Munich Re and
Aon have both released reports detailing the economic and insured losses from natural disasters over the first six months of 2017.
The reinsurance giant found that globally, losses from natural catastrophes hit US$41bn, with US$21.5bn in insured losses, compared with overall losses of US$111bn in 2016 and US$32bn in insured losses.
The first half of 2017 also saw both insured and economic losses dip under the 10 year average of US$29bn and US$102bn respectively.
In Asia Pacific and Australia, Munich Re said that first half losses totalled US9.2bn, with US$2,1bn insured.
In a similar report released by Aon’s Impact Forecasting, found that economic losses for the first half were estimated to be US$53bn with insured losses estimated to be US$22bn.
Impact Forecasting noted that economic losses were down 56% compared with the 10 year average as insured losses shrank by 35%.
In Asia Pacific, the firm saw US$13.7bn in economic losses, compared with US$66.1bn in the 10 year average.
Cyclone Debbie, which hit Australia earlier this year, was the biggest economic and insured loss for the region as Hermann Pohlchristoph, Munich Re board member responsible for Asia Pacific, said the region was relatively unscathed.
“In terms of actual loss amounts, Asia and Australia were not as badly hit by natural disasters as they often are,” Pohlchristoph said.
Steve Bowen, Impact Forecasting director and meteorologist, said that whilst it was a relatively benign year compared with historical results, the industry still faces challenges.
“The financial toll from natural catastrophe events during the first six months of 2017 may not have been historic, but it was enough to lead to challenges for governments and the insurance industry around the world,” Bowen said.
“As we enter the second half of the year, much of the focus will be on whether an El Niño officially develops. Such an event could have a prominent influence on weather patterns and associated disaster risks.”
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