Andreas Schraft on the next frontier – the societal impact of catastrophes
14 Jul 2016
The Head of Cat perils, Swiss Re, welcomed participants to the Catastrophe Knowledge Exchange event at the Swiss Re Centre for Global Dialogue.
Click here to find out more about the event.
Read the text version of Andreas Schraft’s interview here:
“Having this exchange, talking about what we do on a daily basis, I think that's very helpful. It's very different than listening to a presentation where someone just shows to the shiny side of their model but here we have the opportunity to open the box and see how we do things and also talk about the things where we are not sure how we can do it, where we want to learn something from the others here. That's the main benefit I'm expecting and also seeing happening here.
We've learned from big events in the past: Katrina, the earthquake in Japan, earthquake in New Zealand, where there have been surprises with many aspects but we've learned from those. Our models have become better. We have a better and deeper understanding of what could happen. Then on the other hand there's also enough capital. There's a lot of good underwriters, risk managers, cat models, there's the expertise around in the industry to cope with an event like Katrina.
What we've done so far is we've looked at science and engineering. That's where most of the cat models come from. Where we need to go in the future is understanding how people interact with natural catastrophes. What happens once the earthquake is there? How do people react? How are insurance policies applied? How are claims adjusted, but also, how is politics reacting to it? And so on. That's something which we don't yet understand but we see it's very important to understand the outcome of natural catastrophe in financial terms.”
Click below to read the themes from the first Catastrophe Knowledge Exchange:
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