A Preview of the AIR Typhoon Models for Southeast Asia
CONFIDENTIAL ©2016 AIR WORLDWIDE 1 A Preview of the AIR Typhoon Models for Southeast Asia
Apoorv Dabral, Ph.D. Kevin Hill, Ph.D., Ruilong Li, Ph.D.
CONFIDENTIAL ©2016 AIR WORLDWIDE 2 Growth in Non-Life Insurance Market in Asia-Pacific
2014 Non-Life Premium in USD billion (Swiss Re, Sigma) 120 80 40 0
Change in Non-Life Premium from 2005 to 2014 (Swiss Re, Sigma) 300%
200%
100%
0%
CONFIDENTIAL ©2016 AIR WORLDWIDE 3 Some Major Typhoons that Have Affected Southeast Asia
Typhoon Morakot, 2009 Typhoon Haiyan, 2013 - Haiyan • One of the strongest typhoons to make landfall • Significant storm surge - Morakot
• Record-breaking Typhoon Ketsana, 2009 precipitation - Ketsana • Significant flooding • Major losses in Philippines and Vietnam
4 CONFIDENTIAL ©2016 AIR WORLDWIDE
Southeast Asia Typhoon Models – Update and Expansion
Taiwan Hong Kong Currently Supported Territories Territories: Added in 2016 Models • Taiwan • Guam • Hong Kong • Macau • Philippines • Saipan • Vietnam
Philippines
CONFIDENTIAL ©2016 AIR WORLDWIDE 5 High Resolution IEDs Explicitly Capture Large Industrial Facilities and Tall Buildings
‒ Explicitly capturing large industrial facilities and parks ‒ Tall buildings classification ‒ High geographic resolution ‒ Better risk differentiation
CONFIDENTIAL ©2016 AIR WORLDWIDE 6 The Southeast Asia Typhoon Models Include Significant Hazard Updates
- Part of basinwide catalogue that covers the region - 1 km resolution - Updated wind field and flood modules • Wind: region-specific wind–central pressure relationship, Willoughby decay • Flood: CASC2D, time- dependent - Storm surge module for the Philippines, Hong Kong, and Taiwan
CONFIDENTIAL ©2016 AIR WORLDWIDE 7 The Updated Southeast Asia Typhoon Models Provide Capability to Assess a Wide Variety of Risk Types
- Conventional buildings, contents, and business interruption - Infrastructure - Marine cargo and hull - Large industrial facilities - CAR/EAR - General auto - 2-wheeled vehicles - Warehouses
CONFIDENTIAL ©2016 AIR WORLDWIDE 8 Upcoming AIR Events with More Comprehensive Model Details
April – Philadelphia
June and August • Singapore • Vietnam • Philippines • Beijing • Indonesia • Taiwan
CONFIDENTIAL ©2016 AIR WORLDWIDE 9 Hazard Updates
Kevin Hill, Ph.D.
CONFIDENTIAL ©2016 AIR WORLDWIDE 10 Hazard Module Has Undergone a Comprehensive Update
Guam, Model Saipan, Macau, and resolution has been Storm surge Vietnam have increased to component been added a uniform features a 1-km numerical model (SuWAT)
AIR Typhoon Modifications Models for to the stochastic Storm surge Southeast Asia – catalogue for hazard added Hazard Module the Philippines for the and Guam Philippines, Hong Kong, and Taiwan
Flood hazard features a Wind numerical hazard model calculation (CASC2D) updated
CONFIDENTIAL ©2016 AIR WORLDWIDE 11 High-Resolution Model Allows for More Granular View of Risk
Previous Release: 81 unique points Updated model: ~400,000 points (Manila area shown)
CONFIDENTIAL ©2016 AIR WORLDWIDE 12 Stochastic Catalogue Validates Well for Modelled Territories
Landfall Frequencies – the Philippines
0.40
0.35 Events - Modified landfall 0.30 intensities are included 0.25 0.20
in the models for Guam Landfalling and Philippines 0.15 0.10 0.05 0.00
Proportion of 0 1 2 3 4 5 Saffir Simpson Category
