Discussion on the "CatMod Azerbaijan" Seismic Risk Modeling Project Held

The location of the Republic of Azerbaijan in a high seismic risk zone necessitates incorporating this factor into the country's socio-economic security considerations. Amidst the intensive development of residential and industrial construction across the country, there is a specific need for a reliable and scientifically based assessment of earthquake hazard levels for individual cities, settlements, and construction sites.

This assessment is of particular importance for strengthening the country’s defense systems against emergencies and the potential socio-economic damages they may cause. To effectively manage catastrophic risks, it is also crucial to study international best practices, including the relevant experience of the brotherly Republic of Türkiye, which holds a leading position in this field.

In accordance with the cooperation agreement signed between the Compulsory Insurance Bureau and the Turkish company "T-Rupt" Technology Co., a seismic risk model named "CatMod Azerbaijan" has been developed.

A meeting was held with representatives of Türkiye’s  "T-Rupt" Technology Co. to discuss the implementation status of the project. During the event, attended by a delegation from the Central Bank of the Republic of Azerbaijan and representatives of the insurance sector, it was stated that the primary objective of the model is to objectively evaluate the potential impact of natural disasters on real estate and to provide insurance companies with more accurate risk modeling. Furthermore, the model aims to enhance the insurance sector's preparedness and response capabilities for emergency situations.

The "CatMod Azerbaijan" project will significantly contribute to increasing the sustainability of the compulsory real estate insurance system in the country, managing risks on a scientific basis, and fostering the long-term and stable development of the insurance market.