Geospatial Analysis for Risk and Insurance: Exploring the May 2025 Mokwa Flood for Environmental Liability Insurance Imperatives

Abstract

The intensifying prevalence and intensity of flood events across Nigeria highlights a pressing
need for advanced risk assessment and management models that extend beyond immediate
infrastructural damage to encompass pervasive environmental liabilities. This study utilizes the
analytical power of Geographic Information Systems (GIS) and Remote Sensing (RS) to
investigate the May 2025 catastrophic flash flood in Mokwa, Niger State, Nigeria as a
significant case study for informing and developing Environmental Liability Insurance (ELI)
frameworks. Through the analysis of pre- and post-flood high-resolution satellite imagery,
coupled with detailed Shuttle Radar Topography Mission (SRTM) elevation data, this research
precisely delineated flood extent, quantified affected assets, and identified areas at heightened
risk of environmental hazards. The findings reveal the vulnerability of informal settlements
devoid of effective urban development and highlights the spatial intersection of floodwaters
with other environmental elements. This investigation provides crucial geospatial intelligence
for insurers in underwriting, claims validation, and developing risk-pricing models, advocating
for a proactive, spatially informed approach to ELI in Nigeria's varied flood-prone regions.