In a world increasingly affected by climate change and its adverse impacts, it is essential to develop strategies to protect vulnerable communities from natural disasters.
Lima, Peru, is no exception to this global challenge, facing recurring flood events that disrupt the lives of its residents. Jose Cobian Alvarez, a PhD candidate at Crawford’s Arndt-Corden Department of Economics, embarked on a research project earlier this year in the picturesque valley of Nicolas de Pierola, nestled within the district of Chosica, Lima.
His project, titled ‘A Study for the Development of an Index-Based Flood Insurance in Lima, Peru,’ seeks to provide innovative solutions to address flood-related losses and their socio-economic implications in this region.
The primary objective of Jose’s survey was to collect information on household socio-economic characteristics and experiences with floods. Additionally, it aimed to explore opportunities for developing the insurance product to cover household losses caused by floods. The gathered data will be utilised to determine the main factors needed for its implementation and for publication in an international journal.