, and earth observation specialists.The guidance should be considered by organizations commissioning flood models for DRFI purposes, to develop greater understanding of the technical and non-technical needs of such projects.

This report is part of the ongoing partnership between the World Bank, through its Disaster Risk Financing and Insurance Program (DRFIP), and the Insurance Development Forum to deliver joint analytical and technical products to inform the design of financial (market-based) instruments and policy reforms for increased financial resilience and protection for people, communities, businesses, and public institutions vulnerable to climate shocks and disasters.

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Read the full report in Spanish here.