JBA Risk Management launches Australian Flood Model

UK-based flood science specialist JBA Risk Management has launched a new comprehensive Australian inland flood model to meet increasing demand from the insurance and risk markets for better flood insights. Traditionally considered a secondary peril, flooding is becoming an increasing concern for the insurance sector with significant flood events in New South Wales and Queensland in recent years and the latest, ex-Tropical Cyclone Alfred, that made landfall on the Australian east coast this weekend causing widespread devastation.  

The new model includes detailed 5m flood data coverage for Australia’s key urban areas like Sydney, Brisbane, and Melbourne among several others, integrating both physical and statistical approaches to assess pluvial and fluvial flooding from tropical and non-tropical storm events. The rest of the country is covered to a consistent 30m resolution. The Australia Flood Model is underpinned by JBA high-resolution flood maps which are already used by around half of the insurance market in the country to support risk-based decisions around flood.

JBA’s use of fully hydro-dynamically modelled flood maps ensures the most realistic representation of flood water dynamics across diverse terrain, incorporating the latest 2D hydraulic modelling, terrain data, channel capacity, and sea level science, alongside flood defense data. In addition to offering forward-looking insights into potential changes in flood risk and associated losses by 2050 and 2080, based on climate scenarios RCP4.5 and RCP8.5, the model also provides a sensitivity analysis tool, enabling clients to explore a range of ‘what if” scenarios.

Built on Oasis-enabled technology, JBA’s new model is fully customizable, enabling users to dynamically create models using event sets, hazards, and vulnerabilities in real-time. It is also accessible through Verisk's Model Exchange Platform and IF Elements.

Mansi Kalra, Managing Director, JBA Risk Management Pte said:

“Our Australia Flood Model complete with the new sensitivity tool is a first for the Australian market, providing comprehensive coverage and insight at a level of detail not previously available, enabling our users to better evaluate climate change impacts on flood risk for better portfolio planning, capital management, and regulatory compliance. Feedback from the market has already been extremely positive.”

James Knight, Head of APAC, View of Risk Advisory at Aon, commented on the launch:

“JBA’s local flood solutions help our clients to make more informed decisions around flood risk. This is particularly the case in urban centres that hold the largest aggregations of flood- prone property”.

“We find the modelled expectations of the floodplain match up well to some of the more major observed flooding events that we’ve experienced locally in recent years.”

Stephen Lau, Principal, Finity, added:

“Flood is a significant hazard risk in Australia and New Zealand, with a number of flood catastrophes affecting numerous communities in recent years. As a result, the insurance, banking, corporate and government sectors turn to Finity for advice on how to understand, underwrite, manage and mitigate flood risk: to do this JBA’s high resolution flood models are crucial. We look forward to the launch of JBA’s Australia Flood Model, which will enable even deeper insights for our clients by offering a consistent view of risk across the entire risk transfer chain.”