FSA explores technologies to strengthen flood risk assessment

The Financial Services Authority (FSA) convened a specialised workshop in Muscat titled “Flood Risk Analysis Using Satellite and Drone Technologies” that brought together regulators, insurers, the Civil Defence and Ambulance Authority (CDAA), and technology providers to explore how artificial intelligence, data analytics, satellite imagery and unmanned aerial systems can strengthen flood risk assessment and the insurance sector’s preparedness for natural disasters. The event, organised in collaboration with Adasah Oman and Esbar, showcased practical applications for underwriting, damage assessment, claims settlement and faster emergency response.

“Adopting modern technologies has become a strategic choice to strengthen institutional readiness and improve the overall efficiency of the risk management ecosystem,” said Ahmed bin Ali al Maamari, Deputy Executive President of the Financial Services Authority.

The workshop emphasised a shift from reactive disaster response to proactive risk prediction, preparedness and mitigation as climate change drives more frequent severe weather events in the Sultanate. Ahmed bin Ali al Maamari highlighted that advances in artificial intelligence, remote sensing and data analytics are reshaping how risks are assessed and managed by enabling more accurate data collection and predictive modelling to support underwriting decisions, improve products and enhance service quality for policyholders.

• Event title: “Flood Risk Analysis Using Satellite and Drone Technologies”
• Organisers and partners: Financial Services Authority, Adasah Oman, Esbar
• Participants: Civil Defence and Ambulance Authority (CDAA), insurance companies, brokers, and experts in geospatial technologies and risk management

Eng Younis al Siyabi underlined the role of Fourth Industrial Revolution technologies in geospatial planning and residential area assessments, noting that enhanced predictive capabilities can minimise the impact of extreme weather on communities and private property. “Effective utilisation of available geospatial data supports strategic planning and evidence-based decision-making, enhancing the preparedness of relevant authorities and improving their capacity to respond to potential risks before they escalate,” he said.

Azzan bin Abdullah al Maamari, Commercial Sector General Manager at Adasah Oman, outlined practical benefits demonstrated during the workshop, including improved asset valuation, faster post-disaster damage assessments and enhanced underwriting efficiency. He said satellite imagery and drone technologies deliver highly accurate data that align with Oman’s digital transformation agenda and future development aspirations.

Workshop sessions illustrated how high-resolution satellite imagery and unmanned aerial systems can be integrated into insurance workflows: pre-event risk mapping and exposure modelling, near-real-time damage verification after flood events, and streamlined claims workflows that reduce settlement times and improve transparency. Presenters also discussed the value of combining remote sensing inputs with machine learning and advanced analytics to develop probabilistic loss models and refine pricing for catastrophe-exposed portfolios.

Participants identified several practical steps to accelerate adoption across the sector, including: strengthening collaboration between regulators, insurers and technology vendors; investing in capacity building for geospatial analysis; adopting standardised data formats and protocols; and piloting integrated satellite-drone-analytics platforms for targeted regions.

Looking ahead, the FSA and partners signalled a renewed emphasis on expanding the adoption of innovative technologies within the insurance industry to build a more resilient natural disaster risk management framework. The workshop concluded with commitments to deepen public-private collaboration and to scale up technological pilots that translate remote sensing and AI-driven insights into faster emergency response, more accurate damage assessments and evidence-based policymaking.