Kathmandu. In the first six months of 2025, $80 billion worth of insured property has been damaged worldwide due to natural disasters.
According to preliminary estimates from the Swiss Re Institute, the damage to the insured property is estimated to be equal to this amount in the first six months of this year. That’s almost twice the 10-year average and more than half of the $150 billion estimated for the full year.
Natural disaster activity typically increases in the second six months. So the total damage may be higher than anticipated.
The largest part of the damage was caused by wildfires in the United States. In January, a fire in Los Angeles County alone damaged $40 billion worth of insured properties. As a result, it has become the most expensive fire incident ever.
Similarly, large storms have become a major source of insured property damage. As a result, in the first six months of this year, insurance assets worth $ 31 billion have been damaged.
However, this is lower than the trend estimate of $35 billion and record levels for 2023 and 2024. SCS events with hailstorms and hurricanes continue to pose significant risks to the U.S.
According to Swiss Rica, urbanization, rising property prices such as real estate and higher costs of reconstruction are increasing the damage caused by such storms.
In March, an earthquake in Myanmar caused widespread destruction and killed many. In Thailand alone, an estimated $1.5 billion worth of insured properties have been damaged by the seismic waves in the region.
As the severe hurricane season in the U.S. ends, the focus is now on the northern Atlantic hurricane season. Forecasts point to almost average activity. These include 3 to 3 major storms.
