Damage curves estimate how much physical damage an asset could suffer when exposed to a climate hazard. They link the intensity of a hazard (like flood depth or wind speed) to the expected percentage of damage.
A flood reaching 1 metre might cause 10% damage to a commercial building, but 40% to a residential one with a basement. EarthScan uses damage curves to calculate expected losses based on hazard intensity and asset characteristics.
Damage curves turn hazard exposure into financial impact. They're essential for calculating metrics like CVaR or estimating direct damage for disclosure and investment decisions. EarthScan applies hazard-specific curves across asset types to produce realistic damage estimates.