Kathmandu. In Asia, only 10 percent of the damage caused by natural disasters is under the insurance protection umbrella.
According to Verisk’s 2025 Global Model Disaster Damage Report, Asia faces a huge insurance security gap. “Insurance covers only 12 per cent of the economic damage caused by natural disasters, up from 32 per cent in Latin America and 48 per cent in North America,” the report said. ’
According to the report, the global modelled average annual property loss (AAL) increased by $32 billion to $152 billion from 2024.
According to the report, in the last five years, the loss of insured property due to natural disasters was an average of $ 132 billion per year. That was $104 billion in the previous five years. This increase reflects inflation, urbanization, climate change, and recurring events.
Recurring threats are now causing twice as much damage as major events.
