Kenya Reinsurance Corporation is funding an artificial intelligence hackathon where ninety students from thirty universities across Kenya are working to build a tool for assessing flood risks. The third Kenya Re AI4I Hackathon runs from October 7 to 9, with participants selected from 147 applicants to develop an AI-powered solution that could help reinsurers evaluate potential losses from floods.
The project addresses a key challenge in the insurance industry: using data to estimate the likelihood and financial impact of disasters, particularly floods that can damage multiple properties and businesses simultaneously. By analysing flood hazards, property exposure and potential losses, AI-powered models can help insurers determine the risks they face and set premiums that match their level of exposure.
For reinsurers, which provide financial protection to insurance companies against large or widespread claims, accurate catastrophe modelling is critical. These models help reinsurers estimate potential liabilities and decide how much risk they can safely take on. The hackathon reflects Kenya Re's effort to apply emerging technologies to improve catastrophe modelling capabilities.