Insured nat cat losses through September top $100 billion: Aon

Insured losses from natural catastrophes are expected to reach at least $102 billion through the first three quarters of this year and may be on pace to exceed the $125 billion of insured losses in all of 2023, according to a report Monday from Aon PLC.

The report shows there were at least 280 “notable” global natural disaster events during  the period, resulting in insurance losses forecast to be at least $102 billion by the end of September, although that figure is expected to grow before year’s end, Aon said.

“Losses from Hurricane Milton and additional events expected in the rest of the calendar year … will likely result in total annual insured losses above those seen in 2023,” Aon said.

The $102 billion in insured losses through September was “well above” the 21st century average of $79 billion for that period, according to the report.

Third-quarter insured losses were driven by three costly Atlantic hurricanes, severe convective storm outbreaks in the United States and Canada, and flooding in Central Europe, according to the report.

Severe convective storm led all perils with $59 billion in losses followed by tropical cyclone with $21 billion and flooding with $12 billion.

Most of the losses, including those from severe convective storms, continued to be retained by insurers, “prolonging the period of exceptional returns for reinsurers,” Aon said.