Satellite EO for the Insurance Sector: New Technologies and Opportunities

Transcription

1 Industry Workshop on Satellite EO for the Insurance Sector: New Technologies and Opportunities Hosted by European Space Agency Directorate of EO Programmes ESA/ESRIN, Frascati, Italy February, 2012

2 0B0BWelcome from the European Space Agency 1B1BDear participant, 2B2BI am very happy to host this industry workshop at ESA. It is important to demonstrate that Earth Observation (EO) can deliver benefits to private-sector, and this workshop contributes to this goal within the context of the Insurance industry. ESA is implementing one of the most vigorous Earth Observation programs in the world, with 5 satellites currently in orbit and 18 more scheduled for launch in the next decade. These include the family of Earth Explorers that will measure key Earth system parameters to understand their role and impact in climate change, the fleet of Sentinels that will provide operational information services for Global Monitoring of the Environment and Security (GMES), and the next generation of satellites for operational meteorology. EO is not as widely used in the Insurance sector as in other sectors like Oil and Gas, but several factors indicate this might change in the coming years. More frequent extreme weather events is putting new requirements on the insurance industry in terms of pre- and post-event preparedness, and this is where the steadily increasing spatial and temporal coverage of satellite data could play an important role. With this prospect, ESA is keen to bring together specialist companies providing EO-based services and leading players from the Insurance industry to better understand current and evolving information requirements. It is our hope that this workshop could identify a series of measures that can be taken within both communities to consolidate and expand the use of EO both within individual companies, but, more importantly, across the insurance industrial sector as a whole. 3B3BStephen Coulson 4B4BHead of Industry Section 5B5BDirectorate of EO Programmes 2

3 6B6BWelcome from the Steering Committee 7B7BDear Delegate, We would like to welcome you to the workshop, and encourage you to make the most of this exciting opportunity. The Steering Committee has worked hard to put together a program of presentations and discussion sessions over two days that we hope will stimulate and inform. This is a unique gathering, bringing together colleagues from the Insurance industry with the Earth Observation community to address real challenges that we face in the drive to manage risks. 9B9BWhatever your background and interests, you have something to contribute to this workshop. The presentation and discussion sessions have been designed to cover the applications and earth observation technologies that are relevant to the range of delegates who have registered for the workshop. 10B10BThis information package is provided to you to assist in stimulating discussion at the workshop, looking forward to new technology and solutions to the challenges we face. We hope that as well as listening to the keynote presentations from the most pro-active organizations in our two industries, you will consider the material and the questions posed in this flyer and use this to assist you in contributing to the discussion sessions. The Steering Committee expect that this workshop will result in increased understanding and collaboration, creating opportunities for innovation, developing and enhancing the use of earth observation within the insurance sector. Fiona Shaw, Willis Neil Smith, Lloyd s Jens Mehlhorn, Swiss Reinsurance Company Ulrich Ebel, Swiss Reinsurance Company Ola Gråbak, European Space Agency Gary Timms, EARSC 3

4 Objectives of the workshop The use of satellite earth observation is still on the early adaptation stages within the insurance industry, Earth observation can save costs and introduce efficiencies in business processes, often at the same time As the insurance industry confronts new challenges, for example in dealing with climate change, it is likely that earth observation will become increasingly important to the insurance industry. The workshop has the overarching goal of advancing the use of earth observation within the insurance sector. The objective of the workshop is to ensure that key players in the insurance sector are aware of current and future earth observation satellite monitoring capabilities and how this technology could bring significant benefits and cost savings to their businesses. Attendees from the insurance and Earth Observation communities will work together to identify any challenges in utilising Earth Observation information and develop solutions that will ensure that the insurance industry is able to fully benefit from the possibilities afforded by Earth Observation. Participants at the workshop will include insurers, re-insurers, brokers, modellers and Earth Observation service providers. Our expectation is that the workshop would help develop the following: A move towards identification of best practises/guidelines for use of earth observation in the industry. Identified requirements for demonstrations in order to consolidate newly developed application capabilities. Identified R&D with respect to new sensors/products to develop/enhance applications. Future studies related to requirements for new sensors, constellations etc. 4

