Nat cat losses well above recent 10-year average: Gallagher Re

Global insured losses from natural catastrophes are estimated at $154 billion for 2024, 27% above the 10-year average from 2014-2023 of $121 billion, according to a report Tuesday from Gallagher Re, the reinsurance business of Arthur J Gallagher & Co.

“This suggests a ‘new normal’ approaching $150 billion per year,” the broker said in a statement with the report.

The bulk of these insured losses came in the U.S. — $117 billion, or 76% of the global insured loss.

There was a record 21 multibillion-dollar insured loss events in 2024, according to the report.

Hurricane Helene, which struck the U.S. Sept. 24, and Hurricane Milton, which hit the U.S and Mexico Oct. 7, each caused $20 billion in insured losses, tying for the year’s costliest event.

The next four most costly insured loss events were U.S. severe convective storm outbreaks from March to May, ranging from $3.9 billion to $5.6 billion in losses.

Overall, severe convective storm insured losses totaled $64 billion, 59% above the 10-year average of $40 billion.

This was followed by tropical cyclone at $51 billion, 37% higher than the 10-year average of $38 billion.

Flooding was third with $21 billion in insured losses, 43% higher than the 10-year average of $15 billion.