Riverine floods are among the most damaging extreme climate events in Europe. Moreover, under climate change, it is likely that direct damages from fluvial floods strongly increase. Insurance can be a valuable adaptation tool, since it reduces the financial impact of floods and might incentivize risk mitigation. Unaffordability and low demand for coverage is an issue in Europe. Households therefore mostly rely on private savings and government compensation for flood damage recovery.  

The Dynamic Integrated Flood Insurance (DIFI) model offers insight in the development of flood insurance premiums, unaffordability and demand for coverage under different stylized flood insurance systems. The model uses climatic and socioeconomic input data from the flood model GLOFRIS. Results show that introducing insurance uptake requirement and limited risk-based premiums can enhance the sustainability of flood insurance markets to climate change.  

End users

  • Policy makers 
  • Insurance companies 
  • Real estate investors 

Added value

  • Insight in affordability of insurance over climate change in the long term 
  • Gives policy recommendations for future-proof flood insurance systems 


  • Incorporate public private dynamics into the model 
  • Incorporate the role of insurance in the household relocation choice 
  • Extend model to multi-hazard approach