A high frequency of small to medium events resulted in global insured losses from natural catastrophes of USD 60 billion in the first half of 2024, according to Swiss Re Institute’s preliminary estimates. Severe thunderstorms, mainly in the US, accounted for 70% of global insured losses.
In recent years, severe thunderstorms have emerged as a main driver of a significant increase in insured losses. This is due to growing populations and higher property values in urban areas, along with insured property being more vulnerable to hail damage. Therefore, multi-billion-dollar loss events from this peril are likely to become more common.
Balz Grollimund, Head of Catastrophe Perils, Swiss Re
Thunderstorms or severe convective storms (SCS) are characterised by strong winds including tornadoes, hail and heavy rain. In total, these led to insured losses of USD 42 billion globally in the first half of 2024. In the US, 12 storms each caused losses of USD 1 billion or more, demonstrating the loss potential of this threat.
Floods caused above-average losses, driven by events in the UAE, Germany, and Brazil, and accounted for 14% of global insured losses. In April, torrential rain caused by severe thunderstorms led to flash floods on the Arabian Peninsula, resulting in unprecedented damage in the UAE. According to industry estimates, insured losses will likely amount to at least USD 2 billion, making it the country’s costliest natural disaster on record. While heavy rainfall is expected to increase in a warmer climate, swift urban growth, land use alteration, scarce drainage systems, and dry soils intensify loss severity.
Overall economic losses from catastrophes in the first half of 2024 were significantly down (USD 127 billion) compared to the same period in 2023 (USD 159 billion). However, the 2024 figure was 29% higher than the 10 year average for economic losses in the first half of the year.
The breakdown between natural catastrophes and man-made catastrophes in the first half of 2024 can be seen below:
Total economic and insured losses in H1 2024 and H1 2023
(USD billion in 2024 prices)
| H1 2024 | H1 2023 | H1 previous 10-y avg | % change vs 10-y avg | |
| Natural catastrophes | 120 | 152 | 91 | 31% |
| Man-made catastrophes | 7 | 6 | 7 | – |
