25 July 2018Insurance

Nat cat claims at $21bn in H1

Insured losses from natural disasters in the first half of 2018 are estimated at $21 billion, 40 percent lower than the 10-year average of $35 billion, according to Aon’s Global Catastrophe Recap: First Half of 2018 report.

The global economic losses in the first six months are estimated at $45 billion, 64 percent lower than the 10-year average of $124 billion.

Natural disasters claimed at least 2,153 lives during the first half of 2018, the least since 1986, and significantly below the long-term (1980-2017) average of 36,570. Flooding was the deadliest peril of the first two quarters of 2018, having been responsible for at least 892 deaths.

According to the report, there were an estimated 156 natural disaster events in the first half of 2018, which was above the 18- average of 142. While there was no ‘mega catastrophe’ that led to economic damage beyond $10 billion, there were at least 15 separate billion-dollar events in the first half of 2018 – all of which were weather-related, except one earthquake event – led by the US (6), EMEA (4), APAC (4), and the Americas (1).

The first six months were marked by many smaller-scale disasters, with Asia-Pacific (APAC) recording the most disasters in the first six months of the year (55). Europe, Middle East & Africa (EMEA) was second with 44 events, followed by the United States (37) and the Americas (20).

“The first six months of 2018 featured several large-scale disasters with at least 15 individual billion-dollar economic loss events around the world,” said Steve Bowen, Impact Forecasting director and meteorologist. “However, the resultant losses were largely manageable for the re/insurance industry. While first half losses were lower than average, it is imperative to reiterate that this does not automatically correlate to a quieter second half. As last year proved on multiple occasions, even one singular event can completely change the trajectory of a year from a humanitarian and financial cost perspective. Identifying and understanding your individual level of risk remains an important asset in helping to mitigate potential impacts given the prospect of future events,” Bowen noted.

Get all the latest re/insurance industry news with our daily newsletter - sign up here.

More of today's news

Enstar, PE firm acquire stakes in AmTrust

WR Berkley CEO concerned about reinsurance, bullish on casualty

Chubb expands as commercial P&C rates rise

Profits and GWP up in Q2 at RenRe but uncertainty on 2017 cat claims remains

Hiscox appoints new UK CUO from Zurich

Howden expands in Africa through partnership with Tanzanian broker

Guy Carpenter names new head of credit, bond and political risk practice