Historical Prev. Stochastic Updated Stochastic
13 CONFIDENTIAL ©2016 AIR WORLDWIDE
Many New Marquee Events Have Been Added
Taiwan Herb 96 Existing Nari 01 Hong Kong- Toraji 01 Added Macau Haitang 05 Rose 71 Sepat 07 Hope 79 Morakot 09 Ellen 83 Sam 99 Philippines Nuri 08 Joan 70 Guam-Saipan Hagupit 08 Mike 90 Karen 62 Vicente 2012 Angela 95 Pamela 76 Vietnam Vicki 98 Paka 97 Xangsane 06 Durian 06 Pongsona 02 Ketsana 09 Fengshen 08 Nesat 2011 Ketsana 09 Vicente 12 Megi 10 Washi 11 Nesat 11 Bopha 12 Haiyan 13 CONFIDENTIAL ©2016 AIR WORLDWIDE 14 Wind Hazard Is Modelled in a Robust Fashion
- Maximum wind speed is modelled using a wind–central pressure relationship customised for typhoons affecting Southeast Asia • Based on Japan Meteorological Agency (JMA) data 180
160 140 120 100 80 60
40 JMA Data
MaximumWind Speed (mph) 20 SEAsiaSoutheast Best Fit Asia Best Fit 0 880 900 920 940 960 980 1000 1020 Central Pressure (mb)
CONFIDENTIAL ©2016 AIR WORLDWIDE 15 Wind Hazard Modelled in a Robust Fashion
- Radial decay of wind speed is based upon Willoughby et al. (2006) • Dual exponential wind profile is the most accurate match to observed wind speeds
CONFIDENTIAL ©2016 AIR WORLDWIDE 16 Wind Hazard Modelled in a Robust Fashion
- Friction and gust factors Rough -- recalculated using same smooth
methodology and data as for other Asia regions • These are dependent on wind direction • Provides detailed wind speed footprint for coastal and inland area
CONFIDENTIAL ©2016 AIR WORLDWIDE 17 Maximum Winds for Hong Kong Events Modelled Accurately
Nuri 2008
Hope 1979 Ellen 1983 Sam 1999
120
100 Hagupit 2008 80
60
40
WindSpeed(mph) 20
0 Hope Ellen Sam Nuri Hagupit Vicente Model HK Observatory Vicente 2012
CONFIDENTIAL ©2016 AIR WORLDWIDE 18 Taiwan Return Period Winds Compare Favorably to Engineering Studies
Model 100-year return period wind map Taipei
Hualien
Engineering Study is Jang and Lee,1997: Analysis of Design Wind Speed Distribution of Taiwan Area, J. Marine Science and Techn.
CONFIDENTIAL ©2016 AIR WORLDWIDE 19 The Philippines 100-Year Return Period Winds Compare Favorably to Local Study
Model 100 year return period wind speeds Regional Severe Wind (1-min sust.) Hazard Map 1% AEP (1/100)
Wind Speed (mph) < 38 38-54 54-87 87-136 136-163 >163
CONFIDENTIAL ©2016 AIR WORLDWIDE 20 Precipitation Model Captures Storm and Local Effects
- Modelled precipitation depends on typhoon characteristics and accounts for geographic and local effects - Higher resolution than previous model is more likely to resolve areas of maximum precipitation
Taibei Hualien Kaohsiung GSOD Hong Kong Observed vs Modeled Precip 5 yr RP Ha Noi Model 350
300
Da Nang 250 Manila 200 150 Guam Nha Trang Guiuan 100 Mactan Precipitation(mm) 50 0 Guam Ha Noi Da Nang NhaTrang Hong Guiuan Mactan Manila Taibei Hualien Kaohsiung Kong Station
CONFIDENTIAL ©2016 AIR WORLDWIDE 21 Flood Component Features Physically Based Hydrologic Model
- CASC2D is time dependent, so flood depth is influenced by rainfall rate and total precipitation - Amount of water that infiltrates depends on soil type and slope - Routing depends on slope and surface friction (vegetation, Manning Coefficient)
CONFIDENTIAL ©2016 AIR WORLDWIDE 22 Flood for Ketsana (2009) Modelled Very Well
Track across The Philippines by Ketsana (Ondoy) as a weak Tropical Storm in Sept 2009.
