Natural Hazards and Earth System Sciences
Natural Hazards and Earth System Sciences
NHESS
Articles | Volume 21, issue 8
Articles | Volume 21, issue 8
https://doi.org/10.5194/nhess-21-2379-2021
© Author(s) 2021. This work is distributed under
the Creative Commons Attribution 4.0 License.
Special issue:
https://doi.org/10.5194/nhess-21-2379-2021
© Author(s) 2021. This work is distributed under
the Creative Commons Attribution 4.0 License.
Articles | Volume 21, issue 8
Research article
 | 
11 Aug 2021
Research article |  | 11 Aug 2021

The potential of machine learning for weather index insurance

Luigi Cesarini, Rui Figueiredo, Beatrice Monteleone, and Mario L. V. Martina

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Short summary
Weather index insurance is an innovative program used to manage the risk associated with natural disasters, providing instantaneous financial support to the insured party. This paper proposes a methodology that exploits the power of machine learning to identify extreme events for which a payout from the insurance could be delivered. The improvements achieved using these algorithms are an encouraging step forward in the promotion and implementation of this insurance instrument.
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