A high frequency of small to medium-sized events resulted in global insured losses from natural catastrophes of £47bn in the first half of 2024, according to preliminary estimates from Swiss Re Institute.

Severe thunderstorms – mainly in the US – accounted for 70% of global insured losses, something that Swiss Re attributes to growing populations and higher property values in urban areas, along with the vulnerability of insured property to hail damage.

Thunderstorms or severe convective storms are characterised by strong winds including tornadoes, hail and heavy rain. In total, these led to insured losses of £33bn globally in the first half of 2024. In the US, 12 storms each caused losses of US$1bn or more, demonstrating the loss potential of this peril. According to Swiss Re Institute's sigma 1/2024, insured losses from SCS in the US have increased by around 8% in nominal terms annually since 2008.

Jérôme Jean Haegeli, Swiss Re's Group chief economist, commented: "Insured losses from severe thunderstorms have been growing due to a mix of factors including inflation, which has contributed to rising construction costs. And, with economic development, overall exposures will continue to increase. That's why investing in protective measures – such as shielding vulnerable communities from floods or improving building codes to protect homes from severe hailstorms – is vital."


Pictured: Swiss Re headquarters, Campus Mythenquai (Christian Richters, 2017)

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