2015’s $35bn insured nat cat losses lowest for six years: Aon

This low figure was in line with $123bn of global economic losses from natural catastrophes in 2015, 30% below the 15-year average of $175bn, according to Impact Forecasting's Annual Global Climate Catastrophe Report that was released this week. Global insured cat losses were 28% of economic losses in 2015, in-line with the 10-year average of 29%. The report reveals that 300 separate global natural disasters occurred in 2015, compared to a 15-year average of 269 events. It also reveals that last year replaced 2014 as the warmest since global land and ocean temperatures were first recorded in 1880.hideThe costliest event for insurers was a February winter storm that impacted much of the eastern US and resulted in public and private insurance payouts of more than $2.1bn. Additional notable insured loss events were December's severe thunderstorms and flooding in the US, windstorms Mike and Niklas that impacted Europe in March and April, December flooding in the UK and August's Typhoon Goni that struck Japan. Seven of the top ten insured loss events occurred in the US. It incurred 60% of all global insured losses. No region of the world sustained aggregate insured losses above its 15-year average in 2015. The most costly insured peril of 2015 was severe weather, or thunderstorms, at $14bn, followed by flooding at $7bn and winter weather at $4bn. 2015 was the first time since 2009 that no individual peril recorded insured losses over $15bn. "Of our top five economic losses, four occurred outside the United States and yet none of these was a top 10 insured loss owing to low insurance penetration in the affected countries," said Stephen Mildenhall, Chairman of Aon Analytics. There were 14 multi-billion US dollar economic loss events around the world last year. The costliest, at $16.1bn, were forest fires that burned out of control in Indonesia. The Impact Forecasting report notes that flood, severe thunderstorm and wildfire accounted for 59% of all economic losses during the 12 months under review. The deadliest event of 2015 was the magnitude 7.8 earthquake and subsequent aftershock that struck Nepal in April and May, killing more than 9,100 people and costing the nation and surrounding countries an estimated $8bn in damage and reconstruction. Steve Bowen, Associate Director and Meteorologist at Impact Forecasting, said: "While a notable uptick in recorded natural disaster events did not directly translate to greater financial losses in 2015, the year was marked by 31 individual billion-dollar disasters, or 20% more than the long-term average. For just the fourth time since 1980, there were more than 30 such events in a year. Asia once again incurred the greatest overall economic losses, representing 50% of the world total and four of the five costliest events." By the end of 2015, the US had extended its record to 10 consecutive years without a major hurricane landfall, notes the report. "The strongest El Niño in decades had definitive impacts on global weather patterns during the second half of 2015 that led to costly flood, tropical cyclone and drought events. These impacts will linger into the first half of 2016, and ironically enough, we could be discussing impacts from La Niña at this time next year," said Mr Bowen.

2015’s $35bn insured nat cat losses lowest for six years: Aon

Want to read this article?

Read Next

AstraZeneca places innovative outcomes based policy that covers interconnected risks

40% of ESG investment funds in Europe accused of greenwashing

Talanx brings forward targets in new sustainability strategy

German insurers brace for rising fraud cases

FM Global reveals record $1.4bn renewal credits

AstraZeneca places innovative outcomes based policy that covers interconnected risks

40% of ESG investment funds in Europe accused of greenwashing

Talanx brings forward targets in new sustainability strategy

German insurers brace for rising fraud cases

FM Global reveals record $1.4bn renewal credits

Want to read this article?

Read Next

AstraZeneca places innovative outcomes based policy that covers interconnected risks

40% of ESG investment funds in Europe accused of greenwashing

Talanx brings forward targets in new sustainability strategy

German insurers brace for rising fraud cases

FM Global reveals record $1.4bn renewal credits

Related Articles