2020 U.S. Hurricane Season Preview

Eric Uhlhorn, Ph.D.

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 1 1 Meet Dr. Uhlhorn

Eric Uhlhorn, Ph.D. Principal Scientist

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 2 2 Agenda 2019 Hurricane Season Recap

Primary Factors Influencing Hurricane Activity

Seasonal Forecasts

Secondary Factors Influencing Hurricane Activity

Tropical Cyclones, Climate Change, and COVID-19

AIR Hurricane Contest

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 3 3 2019 Hurricane Season Recap

2019 Avg.

Named 18 14 Storms

Hurricanes 6 7

Major 3 3 Hurricanes

U.S. Hurricane 2 1–2

U.S. Major Hurricane 0 <1 Landfalls

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 4 4 2019 Hurricane Season Recap

2019 Avg.

Named 18 14 Storms

Hurricanes 6 7

Major 3 3 Hurricanes

U.S. Hurricane Landfalls 2 1–2

U.S. Major Hurricane 0 <1 Landfalls

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 5 5 2019 Hurricane Season: Strongest August 24 – September 7 September 23 – October 2 Peak Intensity: 185 mph / 910 mb Peak Intensity: 160 mph / 925 mb

• Tied for most intense landfalling Atlantic hurricane • Easternmost Atlantic Cat-5 on record • Stalled over Bahamas for 27 hours at Cat-5 strength • Most destructive Azores storm on record and particularly moving only 25 miles in 24 hours (2nd in record) powerful extratropical storm for British Isles • Storm tide of 20-25 ft and ~3 ft of rainfall over Bahamas • Huge swells led to deaths along U.S. Eastern Seaboard • Extensive damage to Outer Banks and Nova Scotia

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 6 6 2019 Hurricane Season: Wettest July 11 – July 15 September 17 – September 19 Peak Rainfall: 23.58 in – Ragley, LA Peak Rainfall: 44.29 in – Fannett, TX

• Flooding along and River • 5th wettest hurricane in contiguous U.S. which were already at record levels • Dumped rains of 30-44 in over 3 days between • Surge was predicted to break levees and Beaumont, TX • 16.59 in. of rain in Dierks, AR, is state record and 5th • 31 in of rain in Fannett, TX fell in just 12 hours U.S. state all-time TC rainfall record in span of 3 years

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 7 7 Primary Factors Influencing Hurricane Activity

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 8 8 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in

1. Warm Water

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 9 9 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in Tropical Cyclogenesis

1. Warm Water

2. Vertical Instability

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 10 10 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in Tropical Cyclogenesis

1. Warm Water

2. Vertical Instability

3. Elevated Moisture

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 11 11 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in Tropical Cyclogenesis

1. Warm Water

2. Vertical Instability

3. Elevated Moisture

4. Added Vorticity

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 12 12 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in Tropical Cyclogenesis

1. Warm Water

2. Vertical Instability

3. Elevated Moisture

4. Added Vorticity

5. Low

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 13 13 Primary Factors Influencing Hurricane Activity 6 Canonical Factors Involved in Tropical Cyclogenesis

1. Warm Water

2. Vertical Instability

3. Elevated Moisture

4. Added Vorticity

5. Low Wind Shear

6. Off Equator

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 14 14 Factors Influencing Seasonal Hurricane Activity

1. Phase of the El - Impacts vertical wind Niño – Southern shear and instability Oscillation (ENSO) over Atlantic 2. Tropical North - Provides energy for Atlantic Sea storms developing Surface over tropical North Temperatures (SST) Atlantic

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 15 15 Factors Influencing Seasonal Hurricane Activity: ENSO

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 16 16 Factors Influencing Seasonal Hurricane Activity: ENSO

Enhanced Convection & Lower Wind Shear

Atlantic Circulation Hurricane Enhances Activity Increases

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 17 17 Factors Influencing Seasonal Hurricane Activity: ENSO

SST Anomalies

NINO 4 1 0.5 0 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN 1 El Niño NINO 3.4 0.5 0 -0.5 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN NINO 3 0.5 0 -0.5 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN La Niña 1 NINO 1+2

0

-1

JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 18 18 Factors Influencing Seasonal Hurricane Activity: ENSO

ENSO Neutral to weak La Niña favored

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 19 19 Factors Influencing Seasonal Hurricane Activity: SST

Atlantic Multidecadal Oscillation

From Kaplan SST V2 per Enfield et al. (2001, GRL) Currently warmer than average trend in Atlantic SSTs

