Swiss Re figures confirm spike in nat cat losses

Theses losses are roughly in line with Swiss Re's 10-year averages and align with figures given by fellow reinsurer Munich Re and broker Aon Benfield. With losses mounting from recent catastrophes such as the Louisiana flooding and Italian earthquake, some experts predict that the heaviest global catastrophe losses for several years may see the reinsurance market finally find its floor. Preliminary Swiss Re Sigma figures place total insured losses from manmade and natural disasters at $31bn in H1 2106. This is an increase of 51% on the $21bn recorded during the same period last year, but inline with the 10-year average of $30bn. Global insured losses from natural catastrophes of $28bn rose from $16bn in H1 2015 and are a touch above the £26bn 10-year average. hide According to Swiss Re, total economic losses from natural catastrophes and manmade disasters reached $71bn in the first half of 2016. This is up 38% on the $52bn H1 2015 figure. This year's losses are significantly below the 10-year average of $110. Of the total 2016 economic losses, $68bn were caused by nat cats. This is an increase of 48% on 2015 and compares with a ten year average of $102bn. Manmade disasters caused total losses of $3bn.T his is down 48% on the $6bn recorded in the first half of last year and compares with a 10-year average of $8bn. Swiss Re's total and insured loss figures follow similar numbers from Munich Re. It recently placed global insured losses from natural catastrophes in the first half of 2016 at $27bn, up from $19bn in the first six months of 2015. Munich Re's figures are in line with its inflation-adjusted average for the past ten years, but above the $15bn average for the past 30 years. The reinsurer revealed that overall financial losses from nat cats during the first six months of this year were higher than the same period in 2015 at $70bn, although they were below the ten-year average of $92bn. At $63bn, they too were above the inflation-adjusted average for the past 30 years. Aon Benfield has placed global insured losses for H1 at $30bn, roughly in line with those given be the world's two biggest reinsurers. However, Aon Benfield estimates global natural disaster economic losses of $98bn, well above the numbers given by Swiss and Munich Re. These Aon Benfield loss figures are at their highest levels since 2011, but remain slightly below the ten-year averages of $112bn ad $31bn respectively. The losses are a touch above the longer-term averages of $84bn and $24bn dating back to 2000, noted the broker. Swiss Re's figures show that the most costly insured loss event in H1 was caused by a series of earthquakes that struck the Kumamoto prefecture in Japan. Insured losses from the series of shocks amounted to $5.6bn. Three separate severe weather events in the US, including large hail, caused combined insured losses of over $7bn. The most intense of these was a major convective storm in Texas, resulting in insured losses of $3.1bn. Two slow-moving low-pressure systems Elvira and Friederike caused thunderstorms, flash floods and river flooding in Europe during late May and June. France and Germany were the worst hit countries. The total insured loss from these storms and floods was $2.8bn, according to Swiss Re. Wildfires in Alberta, Canada also caused large insurance losses during the first half of 2016. Overall insured losses for these fires totalled $2.5bn, making it one of the costliest wildfire events for the insurance industry in history.

Swiss Re figures confirm spike in nat cat losses

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