Climate-related Physical Risks in Malaysia

Malaysia faces increasing threats from climate change, including floods and extreme weather, impacting lives and livelihoods

Understanding
the Impact of
Climate Change

Rising Temperatures

Climate change is leading to hotter days, affecting public health and increasing energy consumption

Extreme Weather Events

More frequent storms and heavy rainfall cause floods, landslides, and infrastructure damage

Economic Consequences

Climate-related disasters result in billions of ringgit in damage and disrupt economic activities

Public Health Impact

Heat stress and vector-borne diseases are becoming more prevalent due to changing climate patterns

Types of Floods in Malaysia

Flash Floods

Caused by intense rainfall within a short period, leading to sudden water surges

River Floods

Prolonged rain increases river levels, overflowing into surrounding areas

Coastal Floods

Storm surges, typhoons, and rising sea levels cause flooding in coastal regions

How Climate Change Impacts Malaysia

Economic Disruptions

Floods and extreme weather events damage infrastructure and businesses, leading to financial losses

Vulnerable Communities

Low-income and rural populations face higher risks due to lack of resources and adaptive capacity

Health and Well-being

Increased heat and pollution levels contribute to respiratory and heat-related illnesses

Environmental Damage

Biodiversity loss and ecosystem degradation accelerate due to climate changes

Flood Preparedness
What You Can Do?

Before a Flood

  • Store important documents in waterproof containers.
  • Keep an emergency supply of clean water and food.
  • Identify the nearest flood relief center.
  • Prepare emergency medical kits and power banks.
  • Be ready to evacuate if instructed by authorities.

During a Flood

  • Follow official instructions and avoid returning home prematurely.
  • Stay updated on flood warnings.
  • Avoid contact with electrical appliances in flooded areas.
  • Evacuate immediately if flash floods occur.
  • Drink only bottled or boiled water.

After a Flood

  • Avoid exposed live wires and damaged infrastructure.
  • Dispose of contaminated food and ensure hygiene.
  • Wear protective footwear when returning home.
  • Check for damage to water sources and sanitation systems

Minimizing the Financial Impact of Floods with Insurance

Vehicle Insurance

  • Only 4% of Malaysians have flood insurance coverage for their vehicles.
  • Flood protection is available under Special Perils Insurance, which must be purchased separately.
  • Driving through floodwaters may void your claim due to engine hydrolock damage.

Home & Property Insurance

  • 74% of homes in Malaysia are not insured against flood damage.- 33% of insured homeowners do not have home content insurance.
  • Many property owners fail to update their insurance coverage, leading to underinsurance.
  • Flood insurance should be reviewed and renewed regularly.

*The write-up is sourced from the Climate Change Action Committee 2022/2024

Take Action Today

Climate change is increasing the frequency and severity of floods. Being informed, prepared, and insured can help mitigate both the physical and financial risks.For more information on how you can protect yourself against climate-related risks, visit PIAM’s website or consult with your insurance provider today.