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 20 20 Factors Influencing Seasonal Hurricane Activity: SST

Atlantic Multidecadal Oscillation Cool Phase AMO

Warm Phase AMO

From Kaplan SST V2 per Enfield et al. (2001, GRL) Currently warmer than average trend in Atlantic SSTs Goldenberg et al. (Science, 2001)

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 21 21 Factors Influencing Seasonal Hurricane Activity: SST

July August September October

°C -3 -2 -1 -0.5 -0.25 0.25 0.5 1 2 3 NMME Models: ▪ NCEP CFSv2 ▪ CMC CanCM3 Abnormally warm Atlantic SSTs are favored all season ▪ CMC CanCM4 ▪ GFDL FLOR ▪ GFDL CM2.1 ▪ NCAR CCSM4 ▪ NASA GEOS5 ▪ NCAR CESM

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 22 22 The Bottom Line

• A trend toward the cool ENSO phase (La Niña) is under way

NINO 3.4 Atlantic Atlantic SSTs Wind Shear Hurricanes

• Atlantic remains elevated relative to average

Atlantic Atlantic SSTs Hurricanes • Both are indicative of an ABOVE AVERAGE Atlantic Hurricane season

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 23 23 Seasonal Forecasts

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 24 24 Seasonal Forecasts

https://seasonalhurricanepredictions.bsc.es/

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 25 25 Seasonal Forecasts: Storms Forecast Number of Named Storms Forecast Number of Hurricanes Forecast Number of Major Hurricanes

Named Storms Hurricanes Major Hurricanes LOW MEAN HIGH LOW MEAN HIGH LOW MEAN HIGH Forecast Average 13.6 16.9 19.9 6.5 8.5 10.4 2.9 4.0 5.5 30-Year Average 7 14 28 2 7 15 0 3 7

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 26 26 Seasonal Forecasts: Storms

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 27 27 Seasonal Forecasts: ACE Forecast ACE Storm Accumulated Cyclone Energy (ACE): • Storm Intensity 푻 ퟐ • Storm Duration 푨푪푬푺푻푶푹푴 = ෍ 푽풎풂풙 ퟏ Season ACE: Computed over each storm and depends on the frequency of occurrence of storms

푵 ACE 푨푪푬 = ෍ 푨푪푬 푺푬푨푺푶푵 푺푻푶푹푴 LOW MEAN HIGH ퟏ Forecast Average 104.2 149.0 192.3 30-Year Average 32 119.6 245.3

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 28 28 2020 Atlantic Basin Storm Names Arthur Hanna Omar Bertha Isaias Paulette Cristobal Josephine Rene Dolly Kyle Sally Edouard Laura Teddy Fay Marco Vicky Gonzalo Nana Wilfred

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 29 29 2020 Atlantic Basin Storm Names Arthur Hanna Omar Bertha Isaias Paulette Cristobal Josephine 17# Rene Dolly Kyle Sally Edouard Laura Teddy 6th Year in a Row Fay FirstMarco Named Storm Before Start Vickyof Season Gonzalo Nana Wilfred

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 30 30 2020 Atlantic Basin Storm Names Arthur Hanna Omar BerthaArthur Bertha Isaias Paulette Cristobal Josephine 17# Rene Dolly Kyle Sally Edouard Laura Teddy 6th Time6th Year in Entire in a RowRecord Fay First2+Marco Named Named Storms Storm BeforeBefore StartStart ofVickyof SeasonSeason Gonzalo Nana Wilfred

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 31 31 2020 Atlantic Basin Storm Names Arthur Hanna Omar BerthaArthur Bertha Isaias Paulette Cristobal Josephine 17# Rene Dolly Kyle Sally Edouard Laura Teddy 6Earliestth Time6th Year 3inrd EntireNamed in a RowRecord Storm Fay First2+Marco Named Namedin Atlantic Storms Storm Hurricane BeforeBefore StartStart History ofVickyof SeasonSeason Gonzalo Nana Wilfred

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 32 32 Secondary Factors Influencing Hurricane Activity

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 33 33 Factors Influencing Seasonal Hurricane Activity

1. Saharan Air Layer - Impacts SST, shear, (SAL) moisture, and instability 2. Madden-Julian - Impacts instability and Oscillation (MJO) moisture 3. Atlantic Meridional - Impacts SST, shear, Mode (AMM) and instability 4. North Atlantic - Impacts steering Oscillation (NAO) currents

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 34 34 Factors Influencing Seasonal Hurricane Activity: SAL

