A method for evaluating the economic losses caused by building damage was studied as one of a series of methods employed to evaluate the monetary costs needed for earthquake victims to rebuild their lives. Residential earthquake insurance claims payments were used as indicators for evaluating economic losses from building damage. Vulnerability functions for buildings were prepared for individual degree of damage caused to the buildings, based on data on the insurance claims payments made in the aftermath of the 1995 Hyogo-ken Nanbu Earthquake. In order to validate the vulnerability functions, the insurance claims payments for buildings in the Hyogo-ken Nanbu Earthquake were calculated; the calculated values were compatible to the amount actually paid.
