Natural Catastrophe and Climate Report 2024

The Natural Catastrophe and Climate Report: 2024 provides a comprehensive analysis of the significant natural catastrophe events and climate-related topics from the previous year. It outlines the estimated total direct economic costs from global natural perils, which reached USD417 billion, with the private insurance market covering USD154 billion of this total. The report highlights the ongoing influence of climate change on the frequency and severity of these events, noting that 2024 was declared the warmest year on record. The document details the emergence of new risk areas linked to climate change and socioeconomic factors, emphasizing the need for the (re)insurance industry to adapt its strategies accordingly. It also discusses the concept of compound risk, where multiple factors interact to exacerbate overall risk severity. The report aims to inform stakeholders about the evolving risk landscape and the importance of integrating climate risk management into decision-making processes across various sectors.