Cools Surface

Dries Mid-Levels Saharan Dust Stabilizes Air Column

Saharan dust appears across the tropical North Atlantic Ocean in this image captured by the GOES East satellite on June 27, 2018 ©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 35 35 Factors Influencing Seasonal Hurricane Activity: MJO

Moves eastward through the tropics for 40-60 days Enhances & suppresses instability

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 36 36 Factors Influencing Seasonal Hurricane Activity: MJO

Moving eastward with time

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 37 37 Factors Influencing Seasonal Hurricane Activity: MJO

Moving eastward with time

More active Less active

MJO becoming less active in Atlantic through mid-June

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 38 38 Factors Influencing Seasonal Hurricane Activity: AMM

• Atmosphere & ocean evolve in tandem to increase (AMM+) or decrease (AMM-) hurricane activity

Kossin & Vimont (GRL, 2007) Chiang & Vimont (J. Climate, 2004)

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 39 39 Factors Influencing Seasonal Hurricane Activity: AMM

• Atmosphere & ocean evolve in tandem to increase (AMM+) or decrease (AMM-) hurricane activity

• Can increase or decrease effects of ENSO

Change in Accum. Cyclone Energy

Patricola et al. (J. Climate, 2014) Chiang & Vimont (J. Climate, 2004)

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 40 40 Factors Influencing Seasonal Hurricane Activity: AMM

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 41 41 Factors Influencing Seasonal Hurricane Activity: AMM

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 42 42 Factors Influencing Seasonal Hurricane Activity: NAO

NAO Positive Phase

H

Modified from UCAR

Elsner (2003)

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 43 43 Factors Influencing Seasonal Hurricane Activity: NAO

NAO Negative Phase

H

Modified from UCAR

Elsner (2003)

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 44 44 Factors Influencing Seasonal Hurricane Activity: NAO

Forecast for NAO to trend negative = More likely western Atlantic tracks

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 45 45 Tropical Cyclones, Climate Change, and COVID-19

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 46 46 Tropical Cyclones & Climate Change

Murakami et al. (PNAS, 2020) • Trends in frequency since 1980 cannot be explained entirely by natural variability

• High-resolution global climate models show this pattern is due to human activity

• Overall decrease in tropics is due to greenhouse gases while difference between basins is driven by aerosols

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 47 47 Tropical Cyclones & Climate Change Kossin et al. (PNAS, 2020) • Built a record of tropical cyclone intensity for 1979-2017 using satellite data • Statistically significant trends across the globe and in individual basins • Major hurricane exceedance probability across the globe increases by 8% per decade • The odds of an Atlantic hurricane developing into a Category 3 storm or greater has increased by 42% every decade since 1979

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 48 48 Tropical Cyclones & COVID-19 Making the Unknowns Known Emergency Shelters Workers

Business & Out-of- Special Needs State Support

Long Distance Unemployment Evacuees Post-Event Hospitalizations

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 49 49 Tropical Cyclones & COVID-19 Making the Unknowns Known Emergency Shelters Workers

For the latest COVID-19 information, explore our COVID-19 Projection Tool: Business & Out-of- Special Needs https://www.air-worldwide.com/models/Life/ State Support verisk-covid-19-dashboard

Long Distance Unemployment Evacuees Post-Event Hospitalizations

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 50 50 Catalog Viewer Evaluate your Real-Time Risk during Hurricane Season

Web-based analytics platform

Complete transparency into AIR’s10,000- year catalog of simulated U.S. hurricanes

Hosted entirely on the cloud

Flexible data queries and data analysis

Easily export event sets to Touchstone® and TouchstoneRe™

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 51 51 Stay One Step Ahead with Verisk’s Real-Time Risk Products Tuesday, August 18 11:00 a.m. – 12:00 noon EDT

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 52 52 Today’s Key Takeaways

Academic and scientific institutions predict an above- average 2020 U.S. Atlantic hurricane season

Several primary and secondary climate factors impact hurricane frequency and severity—their cycles can range from days to years

AIR has a complementary set of solutions to help the (re)insurance community manage risk across policy lifecycles

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 53 53 AIR Hurricane Contest

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 54 54 AIR Hurricane Contest 25 Contest Entries Expert Forecasts 20 1851-2019 Climatology

15

10

5

0 Named Storms Hurricanes Major Hurricanes Landfalls

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 55 55 Thank You!

A recording of today’s webinar and the slide deck will be distributed shortly.

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Image credit: NOAA/RAMMB

©2020 AIR Worldwide CONFIDENTIAL: For Webinar Attendees Only 56 56