Risk and Insurability of Storm Damages to Residential Buildings in Austria

Franz Prettenthaler (), Hansjörg Albrecher (), Judith Köberl () and Dominik Kortschak ()
Additional contact information
Franz Prettenthaler: POLICIES—Centre for Economic and Innovation Research, JOANNEUM RESEARCH Forschungsgesellschaft m.b.H., Leonhardstraße 59, Graz 8010, Austria.
Hansjörg Albrecher: Université de Lausanne, Quartier UNIL-Dorigny, Bâtiment Extranef, 1015 Lausanne.
Judith Köberl: POLICIES—Centre for Economic and Innovation Research, JOANNEUM RESEARCH Forschungsgesellschaft m.b.H., Leonhardstraße 59, Graz 8010, Austria.
Dominik Kortschak: Université de Lausanne, Quartier UNIL-Dorigny, Bâtiment Extranef, 1015 Lausanne.

The Geneva Papers on Risk and Insurance - Issues and Practice, 2012, vol. 37, issue 2, 340-364

Abstract: This paper develops a stochastic model to assess storm risk in Austria, which relates wind speed and actual losses. By virtue of a building-stock-value-weighted wind index, we use suitably normalised historical loss data of residential buildings over 12 years and corresponding wind speed data to calibrate the model. Subsequently, additional wind speed data is used to generate further scenarios and to obtain loss curves for storm risk that give rise to storm insurance loss quantiles and corresponding solvency capital requirements both on the aggregate and on the regional level. We also investigate the diversification effect across regions and use tools from extreme value theory to assess the insurability of storm risk in Austria in general.

Date: 2012
References: Add references at CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://www.palgrave-journals.com/gpp/journal/v37/n2/pdf/gpp201215a.pdf Link to full text PDF (application/pdf)
http://www.palgrave-journals.com/gpp/journal/v37/n2/full/gpp201215a.html Link to full text HTML (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:gpprii:v:37:y:2012:i:2:p:340-364

Ordering information: This journal article can be ordered from
http://www.springer.com/finance/journal/41288/PS2

Access Statistics for this article

The Geneva Papers on Risk and Insurance - Issues and Practice is currently edited by Christophe Courbage

More articles in The Geneva Papers on Risk and Insurance - Issues and Practice from Palgrave Macmillan, The Geneva Association Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().