AIR Worldwide is one of the world leaders in the development and application of mathematical models that assess the potential financial ramifications of natural and man-made catastrophes on property and life. In fact, AIR pioneered the very specialized field of probabilistic catastrophe modeling.
Our models—which today cover more than 90 countries and perils ranging from tropical cyclones, earthquakes, tornadoes, hail, flood and terrorism—were first utilized by insurance and reinsurance companies, who are at risk of significant financial loss to their highly diverse portfolios. Applications of the technology have since broadened to serve a diverse audience, including governmental and quasi-governmental organizations.
Our credibility with such entities rests in no small part on the caliber of our staff, which is comprised of highly qualified professionals representing the disciplines of meteorology and climate science, seismology and geophysics, wind and earthquake engineering, mathematics, statistics and actuarial science, insurance and reinsurance, and software engineering. A significant percentage of our technical professionals hold Ph.D. credentials in their field of expertise.
Proven Solutions for Governments Worldwide
AIR's engagement with governments and their institutions is broad-reaching. In the U.S., our work with the Department of Homeland Security has facilitated insight into the potential occurrence, locations and consequences of future terrorist attacks—insight supported by AIR's "landmark" database, which contains more than 300,000 potential terrorist targets in the U.S. In projects with the USDA's Risk Management Agency, AIR has produced tools to help agricultural producers mitigate their risk. AIR has long-standing relationships with Wind Pools in several states, and we provide real-time loss estimation services to the California Earthquake Authority.
AIR performed an analysis of earthquake risk for the Government of Mexico's Fondo de Desastres Naturales (FONDEN) and provided information to assist in the selection of a parametric trigger for both insurance and catastrophe bond purposes. AIR's weather and agriculture group has been involved in several agricultural risk modeling projects in Argentina, Central America, and Mexico—activities linked to the Inter-American Development Bank's support program for the development of index-based crop insurance products targeted at small producers in the region.
AIR has also performed several studies for the World Bank, ranging from assessing the feasibility of a catastrophe risk pool for countries in the South Pacific, to providing the modeling support for a multi-country catastrophe mutual bond, to performing earthquake and hurricane risk analyses in support of a framework that would provide disaster-prone developing countries with affordable insurance coverage.
In China, AIR has been engaged in research collaborations with the China Earthquake Administration's Institute of Geology, the Shanghai Typhoon Institute and the Beijing Institute of Architectural Design. We are working closely with China Insurance Regulatory Commission (CIRC) to a develop catastrophe risk management data standard.
To manage the infrequent, but potentially devastating, risk of natural and man-made catastrophes, decision-makers from all sectors turn to AIR Worldwide.
Listed below are additional materials of interest to catastrophe risk managers in government: