{"id":904,"date":"2024-09-10T14:16:48","date_gmt":"2024-09-10T14:16:48","guid":{"rendered":"http:\/\/cherishedmemoriesstudios.com\/?p=904"},"modified":"2024-09-11T16:34:28","modified_gmt":"2024-09-11T16:34:28","slug":"executive-exchange-using-advanced-toolsto-drill-into-flood-risk","status":"publish","type":"post","link":"http:\/\/cherishedmemoriesstudios.com\/index.php\/2024\/09\/10\/executive-exchange-using-advanced-toolsto-drill-into-flood-risk\/","title":{"rendered":"Executive Exchange: Using Advanced Toolsto Drill Into Flood Risk"},"content":{"rendered":"<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/insuranceindustryblog.iii.org\/wp-content\/uploads\/2024\/09\/GettyImages-180808619-scaled.jpg\"><img loading=\"lazy\" width=\"1024\" height=\"681\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" alt=\"\" class=\"wp-image-19063 lazyload\" data-src=\"http:\/\/cherishedmemoriesstudios.com\/wp-content\/uploads\/2024\/09\/GettyImages-180808619-1024x681-1.jpg\"><\/a><\/figure>\n<\/p>\n<p>Analysis based on precise, granular data is key to fair, accurate insurance pricing \u2013 and is more important than ever before in an era of increased climate-related risks. In a recent Executive Exchange discussion with Triple-I CEO Sean Kevelighan, a co-founder of Norway-based <a href=\"https:\/\/7analytics.ai\/\">7Analytics<\/a> discussed how his company\u2019s methodology \u2013 honed by use in the oil and gas industry \u2013 can help insurers identify opportunities to profitably write flood coverage in what might seem to be \u201cuntouchable\u201d areas.<\/p>\n<p>7Analytics uses hydrology, geology, and data science to develop high-precision flood risk data tools.<\/p>\n<p>\u201cWe are four oil and gas geologists behind 7Analytics,\u201d said Jonas Torland, who also is the company\u2019s chief commercial officer, \u201cand between us we\u2019ve spent 100 years chasing fluids in the very complicated subsurface.\u201d<\/p>\n<p>Torland believes his firm can bring a new level of refined expertise to U.S. insurers seeking to pinpoint pockets of insurability against flood.<\/p>\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\">\n<div class=\"wp-block-embed__wrapper\">\n<p><iframe loading=\"lazy\" title=\"Executive Exchange - 7Analytics\" width=\"960\" height=\"540\" src=\"https:\/\/www.youtube.com\/embed\/Vun62W0SRzI?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<\/div>\n<\/figure>\n<p>\u201cInstead of analyzing faults and carrier beds, we\u2019re now analyzing streams and culverts and changing land-use features,\u201d Torland told Kevelighan. \u201cI think the approach we bring is brilliant for problems related to climate and population migration and urban pluvial flooding in particular.\u201d<\/p>\n<p>Torland said he hopes his company can help close the U.S. flood protection gap by giving private insurers the comfort levels and incentives they need to write the coverage. While <a href=\"https:\/\/www.iii.org\/sites\/default\/files\/docs\/pdf\/triple-i_state_of_the_risk_floods_08162023.pdf\">more insurers<\/a> have been covering flood risk in recent years, the National Flood Insurance Program (NFIP) still underwrites the lion\u2019s share of flood risk.<\/p>\n<p>NFIP\u2019s recently reformed pricing methodology, <a href=\"https:\/\/www.fema.gov\/flood-insurance\/risk-rating\">Risk Rating 2.0<\/a> \u2013 which aims to make the government agency\u2019s premium rates more actuarially sound and equitable by better aligning them with individual properties\u2019 risk \u2013 has created concerns among policyholders whose premiums are rising as rates become more aligned with principles of risk-based pricing.<\/p>\n<p>As the cost of participating in NFIP rises for some, it is reasonable to expect that private insurers will recognize the market opportunity and respond by applying cutting-edge data and analytics capabilities and more refined pricing techniques to seize those opportunities. This is where Torland believes 7Analytics can help, and he noted that the company had already had some positive test results in flood-prone Florida.<\/p>\n<p>Kevelighan agreed that solutions like those provided by 7Analytics are what is needed to help private insurers close the flood insurance gap. Insurers are telling Triple-I as much.<\/p>\n<p>\u201cI think we can all agree that the current way we review flood risk is antiquated,\u201d Kevelighan said. \u201cSo we\u2019ve got to bring that new technology, that new innovation to begin changing behaviors and changing how and where we develop and how we live.