30 Apr 2024
Climate Risk Stress Testing for Physical Risk from Natural Hazards
Methodologies on Climate Scenario Analysis for insurers have been developing rapidly over last years. Ongoing attention by all stakeholders, pilot exercises all over the world and a substantial increase in awareness towards climate-related risks have incited insurers to develop and refine their stress testing capabilities on climate-related risks.
In this session, we will focus on the practical aspects of physical climate risk modelling and scenario analysis for insurers, providing a step-by-step walkthrough on key elements of such an analysis based on a case study. Specifically, we will discuss and illustrate hands-on approaches on modelling damages on location-based portfolios, such as real estate asset or property insurance portfolios. We will present results from case studies on damages from flood, wildfire, and tropical cyclones for selected countries, leveraging peer-reviewed public data. Furthermore, we will discuss the challenges on application for insurers, and also highlight key assumptions, limitations and uncertainties accompanying this assessment.
The web session is open to all interested persons working within the insurance industry, with a particular focus on risk managers faced with climate change risk assessments. Preliminary knowledge in climate risk is helpful, but not a prerequisite.
Technical RequirementsPlease check with your IT department if your firewall and computer settings support web session participation (the programme Zoom will be used for this online training). Please also make sure to join the web session with a stable internet connection.
Purpose and Nature
Daniel TeetzDaniel is a Senior Manager at Oliver Wyman Actuarial Services in Germany, specializing in climate risk management for insurers. He is advising insurers globally on various aspects of quantitative and qualitative climate change risk assessment, climate risk scenario analysis and risk management integration. He has extensive hands-on experience in practical implementation of climate risk stress testing.
Daniel holds degrees in Physics and in Mathematics from RWTH Aachen and LMU Munich. He is a CFA (Chartered Financial Analyst) charterholder, and also holds the Sustainability and Climate Risk Certificate (SCR) from the Global Association of Risk Professionals (GARP).
Jonas GrundmannJonas is a Consultant at Oliver Wyman Actuarial Services in Germany. He has gained a range of experiences in quantitative risk modelling for insurance companies, including hands-on experience with data sources and modelling tools for physical climate risks.
Jonas holds degrees in Mathematics and in Economics from RWTH Aachen. His Master Thesis focused on climate change stress testing on real estate portfolios.