{"id":39,"date":"2021-04-12T01:10:01","date_gmt":"2021-04-12T05:10:01","guid":{"rendered":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/?post_type=chapter&#038;p=39"},"modified":"2022-07-14T19:28:15","modified_gmt":"2022-07-14T23:28:15","slug":"catastrophe-models","status":"publish","type":"chapter","link":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/chapter\/catastrophe-models\/","title":{"raw":"Catastrophe Models","rendered":"Catastrophe Models"},"content":{"raw":"Actuaries (professionals who study, measure and predict risk) use mathematical simulation models called <i>catastrophe models <\/i>(or <i>Cat Models, <\/i>for short) to produce estimates of damages and losses along with the probability of their occurrence.\r\n\r\nWatch the videos, below, for an explanation of how Cat models work (full screen recommended)\r\n\r\nhttps:\/\/mediaspace.royalroads.ca\/id\/0_bba8jvwk\r\n<h6>Video attribution: \"Catastrophe Models - Part 1\"\u00a0by\u00a0Todd Thexton,\u00a0Financial Impact of Climate Change,\u00a0<a href=\"https:\/\/adaptationlearningnetwork.com\/\" target=\"_blank\" rel=\"noopener\">Adaptation Learning Network<\/a>\u00a0is licensed under\u00a0<a href=\"http:\/\/creativecommons.org\/licenses\/by\/4.0\" target=\"_blank\" rel=\"noopener\">CC BY 4.0<\/a>.<\/h6>\r\nhttps:\/\/mediaspace.royalroads.ca\/id\/0_8x5cvcta\r\n<h6>Video attribution: \"Catastrophe Models - Part 2\"\u00a0by\u00a0Todd Thexton,\u00a0Financial Impact of Climate Change,\u00a0<a href=\"https:\/\/adaptationlearningnetwork.com\/\" target=\"_blank\" rel=\"noopener\">Adaptation Learning Network<\/a>\u00a0is licensed under\u00a0<a href=\"http:\/\/creativecommons.org\/licenses\/by\/4.0\" target=\"_blank\" rel=\"noopener\">CC BY 4.0<\/a>.<\/h6>\r\n&nbsp;\r\n\r\nRead more about how actuaries use catastrophe models (like the one introduced in the video) in Chapter 2 (pp. 16 \u2013 21) of CISL\u2019s <i>Physical risk framework:<\/i>\u00a0<a href=\"https:\/\/www.cisl.cam.ac.uk\/business-action\/sustainable-finance\/climatewise\/transition-risk-report-request\" target=\"_blank\" rel=\"noopener\">A primer for investors and lenders on insurers\u2019 natural catastrophe models for extreme weather perils<\/a>. In Cambridge Institute for Sustainability Leadership (CISL). (2019).\u00a0<i>Physical risk framework: Understanding the impacts of climate change on real estate lending and investment portfolios<\/i>.","rendered":"<p>Actuaries (professionals who study, measure and predict risk) use mathematical simulation models called <i>catastrophe models <\/i>(or <i>Cat Models, <\/i>for short) to produce estimates of damages and losses along with the probability of their occurrence.<\/p>\n<p>Watch the videos, below, for an explanation of how Cat models work (full screen recommended)<\/p>\n<p><iframe loading=\"lazy\" id=\"kaltura_player\" title=\"Catastrophe Models Part 1\" src=\"https:\/\/api.ca.kaltura.com\/p\/143\/sp\/14300\/embedIframeJs\/uiconf_id\/23449610\/partner_id\/143?iframeembed=true&#38;playerId=kaltura_player&#38;entry_id=0_bba8jvwk&#38;flashvars[leadWithHTML5]=true&#38;flashvars[streamerType]=auto&#38;flashvars[localizationCode]=en&#38;flashvars[sideBarContainer.plugin]=true&#38;flashvars[sideBarContainer.position]=left&#38;flashvars[sideBarContainer.clickToClose]=true&#38;flashvars[chapters.plugin]=true&#38;flashvars[chapters.layout]=vertical&#38;flashvars[chapters.thumbnailRotator]=false&#38;flashvars[streamSelector.plugin]=true&#38;flashvars[EmbedPlayer.SpinnerTarget]=videoHolder&#38;flashvars[dualScreen.plugin]=true&#38;flashvars[Kaltura.addCrossoriginToIframe]=true&#38;wid=0_g0it4jze\" width=\"400\" height=\"285\" allowfullscreen=\"allowfullscreen\" sandbox=\"allow-downloads allow-forms allow-same-origin allow-scripts allow-top-navigation allow-pointer-lock allow-popups allow-modals allow-orientation-lock allow-popups-to-escape-sandbox allow-presentation allow-top-navigation-by-user-activation\" frameborder=\"0\"><\/iframe><\/p>\n<h6>Video attribution: &#8220;Catastrophe Models &#8211; Part 1&#8221;\u00a0by\u00a0Todd Thexton,\u00a0Financial Impact of Climate Change,\u00a0<a href=\"https:\/\/adaptationlearningnetwork.com\/\" target=\"_blank\" rel=\"noopener\">Adaptation Learning Network<\/a>\u00a0is licensed under\u00a0<a href=\"http:\/\/creativecommons.org\/licenses\/by\/4.0\" target=\"_blank\" rel=\"noopener\">CC BY 4.0<\/a>.<\/h6>\n<p><iframe loading=\"lazy\" id=\"kaltura_player\" title=\"Catastrophe Models Part 2\" src=\"https:\/\/api.ca.kaltura.com\/p\/143\/sp\/14300\/embedIframeJs\/uiconf_id\/23449610\/partner_id\/143?iframeembed=true&#38;playerId=kaltura_player&#38;entry_id=0_8x5cvcta&#38;flashvars[leadWithHTML5]=true&#38;flashvars[streamerType]=auto&#38;flashvars[localizationCode]=en&#38;flashvars[sideBarContainer.plugin]=true&#38;flashvars[sideBarContainer.position]=left&#38;flashvars[sideBarContainer.clickToClose]=true&#38;flashvars[chapters.plugin]=true&#38;flashvars[chapters.layout]=vertical&#38;flashvars[chapters.thumbnailRotator]=false&#38;flashvars[streamSelector.plugin]=true&#38;flashvars[EmbedPlayer.SpinnerTarget]=videoHolder&#38;flashvars[dualScreen.plugin]=true&#38;flashvars[Kaltura.addCrossoriginToIframe]=true&#38;wid=0_pktfh57v\" width=\"400\" height=\"285\" allowfullscreen=\"allowfullscreen\" sandbox=\"allow-downloads allow-forms allow-same-origin allow-scripts allow-top-navigation allow-pointer-lock allow-popups allow-modals allow-orientation-lock allow-popups-to-escape-sandbox allow-presentation allow-top-navigation-by-user-activation\" frameborder=\"0\"><\/iframe><\/p>\n<h6>Video attribution: &#8220;Catastrophe Models &#8211; Part 2&#8221;\u00a0by\u00a0Todd Thexton,\u00a0Financial Impact of Climate Change,\u00a0<a href=\"https:\/\/adaptationlearningnetwork.com\/\" target=\"_blank\" rel=\"noopener\">Adaptation Learning Network<\/a>\u00a0is licensed under\u00a0<a href=\"http:\/\/creativecommons.org\/licenses\/by\/4.0\" target=\"_blank\" rel=\"noopener\">CC BY 4.0<\/a>.<\/h6>\n<p>&nbsp;<\/p>\n<p>Read more about how actuaries use catastrophe models (like the one introduced in the video) in Chapter 2 (pp. 16 \u2013 21) of CISL\u2019s <i>Physical risk framework:<\/i>\u00a0<a href=\"https:\/\/www.cisl.cam.ac.uk\/business-action\/sustainable-finance\/climatewise\/transition-risk-report-request\" target=\"_blank\" rel=\"noopener\">A primer for investors and lenders on insurers\u2019 natural catastrophe models for extreme weather perils<\/a>. In Cambridge Institute for Sustainability Leadership (CISL). (2019).\u00a0<i>Physical risk framework: Understanding the impacts of climate change on real estate lending and investment portfolios<\/i>.<\/p>\n","protected":false},"author":120,"menu_order":4,"template":"","meta":{"pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[48],"contributor":[],"license":[],"class_list":["post-39","chapter","type-chapter","status-publish","hentry","chapter-type-numberless"],"part":3,"_links":{"self":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapters\/39","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/wp\/v2\/users\/120"}],"version-history":[{"count":11,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapters\/39\/revisions"}],"predecessor-version":[{"id":306,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapters\/39\/revisions\/306"}],"part":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/parts\/3"}],"metadata":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapters\/39\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/wp\/v2\/media?parent=39"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/pressbooks\/v2\/chapter-type?post=39"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/wp\/v2\/contributor?post=39"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/pressbooks.bccampus.ca\/financialimpactclimatechange\/wp-json\/wp\/v2\/license?post=39"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}