Ketsana flooded more than 80% of the city of Manila Modelled flood footprint
CONFIDENTIAL ©2016 AIR WORLDWIDE 23 Flood Model Captures Areas Vulnerable to Flood Around Taipei
Chi-Lung River Chi-Lung River Hun-Shui River
Hun-Shui River
Hsin-Tian River Source: National Taiwan University Hsin-Tian River and University of Exeter
Flood Map of Taipei – 200 Year Taipei Region from AIR Model – 250 Year
CONFIDENTIAL ©2016 AIR WORLDWIDE 24 Surge Component Also Features a Physically Based Model
- Storm surge peril modelled using SuWAT - coupled numerical model of Surge, WAve and Tide (same as Japan typhoon model) • Model developed in Japan and has been used in numerous peer- reviewed publications • Fully dynamical model which takes into account the impact of waves on storm surge • Model utilises high-resolution terrain information for accurate model storm surge inundation
CONFIDENTIAL ©2016 AIR WORLDWIDE 25 Storm Surge Model Accurately Represents Historical Events for Hong Kong
3.5 Observed Modeled 3
2.5
2
1.5
Water Level(m) 1
0.5
0
CONFIDENTIAL ©2016 AIR WORLDWIDE 26 Haiyan Simulation Validates Well with Survey and Other Model Studies
“In Tacloban, the terminal building of Tacloban Airport was destroyed by a 5.2 m (17 ft) storm surge up to the height of the second story. “
5+ 4-5
3-4
2-3
- Model produces a maximum storm surge of 5-6 meters - JSCE-PICE joint survey team estimates the storm surge level was 5-6 meters inside of the Leyte Gulf
CONFIDENTIAL ©2016 AIR WORLDWIDE 27 Vulnerability Updates
Ruilong Li, Ph.D.
CONFIDENTIAL ©2016 AIR WORLDWIDE 28 Vulnerability Module Has Undergone Comprehensive Update
Enhanced Wind and Flood Damage Estimation & Accounting for regional and temporal Updated Time vulnerability Element Vulnerability Addition of Storm Module and Surge Damage Probability Module Distributions for AIR Damage Typhoon Models for Southeast Asia – Vulnerability Updates
New Risk Types: High Resolution Damage Functions IFM, Marine, for “Unknown” Infrastructure, Building Features Warehouses, …
CONFIDENTIAL ©2016 AIR WORLDWIDE 29 Vulnerability Varies by Territory
Hong Kong - Hong Kong and Macau • Engineered structures • Quality and control referred to
British Standards, with additional AX3 Battery practice notes for engineers - Philippines The Philippines • Good building code • Building standards may not have been followed
- Taiwan CTV
• Robust wind design code Taiwan • Engineered structures • Better enforcement
30 CONFIDENTIAL ©2016 AIR WORLDWIDESan Diego Tribune Vulnerability Varies by Territory
- Guam and Saipan • Good building code adoption and enforcement
Vietnam Guam JICA NWS - Vietnam - Guam and Saipan • Little quality control • Good building code adoption and • Wind is generally not extreme, but enforcement flooding is more significant
CONFIDENTIAL ©2016 AIR WORLDWIDE 31 Macau Security and Equity in Regulation Building and Bridge Structures, Wind Action Revision, 2008 Wind load provisions of Taiwan Building Code 2007
Code of Practice on Wind Effects in Hong Kong 1983
Code of Practice on Wind Vietnam Building Effects in Hong Kong 2004 Guam adopted Code TCVN IBC 2009 2737-1995
NSCP-1992
NSCP-2001
NSCP-2010
CONFIDENTIAL ©2016 AIR WORLDWIDE 32 Wind Vulnerability Varies by Territory
Building - Wind vulnerability Wind Wind Hazard Design and Territory Vulnerability • Wind hazard level Level Enforcement Level - High Low Level vulnerability Guam Mid-High High Mid - Low High vulnerability Hong Kong Mid-Low High Low-Mid • Wind design and Macau Mid-Low High Low-Mid enforcement level Philippines High Low Mid-High - High Low vulnerability Saipan Mid-High High Mid
- Low High Taiwan High High Low vulnerability Vietnam Low Low-Mid High
CONFIDENTIAL ©2016 AIR WORLDWIDE 33 The AIR Southeast Asia Typhoon Models Support Temporal Vulnerability for Wind
- Temporal vulnerability: Taiwan • Building code evolution • Aging and Building Code 2007
deterioration
Vulnerability Temporal Temporal
Year Built
CONFIDENTIAL ©2016 AIR WORLDWIDE 34 The AIR Southeast Asia Typhoon Models Support Regional Vulnerability for Wind
