b) tropical and extratropical storms

Tropical and extratropical storms are common and ‘stable’ forms of storms, while subtropical cyclones have the tendency to morph into tropical or extratropical storms depending on conditions, and post-tropical cyclones do not always materialise from tropical storms. Accordingly, the current physical risk model covers tropical and extratropical storms based on global hazard maps.

We developed our storm model around one damage function for properties in the United States (Emanuel, 2011):

where DF is the damage factor representing the percentage of asset value lost, V is the wind speed, V_thresh is the wind speed at which no damage occurs, and V_half is the wind speed at which half the property value is lost.

_{Emanuel, K. (2011). Global warming effects on U.S. hurricane damage. Weather, Climate, and Society, 3, 261–268. https://doi.org/10.1175/wcas-d-11-00007.1}