Economic losses due to natural catastrophes and disasters are estimated at $77 billion worldwide in the first half of the year, Swiss insurer Swiss Re announced on Thursday.
This amount represents a 33% drop from the same period last year, but the burden on insurers will not decrease, the Swiss group said in a statement, highlighting the increase in incidents caused by climate change.
The calculated economic loss amount was also below the average for the past 10 years, which has been around $108 billion for the first six months of the year.
However, the costs that insurers will have to cover rise 4% to $42 billion, of which $40 billion relates to natural catastrophes, the group indicated, pointing out that normally in the first six months the costs are lower than in the second half, which coincides with the hurricane season in the North Atlantic.
For insurers, this is the most expensive half-year since 2011, when bills rose sharply due to earthquakes in Japan and New Zealand.
On average, the bill for insurance companies over the last 10 years is around $33 billion, he said.
“The effects of climate change manifest themselves in higher temperatures, rising water levels, more irregular rainfall and more extreme weather conditions,” said Martin Bertogg, one of the heads of Swiss Re, quoted in the statement.
Winter storm Uri alone, which hit the United States in February with a cold snap that hit Texas, had $15 billion in losses that are covered by insurance.
