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Households’ Risk Mitigation Activities and Risk Perception Bias: Earthquake Insurance Purchase and Seismic Retrofitting

In: Housing Markets and Household Behavior in Japan

Author

Listed:
  • Miki Seko

    (Musashino University)

Abstract

This chapter examines how objective disaster risk perceptionObjective disaster risk perception , which is based on disaster prevention information such as hazard maps Hazard map , has affected household disaster prevention and mitigation activitiesHousehold disaster prevention and mitigation activities in the aftermath of the Great East Japan Earthquake. The results of an analysis focusing on the purchase of earthquake insurancePurchase of earthquake insurance and implementation of household seismic retrofitting Seismic retrofitting show that accessing disaster prevention materials Disaster prevention materials does, on average, encourage household disaster prevention and mitigation activities. Furthermore, an examination of its relationship with objective earthquake occurrence risk—Japan Meteorological Agency (JMA) 6− or higher earthquake occurrence probability—revealed that accessing disaster prevention information had a significant effect on households in both relatively low- and high-risk regions. This result is consistent with the hypothesis that consumer perception bias for earthquake risk Perception bias is reduced by the dissemination of objective risk indicators based on disaster prevention information. As a result, the rise in the number of households who have accessed disaster prevention information since the earthquake could be linked to disaster prevention and mitigation activities by households, particularly in regions with low and high probability of earthquake occurrence.

Suggested Citation

  • Miki Seko, 2019. "Households’ Risk Mitigation Activities and Risk Perception Bias: Earthquake Insurance Purchase and Seismic Retrofitting," Advances in Japanese Business and Economics, in: Housing Markets and Household Behavior in Japan, chapter 0, pages 251-272, Springer.
    • Handle: RePEc:spr:advchp:978-981-13-3369-9_13
    DOI: 10.1007/978-981-13-3369-9_13
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    Cited by:

    1. Chun-Min Zhang, 2020. "Seismic risk-coping behavior in rural ethnic minority communities in Dali, China," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 103(3), pages 3499-3522, September.

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