RMS Adds, Updates 16 Latin American Quake Models

In South America, RMS said models are now available for Venezuela, Peru, Ecuador, Brazil, Bolivia, and Argentina.

The models incorporate new research to model expected property damage and human casualties due to earthquakes, the company explained, allowing companies to more precisely characterize the potential damage and probability of buildings collapsing based on their height, construction type, age, the soil conditions, and other more detailed information.

RMS said it worked with leading seismologists, geologists, and earthquake engineers in Latin America to incorporate their knowledge and experience on seismic sources, historical events, and building vulnerability.

Sahar Safaie, product manager at RMS, said, "Working with experts in the region enabled us to provide the industry with the most up-to-date seismological data and the best assessment of building vulnerability and inventory in each country based on the knowledge of those who best understand earthquake risk in Latin America."

"Latin America is increasingly attracting attention from both international and domestic insurers due to its high earthquake hazard and its property exposure, which has burgeoned with the economy in recent years," she said.

"As the market becomes more sophisticated, the demand for risk management tools is growing. Government regulations in Mexico, Peru, and Colombia, expected to filter through to other Latin American countries, are also increasing the need for insurers to gain an even deeper understanding of their risk," Ms. Safaie, concluded.