This paper describes the data available to measure flood risk in Italy and the methodology used to estimate its economic impact. We highlight the main issues relating to the application of this methodology to the Italian case. The methodology is then used to estimate the expected damage to the Italian housing stock due to flooding.
Flood risk estimates vary widely depending on the hazard maps used, the assumptions about the vulnerability of buildings, and the accuracy of location information. Based on the most reliable estimates, in 2020 the value of Italy's housing stock exposed to flood risk was close to €1 trillion. This is about 25 per cent of the total housing wealth. The expected annual loss is about €3 billion.
