Fewer disasters, less loss in first half of 2018 by Munich Re
The Munich Re NatCatSERVICE registered approximately 430 relevant natural disasters in the first half of 2018. All loss events are recorded that have resulted in property damage and/or involved fatalities. Different threshold values are used for property losses according to a country’s level of development.
The latest article of re-insurance company Munich RE states that in the first half of 2018 losses from natural disasters were "significantly lower" than usual, whereby half of these losses were insured. In fact, with US$ 33bn in total, the losses were the lowest since 2005. This is primarily due to fewer disasters, since the individual events themselves still caused high losses.
In Europe, winter storm Friederike turned out as the single costliest disasters with losses of US$ 2.7 bn. In mid-January, the storm brought wind speeds of between 150 km/h to 200km/h in the United Kingdom, France, the Benelux states and Germany. Similarly, the United States and Canada faced major losses caused by winter storms between March and May. China had to struggle with frost and heavy snowfall as well, facing losses of up to US$ 2 bn due to extreme weather conditions.
Later in spring, thunderstorms triggered flash floods in Germany and France, causing damages of approximately US$ 1.6 bn. Northern Europe meanwhile had to face "extremely dry weather" and was subjected to droughts. In Australia, drought, low humidity, dry weather, and high temperature worsened the spread of extensive bushfires, causing damages of US$ 100 million, most of them insured. Meanwhile, four tropical storms hit the African continent. In Kenya, flooding caused major damages and killed more than 100 people. Over 100,000 people had to be rescued from the floods.
Munich RE notes that the second half of 2018 usually causes higher losses. This is likely to be confirmed sadly by the most recent floods in Japan, which have costed over hundred lives and caused major economic damage.
To read the full article of Munich RE, please follow this link: https://www.munichre.com/topics-online/en/2018/07/natural-catastrophes-first-half-of-2018
Africa Asia Catastrophe risk management Insurance