Global insured cat losses in 2019 estimated at $56B: Swiss Re

Global insured losses from catastrophes in 2019 are estimated to be $56 billion, down sharply from $93 billion in 2018 and well below the annual average of $75 billion over the previous 10 years, Swiss Re Ltd. said in a year-end report Thursday.

Total economic losses from natural and man-made catastrophes fell to approximately $140 billion in 2019 from $176 billion in 2018, according to the preliminary estimates from Swiss Re Institute.

Insured losses from natural catastrophes fell to $50 billion from $84 billion in 2018 while insured losses from man-made disasters declined to $6 billion from $9 billion, the report said.

Natural catastrophes accounted for $133 billion of this year's roughly $140 billion in global economic losses, down from $166 billion in 2018, and man-made disasters $7 billion.

Storms wreaked havoc in both hemispheres as Hurricane Dorian devastated the Bahamas and hit North Carolina, causing insured losses of some $4.5 billion.

Japan was twice vexed as Typhoon Faxai hit the Kanto region that includes Tokyo in mid-September, with insured losses estimated to be $7 billion.

Then, in early October, Typhoon Hagibis hit the same region, causing insured losses estimated to be $8 billion, Swiss Re said.

“After some years of relative calm, the experience of the last two years reaffirms that typhoon risk remains a major vulnerability for Japan,” the report said, noting that Faxai and Hagibis followed Typhoon Jebi in 2018, which caused “substantial” insurance losses of approximately $13 billion.