FAQ + Glossary

In general, yes. Regulators require different actors to examine natural hazards, climate risks, or biodiversity for various purposes (risk management, compliance). The trend is clearly moving towards stricter regulatory requirements. Here is a brief assessment (as of February 2025):
• The EBA (European Banking Authority) has issued EBA/GL/2025/01, demanding the solid integration of ESG risks, including climate and biodiversity, into lending and risk management. ESG reports and the assessment of climate risks for all credit decisions are to become mandatory from January 2026.
• BaFin (MaRisk) requires the integration of climate risks into credit assessments and started reviewing individual institutions in 2024.
• § 15 of the German Pfandbrief Act (PfandBG) requires the examination of classic natural hazards.
• The EU Taxonomy requires the consideration of three different emission scenarios and time horizons for all 28 indicators regarding acute and chronic climate risks listed in Annex A.

VIDA offers analyses of natural hazards, climate risks, and biodiversity.

• Natural hazards encompass floods, storm surges, heavy rainfall, hail, storms, tornadoes, earthquakes, volcanism, and tsunamis.
• Climate risks include all indicators from Annex A of the EU Taxonomy:
– 28 indicators capturing both chronic changes (temperature, precipitation, etc.) and the increase in acute weather events (storms, heavy rainfall).
– Three climate scenarios (SSP-1, SSP-2, SSP-5)
– Three time horizons (2030, 2050, 2080)
• Biodiversity indicators include protected areas, key biodiversity areas, endangered species, deforestation, land use, air pollution, available freshwater, drought risks, and the number of buildings within a 2.5 km radius.

A vulnerability curve shows the potential damage to a building depending on the intensity of a particular risk (e.g., flood). The greater the intensity (e.g., higher flood depth), the greater the damage. Different building classes are considered, for example office buildings with 1–3, 3–7, or more than 7 floors.

The categories we provide should cover the common building types. If you have a property that cannot be assigned, please select the category that comes closest to your property and let us know. We will then check which assignment is best and make any necessary adjustments afterward.

Short reports provide a summary of the analyses and insights into the most important indicators, but do not include the underlying data, possible scenario analyses, or vulnerability curves. They are suitable for an initial assessment.

Long reports cover a broader spectrum of data. In addition to the overview provided in the short report, each indicator analyzed (9 natural hazards, 28 taxonomy indicators, 9 biodiversity indicators) has its own analysis page. We recommend using the long report because it provides a better contextual understanding of the data and ensures transparency and auditability in the event of significant risks.

The price depends on the type of report and can be found in the official price list. Short reports are generally cheaper than long reports due to their lower information density. For portfolios starting at 5,000 addresses per location, bulk pricing applies, making the analysis significantly cheaper.

VIDA.place GmbH is an owner-managed company based in Munich, led by CEO Dr. Tobias Engelmeier. VIDA has been operating internationally since 2018 and collaborates with banks, funds, and governments in over 60 countries.

In many areas, flood protection measures such as walls or dikes exist. This figure refers to the return period (in years) of the flood event up to which protection is effective. VIDA estimates the flood protection level based on an established dataset.

The statistically calculated expected annual loss to the property caused by the respective natural hazard.

The probable maximum loss occurring at the property for an event with the specified return period. We use typical return periods in the sector, often 100-year or 200-year events. For some hazards, no meaningful PML can be provided. The PML is given as a percentage of the property value and in the specified currency.

The coordinates of the address. Latitude runs from north to south, longitude from east to west. The prime meridian (0° longitude) runs through Greenwich in London, England, and the Equator corresponds to 0° latitude.

The height above sea level, specified in meters.

The type of building, e.g., 'Single-family house' or '3–7 story office building.' Various building types are available, each with distinct vulnerability curves for individual natural hazards.

The statistical return period in years for a particular natural event. For example, an event with a 100-year return period has a probability of 1/100 = 1% of occurring in any given year. Typically, the intensity or strength for events with different return periods (e.g., 10, 50, 100, 200 years) is calculated for each natural hazard.

In the event of elevated risk, the long report will include a recommendation on how to mitigate the impact of the natural hazard.

A general term indicating the desired or planned level of protection—often synonymous with 'flood protection target.'

Also called vulnerability curves. These represent the relationship between the intensity of a natural event (e.g., flood height) and the resulting damage to the property. The curves differ depending on the type of event and the property.

The expected flood height without considering the flood protection target. Typically higher than the protected flood height, it serves as a reference or worst-case scenario.

The expected flood height considering the existing flood protection measures. This value is more realistic, especially in regions with established flood defenses.

The typically expected number of tornadoes per year in the given region.

The typical water depth in the event of a flood.

Relevant for earthquakes. The magnitude is a logarithmic measure of the seismic energy released at the earthquake source, calculated from seismograms.

As defined by the Federal Ministry for Economic Cooperation and Development (BMZ), biodiversity is the diversity of ecosystems, animal and plant species, and genetic variety. VIDA includes all economically relevant data points available for a comprehensive contextual risk analysis.

Protected areas within a certain radius that are included in the World Database on Protected Areas (WDPA). Developing and/or owning assets in or near these areas can lead to interference with protected biodiversity and cause both legal and reputational risks.

An alternative term for biodiversity. Often used interchangeably.

Species listed on the IUCN Red List. If endangered or vulnerable species (animals or plants) are nearby, we recommend a more detailed analysis to avoid legal or reputational risks.

Deforestation describes the loss of trees in an area and indicates recent construction activities as well as potential loss of biodiversity, which can result in legal and reputational risks.