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Climate risks: Impact on natural hazards insurance between now and 2040

Climate risks: Impact on natural hazards insurance between now and 2040

Climate risks : Impact on natural hazards insurance between now and 2040
12/12/2016

The increasing frequency and intensity of natural hazards is often cited as an early indicator of climate change. Insurers, using past figures for insurance payments for damage caused by natural hazards having occurred in metropolitan France, have attempted, with the study Climate Change and Insurance (Changement climatique et assurance), to reply to the following question: Is it possible to put a figure on the impact of climate change on insurance between now and 2040 ?

A remark should be made about the time horizon used for this study. Twenty-six years is a short period in climate terms. Nevertheless, this horizon was chosen because putting a figure on the impact requires climate projections to be considered together with projections of social and economic assets and activities at risk. In terms of these latter projections, 26 years is a long time and indeed represents the limit for a credible projection. The period chosen is therefore a compromise.
The study was based on a projection of the socio-economic data (housing and other assets and activities exposed to natural hazards) on the one hand and a climate projection on the other.

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