Global insured losses hit $58b in H1 2024

Natural catastrophes resulted in over 6,000 fatalities, the lowest since 2020.

The world’s natural disasters in the first half (H1 2024) of the year have stirred a preliminary estimate of $117b in economic losses, Aon revealed. However, this was lower than the 21st-century average of $137b, and notably lower than the $226b the previous year.

Aon’s Global Catastrophe Recap: First Half 2024 report, showed global insured losses for 1H 2024 were at least $58b, exceeding the 21st-century 1H average of $39b but lower than in the past three years, where 1H insured losses topped $60b by the end of June. 

Natural catastrophes resulted in over 6,000 fatalities during this period, the lowest since 2020.

Aon estimates the insurance protection gap reduced to 50%, amongst the lowest on record for H1, largely due to elevated insurance payouts for US’ severe convective storm (SCS) damage. 

"It is great to see a lowering of the global protection gap, which is a result of the high levels of insurance coverage for the SCS events observed in the first half of 2024," said Michal Lörinc, head of Catastrophe Insight at Aon in a media release. "However, the re/insurance industry needs to continue its efforts to increase levels of insurance in emerging markets, through provision of not just capital and capacity, but also advanced data and analytics, which help to qualify and quantify the risk, and ultimately shape better decisions."

US natural disasters accounted for nearly 80% of global insured losses in 1H 2024, reaching almost $46b.

Thirty economic loss events exceeded $1b in 1H, with 22 in the US, two in South America, four in Asia, and two in EMEA. 

The costliest economic loss event was Japan's Noto earthquake on 1 January, with over $17b in direct damage. The costliest insured loss event was a period of SCS in the US in March, estimated at $4.7b.