Through the first nine months of 2024, global natural catastrophe activity remained quite active despite translating to a near or slightly below average financial cost. The minimum USD280 billion in economic loss from all natural perils was lower than the most recent 10-year Q1-Q3 average (USD309 billion).
Please note that these estimates do not include the high loss costs emanating from Hurricane Milton, which struck the state of Florida in early October (Q4).
As we enter the final stretch of the year, there remains focus on what has turned out to be a "backloaded" end to the Atlantic hurricane season. While the number of Atlantic storms has been less active than originally forecasted, the season has already resulted in five hurricane landfalls in the United States. Colorado State University, a collaborative partner with the Gallagher Research Centre, notes that favorable conditions should persist into November. The insurance industry is also adjusting to an increased frequency of major natural hazard events occurring in non-traditional insurance markets.
Key takeaways from the first nine months of 2024:
- Near-average losses for the global insurance industry
- Hurricane Helene: Costliest industry event thru Q3 2024
- Major humanitarian toll from flood and drought events
- 51+ billion-dollar economic loss events
- 28+ billion-dollar insured loss events (19+ multi-billion)
- Warmest Q1-Q3 for the world on record dating to 1850
