Page 16 - Azerbaijan State University of Economics

THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND PRACTICE, V.82, # 1, 2025, pp. 4-18

CONCLUSION AND FUTURE RESEARCH
Integration of Big Data and Artificial Intelligence (AI) by exploring how advancements
in big data analytics and artificial intelligence can enhance predictive models for climate
risks and insurance claims thus helping in decision making models for the insurance
companies and interrelated organizations. There is a trend towards the development of
innovative microfinance models for insurance specifically tailored for the needs related
to risks. These may include parametric insurance, index-based insurance, and
microinsurance models designed to provide financial aid to communities and sectors.
Research is examining the role of policy and regulatory frameworks in facilitating the
expansion of climate risk insurance markets. This includes exploring ways to
overcome barriers to market development, promote transparency and accountability,
and ensure the equitable distribution of insurance coverage. Moreover, there is a
growing apprehension on the importance of behavior analysis for the understanding
in how individuals or organizations responds towards climate risk. Research in
developing insurance products and communications strategies can provide a
significant interest towards climate risk insurance which could lead towards a better
understanding – thus reducing risk behaviors.

Research Stream Potential Research Objectives Possible Outcome
1. How can big data analytics provide accuracy Advancements in
for climate risks? Predictive Models
2. What are the recent techniques in Artificial Advancements in
Intelligence used in developing predictive models for Predictive Models
climate risk insurance?
Integration of Big data and AI
in Climate Risk Insurance 3. Comparative analysis of traditional and AI Advancements in
enhanced models for risk assessments on Predictive Models
climate change?
4. Case studies on Implementation of AI in Enhancing Decision
Climate Risk Management - in context of risk
management. Making Models
Development of Microfinance
Models for Climate Risk 5. Identify challenges and bottlenecks in design Enhancing Parametric
and implementation of insurance products.
insurance models
Insurance
Enhancement of public
private partnership -
6. Identification of barriers in the development improving awareness
of climate risk insurance?
related climate risk
Policy and Regulatory insurance
Frameworks Enhancement of public
7. Significance related to accountability and private partnership -
transparency of insurance leading to promotion improving awareness
of insurance products. related climate risk
insurance

Development of
Behavioral/ Sentiment Analysis 8. Patterns of individuals and organization pre Insurance products
in Climate Risk Insurance and post effect of climate disaster.
related to sentiments

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