Natural Hazards and Earth System Sciences
Natural Hazards and Earth System Sciences
NHESS
Articles | Volume 24, issue 8
Articles | Volume 24, issue 8
https://doi.org/10.5194/nhess-24-2707-2024
© Author(s) 2024. This work is distributed under
the Creative Commons Attribution 4.0 License.
https://doi.org/10.5194/nhess-24-2707-2024
© Author(s) 2024. This work is distributed under
the Creative Commons Attribution 4.0 License.
Articles | Volume 24, issue 8
Research article
 | 
13 Aug 2024
Research article |  | 13 Aug 2024

Earthquake insurance in Iran: solvency of local insurers in light of current market practices

Mohsen Ghafory-Ashtiany and Hooman Motamed

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Short summary
Iranian insurers have been offering earthquake coverage since the 1990s. However, despite international best practices, they still do not use modern methods for risk pricing and management. As such, they seem to be accumulating seismic risk over time. This paper examines the viability of this market in Iran by comparing the local market practices with international best practices in earthquake risk pricing (catastrophe modeling) and insurance risk management (European Solvency II regime).
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