NSCP 1992 Taiwan Building Code 2007 TCVN-2737-1995
Support regional vulnerability for Philippines, Taiwan, Vietnam
CONFIDENTIAL ©2016 AIR WORLDWIDE 35 The AIR Southeast Asia Typhoon Models Differentiate Wind Vulnerability by Height
Low-rise
Damage Function Number of Stories Mid-Rise Classes 1-3 Low rise High-Rise
4-7 Mid rise Tall
8-29 High rise Relative Vulnerability
30+ Tall
Height Categories
CONFIDENTIAL ©2016 AIR WORLDWIDE 36 Taking into Account the Flood Defense System in Flood Risk Assessment Is Important
Hong Kong - Hong Kong: • Building codes and city planning requires flood mitigation Source: http://www.hktdc.com/mis/ires/en/s/hk- HKIE measures gushes-with-urban-solutions.html
• Better flood storage, levee Philippines system - Taiwan: Good sewer system and levee system zambonga
- Philippines and Vietnam: fairly Vietnam poor sewer and drainage system
37 CONFIDENTIAL ©2016 AIR WORLDWIDE Frank Turns Factors Such as Relative Flood Risk, Mitigation, and Resistance Vary Among Territories
Flood Flood Flood - Flood vulnerability Territory Hazard Mitigation Vulnerability • Flood hazard level level Level Level - High Low Guam Low Low Low vulnerability Hong Kong Mid High Mid - Low High vulnerability Macau Mid High Mid • Flood Mitigation Philippines Mid-High Low Mid-High level Saipan Low Low Low - High Low vulnerability Taiwan Mid-High Mid-High Low-Mid - Low High Vietnam High Low High vulnerability
OCHA/Andrew Pendleton CONFIDENTIAL ©2016 AIR WORLDWIDE 38 The AIR Southeast Asia Typhoon Models Differentiate Flood Vulnerability by Height
1-Story Damage Function Number of Stories Classes 2-Story 3-Story 1 1 Mid-Rise 2 2 High-Rise 3 3 Tall
4-7 Mid rise Relative Vulnerability 8-29 High rise 30+ Tall
Height Categories
CONFIDENTIAL ©2016 AIR WORLDWIDE 39 Surge Damage Functions Are Supported in the Models
Haiyan, 2013, Surge damage in PHP - As opposed to flood, surge is saltwater and has velocity component - Accounting for the hydrodynamic effect of water using an equivalent static Jeff Masters depth Nari, 2001, Flood in Taipei City, TW - Supporting all lines of business, occupancy, and construction
Wikipedia
CONFIDENTIAL ©2016 AIR WORLDWIDE 40 Supporting CRESTA-Level Unknown Damage Functions Are Important in Assessing Risk in Southeast Asia
Cresta 1 – Taipei City
Cresta 2 Changhua
CONFIDENTIAL ©2016 AIR WORLDWIDE 41 Several New Lines of Businesses and Sub-Perils Have Been Added
Risk Types Wind Flood Surge*
Conventional Buildings Existing Existing New
Infrastructure New New New Marine Cargo, Hull New New New Large Industrial Facilities New New New Builder’s Risk Existing Existing New Auto Existing Existing New 2-wheeled vehicle New New New Warehouse New New New * Surge for the Philippines, Hong Kong, and Taiwan
CONFIDENTIAL ©2016 AIR WORLDWIDE 42 Loss Benchmarks from Various Sources Are Used to Validate Losses Industry losses Company losses
Company A
Company B
Company C
CONFIDENTIAL ©2016 AIR WORLDWIDE 43 Representative Company Data Is Used for Model Development
60%
50% 40% 30% 20%
Market Share Market 1 10% 0%
1 4-5 6 7 8 9 2-5 CRESTA 6
Replacement Value Distribution in Lines of Business
Res 7 13% Ind 40% 8
9 Com 47%
CONFIDENTIAL ©2016 AIR WORLDWIDE 44 Company Books Validate Well Against the Models
Philippines Company Books Validation Observed Modelled
CONFIDENTIAL ©2016 AIR WORLDWIDE 45 Major Historical Events Are Benchmarked on Loss Exceedance Probability Curves Flood Only An Example from Taiwan Nari (2001) Nari, 2001 Morakot, 2009 Surge Wind 3% 3%
AAL 2 5 10 20 25 50 100 200 250 500 1000 Return Period Flood 94% All Perils Morakot (2009) Nari, 2001 Wind Morakot, 2009 Surge 14% 20%
Flood 66% AAL 2 5 10 20 25 50 100 200 250 500 1000 Return Period CONFIDENTIAL ©2016 AIR WORLDWIDE 46 Learn More About the AIR Typhoon Models for Southeast Asia on Our Website and at Upcoming Events
April – Philadelphia
June & August • Singapore • Vietnam • Philippines • Beijing • Indonesia • Taiwan
CONFIDENTIAL ©2016 AIR WORLDWIDE 47 A Preview of the AIR Typhoon Models for Southeast Asia
CONFIDENTIAL ©2016 AIR WORLDWIDE 48