NOAA, RAA ink MoU to improve risk communication

NOAA, RAA ink MoU to improve risk communication | Insurance Business Australia

Reinsurance

NOAA, RAA ink MoU to improve risk communication

Partnership to help advance informed decisions needed for improving resilience

Reinsurance

By
Kenneth Araullo

The National Oceanic and Atmospheric Administration (NOAA) and the Reinsurance Association of America (RAA) have signed a memorandum of understanding (MOU) to collaborate on analyzing and communicating weather and climate hazard risks to key stakeholders.

According to a news release, the MOU aims to enhance the public’s understanding and resilience to natural hazards in the U.S. by leveraging NOAA’s expertise in climate, weather, and natural hazards, along with RAA’s expertise in risk.

NOAA said that this partnership is expected to foster dialogue between the public and private sectors on risk and advance the association’s mission of science, service, and stewardship.

“Weather and climate extremes continue to pose a significant risk to communities and our economy,” NOAA administrator Rick Spinrad said. “We know that certain extreme events are increasing, and we know that more people and physical facilities are in harm’s way. This partnership will help improve our ability to make the scientifically informed decisions needed to improve resilience.”

By mid-2024, the US had already observed 15 separate billion-dollar weather and climate disasters. In 2023, the US experienced a record 28 separate billion-dollar weather and climate disasters, totaling nearly $95 billion.

“The RAA appreciates the opportunity to meaningfully advance our long-standing relationship with NOAA with the continued goal of reducing the loss of lives and property damage caused by extreme weather events, as well as helping American families recover faster from these events, through better research and data. The RAA looks forward to serving as a facilitator for industry engagement with NOAA on these important issues,” RAA president Lee Covington said.

The frequency of billion-dollar weather and climate disasters has increased significantly over the years. In the 1980s, such events occurred once every 15 weeks, whereas in the past five years, they have occurred on average every 2.5 weeks.

Under the MOU, NOAA and RAA will work together to address the risks faced by communities both nationally and internationally. The partnership will also focus on improving the usefulness of NOAA’s products and services to the insurance and reinsurance industries.

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