5 How can Satellite Earth Observation (EO) help Insurance? What is Satellite Earth Observation? Satellite Earth Observation provides the opportunity to understand and quantify processes that shape and influence the Earths terrestrial surface, oceans and atmosphere. Satellite remote sensing is the science that measures the reflected or emitted radiation from the Earth s surface or atmosphere by dedicated sensors onboard Earth orbiting satellites. Earth Observation provides us with a unique perspective of our planet; as these satellite routinely orbit the Earth they build up a time series of data that permits us to understand the dynamic processes that influence our society and environment, for example seasonal flooding, el Niño and tectonic processes. Sensors and Instruments onboard satellites are often designed to measure a specific phenomena (i.e. sea level, wave height, clouds, vegetation) or understand a particular domain (land, marine, atmosphere) by observing in dedicated bands which correspond to regions of the electromagnetic spectrum. Measuring wavelengths in specific wavelengths in the optical, infra-red (near infrared through to long wave infrared) (figure 1) and microwave regions (figure 2) of the electromagnetic spectrum provides more information than conventional red, green, blue photography and what can be understood using the human eye. Figure 1. The Proba CHRIS composite showing swollen lakes, Mongu Zambia 5

6 Figure 2. An ESA ASAR image of a slick in the Gulf of Mexico following the deep water horizon incident. What does Satellite Earth Observation offer the Insurance Industry? Earth Observation satellites offer the potential to provide imagery and data to support decision making, risk management and modelling within the insurance industry, from quantifying exposure and risk (through analysing past events (figure 3) and detailing an areas susceptibility to a given hazard (figure 4) for forecasting events and assessing post event monitoring and damage assessment. EO data also provides important data to validate and calibrate risk models. 6

7 Figure 3. A Proba CHRIS image (true colour composite) of the French town of Arles, acquired on 7 December 2003 during flooding that swamped the northern part of the settlement under one metre of water. The image was acquired following activation of the International Charter on Space and Major Disasters. Figure 4. The surface deformation (subsidence and surface heave) that has taken place over Italy between as revealed by ESA 1 and 2 data. Credits: Tele-Rilevamento Europa (TRE). 7

8 Advances in Satellite Monitoring Capability New earth observation missions and observations are opening up opportunities for the insurance industry providing data to aid in the quantification, prediction and modelling of risk. EO Capabilities are improving continually, with radical improvements taking place in the range, quality, quantity and reliability of earth observation. Between now and 2016, there are 151 satellites proposed for launch by organisations from 29 countries. This decade will see the deployment of many more sensors, increasing our Earth observational capabilities, notably at a very high spatial resolutions (<1m to 2.5m), and providing new spectral capabilities (notably optical instruments measuring surface reflectance in the visible near infrared region of the electromagnetic spectrum, hyperspectral sensors measuring thermal infrared radiation and a new generation of synthetic aperture RADAR (SAR) systems measuring backscatter at key microwave wavelengths (X and L band) that are related to target specific surface geometries. ). This new generation of SAR platforms represents in many ways the coming of age of satellite SAR systems, with multiple missions offering a range of high spatial resolutions, polarisations and operating frequencies, as well as improvements in interferometric capabilities, allowing 3-D imaging and quantification of surface deformation with subcentimetric accuracy. Global observations across the electromagnetic spectrum are becoming more flexible, with daily monitoring capabilities becoming routine as a result of wide swath missions and satellite constellations. Providers are reacting to commercial users by providing more flexible ordering, planning and distribution of products, supporting more tactical decision making. Satellite datasets and derived products are also becoming more easily available, through the opening up of archives and some data providers moving towards free access of pre-planned earth observation data. The improved capability for monitoring events that are relevant to the insurance industry is achieved through the launch of dedicated Earth observation satellites that are designed to monitor specific phenomena through acquiring data in specific spectral bands or polarisations in orbits that allow for improved revisit times, as highlighted in the table below: 8

