FRAT 1.0 - Flood Risk Assessment Tool Czech Republic
FRAT (Flood Risk Assessment Tool Czech Republic) is a joint venture of Swiss Re and MultiMedia Computer (MMC).
Objectives
The Czech Republic has been repeatedly affected by severe flooding in recent years. Swiss Re, as the leading reinsurer and developer of catastrophe models, and MMC, the leading provider of GIS (Geographic Information System) technology, have joined forces to develop a flood risk assessment tool for the Czech insurance market. This tool fully supports the underwriting process of primary insurers. The tool can now price selected properties according to their flood risk exposure. It can also be used as a basis for improved flood accumulation reporting and control, and enables Czech primary insurers to apply state-of-the-art flood risk management technologies.
Functional modes
The tool is designed as a stand-alone software solution (CD-ROM) and offers two basic functional modes:
- The user, for instance, a risk manager or insurance agent, enters data on the property location using the full address (street, house number, city). The address, or part thereof, is located and transformed into geographic coordinates, which are used for zoning analysis.
- The system generates information on the flood risk exposure of the selected location and displays it on-screen. The tool distinguishes six different flood risk zones (zones 1 to 6, ranging from very low to very high risk), and the historically observed maximum flood boundary. The result is also translated into the CAP (Czech Insurance Association) format for designating tariff zones.
Methodologies and technology
Flood risk zoning
During the past few years, a Swiss Re team of hydraulic engineers, hydrologists, GIS specialists and statisticians developed statistical methodology to derive flood risk zones based on detailed digital terrain models (DTM). The prediction success of the methodology prompted Swiss Re to apply for a patent.
- FRAT 1.0 flood risk zoning is based on the best DTM available in the Czech Republic. The DTM features a horizontal resolution of 10m, ie a reading is generated for every 10m of elevation.
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Due to the high impact of local factors, such as river defences or roads which are not reflected in the high resolution DTM, the high frequency flood risk (zone 6) is not derived by the statistical methodology but by detailed processing on the part of MMC.
Geo database, geo-coding
The FRAT 1.0 address database is the most up-to-date geo database currently available in the Czech Republic and covers about 70% of property addresses in insurance portfolios (CEDA database). This makes it possible to determine the coordinates of individual properties in the 75 largest cities of the Czech Republic.
Visualisation components
The position of the property in question is depicted graphically on a map. The system uses Atlas CR 150 and city maps (scale 1:10 000) for approximately 75 cities of the Czech Republic.
Figure 1: Example of geo-coding at city level
Figure 2: Example of geo-coding at street level
Distribution
- Swiss Re and MMC have decided to offer FRAT 1.0 CD-ROMs for a nominal fee to Czech clients of Swiss Re, the Czech Insurance Association (CAP) and to all companies within CAP. Other insurance companies with insured interests in the Czech Republic can gain access to the application by written request to Swiss Re or MMC.
- Each CD-ROM must be registered online to prevent illegal copying.
Further information about natural catastrophes.
