The Andaman Sea is known for the genesis of many severe cyclones that traverse the Bay of Bengal. The Andaman Islands face the surge disaster threat as their north-south orientation comes across the eastward path of severe cyclones moving from the Andaman Sea and western Pacific Ocean. In this study, we investigated the potential of a storm-induced surge—a natural disaster due to short-duration sea-level rise—to affect the Andaman Islands. A two-dimensional hydrodynamic model was employed to simulate storm surge characteristics and demarcate the coastal flooding extent of the highly inhabited Port Blair region of the Andaman Islands in the case of the severe cyclone of November 1989. A storm surge disaster mitigation plan is also proposed for the group of Andaman Islands.