Weather & Science
After $70 Billion Hit, Insurers Wake Up to New Risk Pattern
- Aon says convective storms reached all-time high in 2023
- Most losses from natural disasters aren’t covered by insurance
Buildings submerged by floodwater following Storm Daniel in the village of Kastro in Trikala, Greece, in Sept.
Photographer: Konstantinos Tsakalidis/BloombergThis article is for subscribers only.
The insurance industry is grappling with a new kind of weather risk that’s increasingly driving its biggest loss category.
While no single weather event caused more than $10 billion in losses for insurers last year, there were 37 thunderstorms that each cost at least $1 billion, according to a report by Aon Plc. That’s more than ever before and way above the average of 14 such storms in a single year, the insurance broker said.