KBRA Financial Intelligence

WEBINAR: What Disaster and Demographic Data Reveal About Concentration Risk in Banking

Throughout 2025, KFI has introduced innovative macroeconomic and demographic datasets alongside enhanced branch and deposit mapping features. To demonstrate the practical applications of these tools, we used our data-focused KFI Insights research to quantify the impact of increasing disaster frequency and significant demographic shifts on the banking industry—particularly for institutions located closest to areas hit by recent natural disasters.

KFI shared this research in our webinar, What Disaster and Demographic Data Reveal About Concentration Risk in Banking, hosted by Bank Director. During this session, KFI concentrated months of Insights research into a concise presentation and unveiled some new, previously unpublished findings.

Natural disasters and demographic shifts can present challenges for community and regional banks, which often depend heavily on geographically concentrated markets. These risks have intensified in recent years, with billion-dollar disasters occurring more frequently and the U.S. population projected to continue aging in the decades ahead.

KFI has tracked the impact of recent disasters on bank lending over multiple quarters, quantifying a clear correlation between a bank’s proximity to disasters and disproportionately higher rates of loan delinquency compared to institutions not similarly exposed.

Simultaneously, demographic concerns are reshaping communities across the U.S. Although declining population mobility may enable community and regional banks to build and maintain long-term customer relationships, the steadily rising median age presents new challenges. Older populations generally rely less on credit and draw down deposits during retirement, which could slow deposit growth in many markets.

Watch the full recording of the Bank Director webinar here: https://vimeo.com/1111429165

Discover KFI's entire library of Insights reports at: https://www.kbraanalytics.com/products/kfi/insights.