The primary goal of insurance is protecting the property against loss. By paying a small amount of premium upfront to an insurance company in exchange for the promise of sharing the burden of loss if it occurs in the future. 

Usually, property loss is associated with 

• Flood
• Earthquake
• Cyclones 
• Fire or lightning
• Windstorm or hail
• Explosion
• Smoke
• Theft
• Vandalism or malicious mischief
• Riot or civil commotion
• Damage caused by aircraft or vehicles

In this blog, we will stick to natural calamities only. As per the Global Climate Risk Index report 2019, India is at the 14th position of the vulnerable country in the world, due to extreme weather-related events. Furthermore, economic losses in India due to such calamities valued at around $13,789 million, which is the 4th highest in the world 

Below graphs show the number of major disasters that occurred in India between 1970 to 2012

Here at Satyukt, for pre calamities situations we estimate damage risk for different calamities at different granularities to suit the respective insurance company. Also, these risks are calculated for different categories of properties such as Residential, Commercial, Industrial, etc. Insurance companies in turn use this info to determine the premium for a particular property depending on its hazard risk. 

For post calamities situations such as floods and cyclones, inundation mapping is prepared in the assessment of loss. These maps are used in determining the claim settlement amount.

In both scenarios, remote sensing images, Rainfall data, geographical information of land are used to calculate the risk.