Guy Carpenter Developing New London Flood Model for Insurers.Model Will Provide the Most Accurate Solution Available To Insurers for London Flooding LONDON -- Guy Carpenter Guy Carpenter was fictional character in the Australian soap opera Neighbours played by Andrew Williams from 1991 to 1992. Family Tree
LLC - Logical Link Control , the leading global risk and reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. specialist and a part of Marsh & McLennan Companies, Inc. (NYSE NYSE See: New York Stock Exchange : MMC See MultiMediaCard and Microsoft Management Console. ), announced today that its Instrat[R] unit, which provides quantitative analysis Quantitative Analysis A security analysis that uses financial information derived from company annual reports and income statements to evaluate an investment decision. Notes: and modelling services, will release a new flood model to assess insurance exposure in London. The model will provide potential flood extents for sea surge and river flooding for a series of 1-in-250 year scenarios with and without the effects of flood defence breaching and Thames flood barrier failure. The model, developed in collaboration with a range of providers including JBA (JBA International, Inc., Rolling Meadows, IL) A global developer and supplier of enterprise resource planning (ERP) software for AS/400, Unix and NT platforms. Founded in 1981 as Johnston Brown Associates, in 1999, it was acquired by Canadian-based Geac Computer Corporation. Consulting and Infoterra, will provide the most detailed approach to flood modelling in Central London The term Central London refers to the districts of London which are considered closest to the centre. There is no such conventional definition, nor any official one, for the entire area that can be called "central London". available today. This will be the first model designed for insurance use to incorporate information from the Environment Agency's National Flood Defence Database, enabling a detailed assessment of the consequences of defence breaching. The performance of flood management systems such as defences and the Thames barrier The Thames Barrier is a flood control structure on the River Thames, constructed between 1974 and 1984 at Woolwich Reach, London. It is the world's second largest movable flood barrier (the largest is the Oosterscheldekering in The Netherlands). is critical to flood protection in London, and an understanding of these systems is key to evaluating flood risk in London. Based on the Environment Agency information, defence modelling will be carried out by JBA in consultation with HR Wallingford, UK specialists in the development and application of systems for flood prediction and defence assessment. "The high precision datasets needed for flood modelling are increasingly available, but typically, processing constraints have hindered the ability to use the most detailed information," said Dr. Jane Toothill, head of Guy Carpenter's European Model Development Team. "In this model, the use of JBA's advanced JFLOW-GPU technology enables insurers to access the most advanced technology directly in exposure analysis for the first time." Flood risk in the UK recently has become a matter of growing concern for the insurance industry, amid ever increasing development in flood plain areas and calls from the Association of British Insurers for the government to increase spending on flood protection schemes. For insurers and reinsurers, London represents the greatest accumulation of exposure, and thus the ability to accurately determine maximum potential flood loss has become an imperative for risk managers. Guy Carpenter's new model answers this need by providing unique features that include detailed flow modelling available for central London, based on a 1m horizontal resolution The number of elements, dots or columns from left to right on a printed page, display screen or fixed area such as one inch. Contrast with "vertical resolution," which is the number of rows, dots or lines from top to bottom.  digital elevation model A digital map of the elevation of an area on the earth. The data are either collected by a private party or purchased from an organization such as the U.S. Geological Survey (USGS) that has already undertaken the exploration of the area. .
As the global market leader in the development of catastrophe risk transfer products and risk management tools, Guy Carpenter has led the way in developing analytical models to achieve a greater understanding of natural perils for capital allocation and risk pricing. "The release of this model is an extremely important development for the UK insurance industry," said Dickie Whitaker, Managing Director of Guy Carpenter. "Proper management of flood accumulation is critical to the long-term stability The long-term stability of an oscillator, the degree of uniformity of frequency over time, when the frequency is measured under identical environmental conditions, such as supply voltage, load, and temperature. of many insurance companies. This tool enables a significant increase in confidence levels relating to London flood exposure." Guy Carpenter has collaborated with JBA Consulting in developing the model. JBA is a leading UK-based hydrological hy·drol·o·gy n. The scientific study of the properties, distribution, and effects of water on the earth's surface, in the soil and underlying rocks, and in the atmosphere. consultancy, and its expertise and JFLOW-GPU software has enabled flow modelling in central London at 2m horizontal resolution, a higher level of precision than has been previously available to insurers for flood modelling in the UK. The 1m horizontal resolution LiDAR Digital Terrain Model used in London was provided for the project by Infoterra, a leading provider of terrain mapping in Europe. Risk exposure and insured damage assessments will be available to clients of Guy Carpenter for 1-in-250 year flood scenarios involving different combinations of defence and Thames Barrier failure, including a "worst case" flood outline. Damage assessment calculation will be carried out using G-CAT, Guy Carpenter's proprietary loss modelling platform. G-CAT provides detailed information regarding the location, structure and height of buildings, and calculates expected damage to a portfolio due to flooding based on a detailed database of insurance exposure and claims data built up by Guy Carpenter. For more information on the new London flood model, contact Dickie Whitaker at dickie.whitaker@guycarp.com or Jane Toothill at jane.toothill@guycarp.com. Guy Carpenter & Company, LLC is the world's leading risk and reinsurance specialist and a part of the Marsh & McLennan Companies. Guy Carpenter creates and executes reinsurance and risk management solutions for clients worldwide through 2,600 professionals across the globe. The firm's full breadth of services includes 16 centers of excellence in Accident & Health, Agriculture, Alternative Risk Transfer, Environmental, General Casualty, Investment Banking*, Life & Annuity, Marine & Energy, Professional Liability, Program Manager Solutions, Property, Retrocessional, Structured Risk, Surety, Terror Risk, and Workers Compensation. In addition, Guy Carpenter's Instrat[R] unit utilizes industry-leading quantitative skills and modeling tools that optimize the reinsurance decision-making process and help make the firm's clients more successful. Guy Carpenter's website address is www.guycarp.com. *Securities or investments, as applicable, are offered in the United States through MMC Securities Corp., a US registered broker-dealer and member NASD/SIPC. Advice on securities or investments in the European Union European Union (EU), name given since the ratification (Nov., 1993) of the Treaty of European Union, or Maastricht Treaty, to the European Community is provided through MMC Securities Ltd., regulated by the Financial Services Authority The Financial Services Authority ("FSA") is an independent non-departmental public body and quasi-judicial body that regulates the financial services industry in the United Kingdom. Its main office is based in Canary Wharf, London, with another office in Edinburgh. for the conduct of investment business in the United Kingdom. Reinsurance products are placed through qualified affiliates of Guy Carpenter. MMC Securities Corp. and MMC Securities Ltd. are affiliates of Guy Carpenter. |
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