9 Category Improved capability Application New observables Radar polarimetry New lower atmospheric obs. Interferometric polarimetry Discrimination of vessels; vegetation mapping; oil slick discrimination Low level atmospheric pollutant detection and monitoring; dust and volcanic ash monitoring, Vertical discrimination and mapping of vegetation and structures Improved observations Spatial (resolution submetre) Mapping of infrastructure; off-shore installation detection, security applications, pipeline leakage, pollution detection. Spectral (hyperspectral) More definitive land cover; pollution detection; onshore seeps. Temporal (revisit) Daily monitoring; observation and forecasting of mesoscale metocean phenomena Digital elevation models Accurate elevation mapping in new areas; improved subsidence monitoring Enhanced data Access EO integration with other technologies More competition between providers Additional routes to data access Improved communications Changing EO data policies Opening up of data archives Increasingly near real time capabilities: Communications and EO EO, models and in situ observations More customer focus and options, e.g. data subscription data options; more robust supply. More flexibility and control in access to EO data; UAVs, ownership of data rights, etc. Remote access to EO imagery; global broadband access on the horizon Potential freely available pre-planned GMES Sentinel data; International Charter for emergency data access. Improved assessment of environmental risks Tactical EO support in the field (e.g. vessel navigation) New location-based EO applications; services providing integrated environmental data. New forecasting capabilities; enhanced metocean parameters. Some potential earth observation opportunities for the insurance industry. 9

10 Workshop organization Following introductions and keynotes, the group will split into two parallel core sessions in the areas of Pre-Event, and Post-Event with both sessions incorporating an element of Risk Modelling. The keynotes and introductions will set the scene for the working group sessions, and will initially focus on the 2011 Japanese Tsunami and the common experiences of the insurance industry. We have used this event as a common discussion and focal point to allow attendees to relate to a shared peril. In the early part of the workshop, we hope this will provide a common language for all, quickly stimulating other ideas and areas for innovative uses of satellite information. As discussions develop, we look forward to attendees bringing their own experiences and specific requirements of other perils. The discussions and recommendations made during the parallel sessions will be reported back to the group during the morning of the second day. Everyone will be invited to discuss the recommendations and endorse actions to deal with the recommendations.the parallel sessions will be organised in the following way: The chair will give and introduction to how the insurance industry experienced the Tsunami event, focussing on the geo-information needs they had to satisfy to support different business processes within the company The chair will invite other actors from the insurance industry present in the session to express their views The floor will then be opened to the EO service providers to address the issues presented by the insurance players. In order to ensure all EO capabilities are exposed in all parallel sessions, the EO service providers will be asked to rotate between the sessions. The organizers will group the EO service providers and allocate them to the parallel sessions. Insurance industry members will also be given the opportunity to rotate across the 2 groups depending on their own specific business interests. To assist in formulating these recommendations, delegates are invited to consider the following issues in advance of these sessions. 10

11 The table below contains a preliminary list of Insurance issues and relevant EO applications/services Pre- Event Post- Event Insurance Issues Data to locate exposure. Better geo-coding information (accuracy, quality, availability) Preparedness for an event: o evacuation routes o denial of access o alternate routes of access o Protection - e.g. flood defences Loss scenarios based on old events Forecasting of events Quick response of loss estimates/prediction Claims handling - e.g. if the area affected is known then the claim handlers will know where to send people - numbers, access, additional members, etc.. Parametric products risk transfer Gathering of information to feedback into models - e.g. ground deformation following earthquake Relevant EO elements (Geo-) hazard mapping (floods, tsunami, landslides, earthquakes etc.) Baseline Land use mapping o Forest o o Agricultural surfaces Infrastructure/Build-up environment mapping Building footprint Height of buildings (individual or blocks) and floors Building type Type of construction Building roof type o Road networks o Rivers and other water bodies Off-shore asset baseline mapping o Oil rigs o Wind-farms Ground Motion products Off-shore asset damage assessment and surveillance Rapid mapping and damage assessment, including: o Flood/Fire extent o Impact assessment including damage to Infrastructure (buildings, factories, roads, pipelines etc), agriculture, forest etc 11

