Japan’s MS&AD Insurance Group Holdings will offer a service to analyse the risks climate change pose to companies.
The insurer will partner with US startup Jupiter, whose technology will enable MS&AD to visualise the risk of global natural disasters, including heat wave, drought, flood, and forest fire, down to 90-sq m units, reported Nikkei Asian Review.
Jupiter gathers data from satellite imagery and advanced computer models. Its artificial intelligence technology is used to determine possible risks from natural disasters. The company employs experts, such as scientists from the UN Intergovernmental Panel on Climate Change.
Multiple scenarios will be prepared through statistical analysis of past disasters to make forecasts every five years from 2020 to 2100.
MS&AD unit MS&AD InteRrisk Research and Consulting will calculate the impact on companies’ finances based on Jupiter’s data and sell it to clients.
The Financial Stability Board, an international body that monitors the global financial system, has urged companies to disclose information on how climate change will affect their operations and management.