\u201d<\/p>\n<p><strong>Learn More:<\/strong><\/p>\n<p><strong><a href=\"https:\/\/www.iii.org\/article\/flood-state-of-the-risk\">Triple-I &#8220;State of the Risk&#8221; Issues Brief: Flood<\/a><\/strong><\/p>\n<p><strong><a href=\"https:\/\/insuranceindustryblog.iii.org\/accurately-writingflood-coverage-hinges-on-diverse-data-sources\/\">Accurately Writing Flood Coverage Hinges on Diverse Data Sources<\/a><\/strong><\/p>\n<p><strong><a href=\"https:\/\/insuranceindustryblog.iii.org\/lee-county-fla-towns-could-lose-nfip-flood-insurance-discounts\/\">Lee County, Fla., Towns Could Lose NFIP Flood Insurance Discounts<\/a><\/strong><\/p>\n<p><strong><a href=\"https:\/\/insuranceindustryblog.iii.org\/miami-dade-fla-sees-flood-insurance-rate-cuts-thanks-to-resilience-investment\/\">Miami-Dade, Fla., Sees Flood-Insurance Rate Cuts, Thanks to Resilience Investment<\/a><\/strong><\/p>\n<p><strong><a href=\"https:\/\/insuranceindustryblog.iii.org\/milwaukee-district-eyes-expanding-nature-based-flood-mitigation-plan\/\">Milwaukee District Eyes Expanding Nature-Based Flood-Mitigation Plan<\/a><\/strong><\/p>\n<p><strong><a href=\"https:\/\/insuranceindustryblog.iii.org\/attacking-the-risk-crisis-roadmap-to-investmentin-flood-resilience-2\/\">Attacking the Risk Crisis: Roadmap to Investment in Flood Resilience<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Analysis based on precise, granular data is key to fair, accurate insurance pricing \u2013 and is more important than ever before in an era of increased climate-related risks. In a recent Executive Exchange discussion with Triple-I CEO Sean Kevelighan, a co-founder of Norway-based 7Analytics discussed how his company\u2019s methodology \u2013 honed by use in the oil and gas industry \u2013 can help insurers identify opportunities to profitably write flood coverage in what might seem to be \u201cuntouchable\u201d areas. 7Analytics uses hydrology, geology, and data science to develop high-precision flood risk data tools. \u201cWe are four oil and gas geologists behind 7Analytics,\u201d said Jonas Torland, who also is the company\u2019s chief commercial officer, \u201cand between us we\u2019ve spent 100 years chasing fluids in the very complicated subsurface.\u201d Torland believes his firm can bring a new level of refined expertise to U.S. insurers seeking to pinpoint pockets of insurability against flood. \u201cInstead of analyzing faults and carrier beds, we\u2019re now analyzing streams and culverts and changing land-use features,\u201d Torland told Kevelighan. \u201cI think the approach we bring is brilliant for problems related to climate and population migration and urban pluvial flooding in particular.\u201d Torland said he hopes his company can help close the U.S. flood protection gap by giving private insurers the comfort levels and incentives they need to write the coverage. While more insurers have been covering flood risk in recent years, the National Flood Insurance Program (NFIP) still underwrites the lion\u2019s share of flood risk. NFIP\u2019s recently reformed pricing methodology, Risk Rating 2.0 \u2013 which aims to make the government agency\u2019s premium rates more actuarially sound and equitable by better aligning them with individual properties\u2019 risk \u2013 has created concerns among policyholders whose premiums are rising as rates become more aligned with principles of risk-based pricing. As the cost of participating in NFIP rises for some, it is reasonable to expect that private insurers will recognize the market opportunity and respond by applying cutting-edge data and analytics capabilities and more refined pricing techniques to seize those opportunities. This is where Torland believes 7Analytics can help, and he noted that the company had already had some positive test results in flood-prone Florida. Kevelighan agreed that solutions like those provided by 7Analytics are what is needed to help private insurers close the flood insurance gap. Insurers are telling Triple-I as much. \u201cI think we can all agree that the current way we review flood risk is antiquated,\u201d Kevelighan said. \u201cSo we\u2019ve got to bring that new technology, that new innovation to begin changing behaviors and changing how and where we develop and how we live.\u201d Learn More: Triple-I &#8220;State of the Risk&#8221; Issues Brief: Flood Accurately Writing Flood Coverage Hinges on Diverse Data Sources Lee County, Fla., Towns Could Lose NFIP Flood Insurance Discounts Miami-Dade, Fla., Sees Flood-Insurance Rate Cuts, Thanks to Resilience Investment Milwaukee District Eyes Expanding Nature-Based Flood-Mitigation Plan Attacking the Risk Crisis: Roadmap to Investment in Flood Resilience<\/p>\n","protected":false},"author":1,"featured_media":906,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[15],"tags":[],"_links":{"self":[{"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/posts\/904"}],"collection":[{"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/comments?post=904"}],"version-history":[{"count":2,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/posts\/904\/revisions"}],"predecessor-version":[{"id":907,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/posts\/904\/revisions\/907"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/media\/906"}],"wp:attachment":[{"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/media?parent=904"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/categories?post=904"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cherishedmemoriesstudios.com\/index.php\/wp-json\/wp\/v2\/tags?post=904"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}