Boston-based disaster modeling company AIR Worldwide said Monday that disasters globally are expected to cause about $ 106 billion in insured losses on an annual basis.
This figure exceeds the actual average loss over the last decade of about $ 75 billion annually.
Bill Churney, President of AIR Worldwide, said that actual global insured losses outside of 2017 have been below the long-term average.
The proportion of financial losses from natural disasters that are insured varies depending on the region. In North America, about 50% of the economic loss from natural disasters is insured, while in Asia and Latin America, the insured losses account for only about 12% and 24% of the economic losses, respectively, reflecting the low insurance penetration in these regions.
The proportion of financial losses insured also varies considerably according to danger, with coverage for flood and earthquake losses usually much lower than for risk from wind and fire.