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Flood risks: big data is helping business keep its head above water

Bad weather in Britain is like a polite story. But the warm and humid climate goes beyond just chatting. Downpour is more common and floods are increasing. After flash floods this summer, parts of London resembled Venice. Like water levels, economic sacrifices are increasing.

The UK’s summer 2007 flood (a once-in-a-century event) caused £ 1.5 billion in damage to homes. About 3 million homes in the UK are at risk of flooding. Assuming the weather pattern continues, Ambiental Risk Analytics believes that by 2050, another 1.2 million UK properties could be added to the tally. A consultant firm spun out of the University of Cambridge is one of the consultants who is using advances in mapping and data to tackle this problem.

The cost of flooded homes can spread to insurance companies and mortgage lenders. The latter faces a decline in collateral value. Ambient boss Justin Butler calculates that about 4 percent of the value of a home will be lost when it first floods. In addition, floods inflate that number. At this rate, flood-related insurance premiums will double over the next 30 years without measures to mitigate the impact.

The problem is global. 2011 Thai floods knocked out Key link In the global supply chain. According to a recent study, half of Louisiana’s critical infrastructure faces flood risk this year.Climate change could result in $ 4 trillion shelter status US Municipal Bond Market To the problem.

Warning signals allow businesses to move staff and equipment out of dangerous areas. Another university spin-out, Previsico, supplements official alerts with warnings about surface flooding, a growing threat.

Improvement Hydrological Modeling techniques such as water cycle tracking and prediction are growth areas. Previsico, which raised £ 1.75 million to fund the expansion of the United States, says it can predict floods up to 25 million resolutions with up to 90% accuracy.

Index compilers and hedge funds apply big data techniques to identify flood risks borne by businesses. One area of ​​research is the automatic matching of all company-occupied addresses with their location relative to waterways and the sea. This allows investors to more accurately find flooded companies and reduce their exposure when a storm is predicted.

Like a storm, fire is both a blessing and a curse for humankind. Insurance companies have long required householders to take action against fire. A smoke detector comes to my mind. Expect flood protection and forecasting techniques to become equally important as the threat of water to wealth and health increases.

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Flood risks: big data is helping business keep its head above water Source link Flood risks: big data is helping business keep its head above water