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Damages to economic assets resulting from natural disasters have soared in the past fifteen years, and climate change models forecast intensified exposure to extreme weather in many OECD countries. This OECD review of risk management policies focuses on Japan, because the geography, topography and climate of its national territory subject it to serious natural hazards, especially seismic activity and typhoons. The report looks at Japan’s policies in the areas of monitoring, preparing for and responding to floods and earthquakes, seeking out and identifying good practices and areas where improvements could be made. The case studies consider several issues of particular interest to policy makers, such as how to take climate change into account for long term policy planning related to large scale floods, and Japan’s unique earthquake insurance scheme for damages whose probability and impact are hard to accurately assess.
