Insurance companies bore $140 billion of these losses, making it the third most expensive year for the insurance industry.
Weather catastrophes dominated the loss landscape, accounting for 93% of overall damages. The United States faced particularly severe impacts, with hurricanes Helene and Milton striking Florida in quick succession. Hurricane Helene inflicted $56 billion in damages, while Milton caused $38 billion in losses, with $25 billion covered by insurance.
"One record-breaking high after another – the consequences are devastating. The destructive forces of climate change are becoming increasingly evident, as backed up by science. Societies need to prepare for more severe weather catastrophes," said Thomas Blunck, a member of Munich Re’s board of management.
The Americas shouldered approximately 60% of global natural catastrophe losses, higher than the 10-year average of 54%. Severe thunderstorms in the USA alone resulted in $57 billion in losses, with $41 billion covered by insurance.
Europe also experienced disasters, with Spain's Valencia region suffering its deadliest natural disaster in 50 years. The region received as much rainfall in one day as it typically does in a year, resulting in damages of $11 billion.
The Asia-Pacific region also witnessed substantial losses, including a powerful earthquake in Japan on New Year's Day and Typhoon Yagi, which claimed approximately 850 lives across several countries.
2024 is set to replace 2023 as the hottest year on record, with temperatures reaching approximately 1.5°C above pre-industrial levels.
"Everyone pays the price for worsening weather extremes, but especially the people in countries with little insurance protection or publicly funded support to help with recovery," said Munich Re chief climate scientist Tobias Grimm. "The global community must finally take action and find ways to strengthen the resilience of all countries, and especially those that are the most vulnerable."
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