Disasters caused US$122b in insured losses in 2022: Swiss Re

HURRICANE Ian and other natural catastrophes caused an estimated US$115 billion of insured losses this year, well above the 10-year average of US$81 billion, said Swiss Re on Thursday (Dec 1).

Natural and man-made disasters did economic damage estimated at US$268 billion, of which US$122 billion was covered by insurance. The reinsurer said this made 2022 one of the most expensive yet for the sector.

Ian, which struck Florida in September, was the single largest loss-causing event of the year to date. The category-4 hurricane caused an insured loss of about US$50 billion to US$65 billion, putting it second only to Hurricane Katrina in 2005.

This year was the second consecutive year in which estimated insured losses surpassed US$100 billion. This is in line with a 5 per cent to 7 per cent average annual increase over the past decade.

Swiss Re said that secondary perils, such as floods and hailstorms, caused more than US$50 billion in insured losses.

Widespread flooding in Australia after torrential rains in February and March caused an estimated US$4 billion in damage. This was the country’s costliest natural catastrophe.

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Meanwhile, France suffered the most severe series of hailstorms ever observed, with insured losses reaching about 5 billion euros (S$7.09 billion).

Swiss Re estimated that more than 11,000 people have died in natural and man-made disasters so far this year, excluding the death toll from severe heat waves in Europe.

Munich Re is due to release its annual catastrophe report in January. REUTERS