NATURAL DISASTERS CAUSED $220B IN GLOBAL LOSSES IN 2025 

Swiss Re [SSREY +%0,20] reported that global economic losses from natural disasters dropped 33% to $220 billion in 2025, with insured losses reaching $107 billion—marking the sixth consecutive year exceeding $100 billion—driven primarily by the Los Angeles wildfires and severe convective storms.

The January LA wildfires became the costliest wildfire event globally with $40 billion in insured losses after burning over 23,000 acres in affluent Southern California neighborhoods, while severe convective storms generated $50 billion in losses, making 2025 the third-costliest year for such events.

The United States accounted for 83% of global insured losses, though the absence of hurricane landfalls for the first time in a decade kept total losses below earlier forecasts, as rising climate risks prompt insurers to retreat from high-risk areas and widen coverage gaps.