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- Rising Catastrophes: Amplifying Global Economic Losses and Shaping the Future of Disaster Insurance 🌡
Rising Catastrophes: Amplifying Global Economic Losses and Shaping the Future of Disaster Insurance 🌡
As natural disasters intensify, insurers face growing pressure to close the global protection gap and secure vulnerable regions.
In this article
Cost of natural disaster losses worldwide from 2000 to 2023, by type of loss ($B)
In 2023, the global protection gap for natural disasters was $262 billion, with total economic losses of $380 billion and insured losses of $118 billion.
Most costly Catastrophes
1900 - 2023
The economic costs of natural disasters have been staggering, with hurricanes and earthquakes leading the charge in terms of financial impact. Hurricane Katrina in 2005 remains the costliest disaster in U.S. history, with damages reaching $102 billion. More recently, Hurricane Ian in 2022 caused $56 billion in losses across the U.S. and Cuba. In Japan, the 2011 Tohoku earthquake and tsunami incurred $48 billion in damages. Other significant events include Hurricane Irma in 2017, which affected the U.S. and the Caribbean, costing $42 billion, and Hurricane Ida in 2021, which caused $41 billion in damages across the same regions. The high economic toll of these disasters highlights the increasing vulnerability of global infrastructure and communities, especially as the frequency and severity of such events grow due to climate change.