12 Your Involvement working groups In order to prepare for the workshop the delegates are invited to consider the following questions. As described above, many questions focus on the Japanese Tsunami as a common discussion and focal point to allow attendees to relate to a shared peril/event, but we very much encourage attendees to bring their own experiences and specific requirements of their business to the workshop. Questions for Insurance Sector Delegates Have EO based services been used within your company in relation to a significant peril, for instance to the Japanese Tsunami? If so, how? How do you rate the following in terms of the information from satellites available, in general and specifically for the Japanese Tsunami (1= Poor, 10= Excellent) 1. Provision of accuracy information with the products, including quality indicators 2. Data availability 3. Spatial resolution 4. Standards of service 12

13 5. Cost and affordability 6. Ease of access (?) 7. Ease of use, in terms of required expertise and software Industry drivers & EO, beyond the Tsunami event o What are the major current and future geo-information drivers within your company? o What other non-satellite geographical data do you use? o To what extent would currently available EO based services be appropriate in responding to these drivers? o Barriers to uptake of EO data? o o Access to specialism processing and analysis (??) o Data formats Is EO data in a format that can be used within existing systems, for example GIS compatible shapefiles, GRID, ascii or Geotiff? 13

14 Questions for EO Service Sector Delegates ( EO doctors ) What was you involvement as EO service provider for the Japanese Tsunami What are in general the EO based services being provided today to the insurance sector in your field of expertise? What are the relevant innovative EO products (improved observation capabilities and/or new applications) coming from the new generation of EO sensors, addressing? o Status of development o Initial results from trials o Issues still to be resolved before service is marketable In general, what are the main difficulties/bottleneck (if any) in generating, promoting and selling EO based services to the sector, addressing issues like: o Knowing who to talk to within the insurance companies o Understanding their requirements o Lack of EO awareness among insurance companies on what EO can provide o Having the appropriate and cost effective EO based products and services to meet the requirements o Having access to EO data under acceptable conditions (standards of provision, reliability, ordering flexibility, licensing terms, etc) o Integrating EO products with broader services or integrating EO data with other products such as models). o Lack of good communication material showing what EO and the European Value adding sector can provide What role should ESA (and other funding bodies) play (if any) in supporting further development of this market sector? Is EO data being appropriately priced by satellite owners and resellers in order to exploit properly the opportunities coming from this demand sector? What impact are the upcoming Sentinel satellites with its data policy (free and open) going to bring in terms of developing this market? 14

15 Glossary Polarmetric SAR SAR X Band C Band L Band Interferometric SAR Hyperspectral Multispectral Recent developments in radar technology have led to the development of imaging radar polarimeters, that is, radars that are capable of imaging the Earth's surface at any and all possible polarizations (changing the plane in which they send and receive microwave pulses between horizontal to vertical) through antenna synthesis techniques. The capability enables the complete measurement of a target's polarization properties, thus permitting a much more detailed understanding of the electromagnetic scattering process. Synthetic Aperture RADAR X-band Synthetic Aperture Radar wavelengths are the order of 3 cm C-band Synthetic Aperture Radar wavelengths are the order of 5 cm L-band Synthetic Aperture Radar wavelengths are the order of 7 cm Interferometric SAR uses two or more SAR images to generate maps of surface deformation or digital elevation, using differences in the phase of the waves returning to the satellite. The technique can potentially measure centimetre-scale changes in deformation over timespans of days to years. Sensors that measure surface reflectance in a number of narrow spectral band (typically around 10nm) across the optical and infrared region of the electromagnetic spectrum. Sensors that measure surface reflectance in a number of broad spectral band (typical around 100nm). MS sensors have fewer spectral bands than hyperspectral imagers. 15