2021 Weather, Climate and Catastrophe Insight
2021
Weather, Climate and Catastrophe Insight
As the world wakes up to the effects of a changing climate, organizations have to be better informed if they are to make the right decisions for their future. The 2021 Weather, Climate and Catastrophe Insight investigates how best to build for the long-term while tackling the immediate challenges of a volatile world.
Download the report
Discover More
Section 2
What Can We
Do?
Scroll for more content
As the world wakes up to the effects of
a changing climate, organizations have to be better informed if they are to make the right decisions for their future.
What Can
We Do Today To Plan For Tomorrow?
Climate at a Crossroads: Investing Today
for a Resilient Tomorrow
Your Secret Ally in Tackling
Climate Change
While the world did not break any total
loss records in 2021, the widespread
and scientifically significant impacts from some events left historic loss costs in several nations.
Global and
Regional Findings
Choose a region to see the findings
As disaster costs rise we need to promote climate resiliency and better development strategies. We can no longer build to meet the climate of yesterday.
“
Steve Bowen
Hurricane Ida
Western / Central Europe Floods (July)
U.S. Polar Vortex (February)
Global Severe Convective Storms
Real-Time Impact
of Climate Change
How We Are Already Seeing The First Signs
Learn More
Scroll for more content
Find Out
More
Section 3
Aon produces weekly, quarterly and annual reports, as well as real-time updates on major global catastrophic events as they happen around the world. Visit our Catastrophe Insight website to sign up for these reports.
Interested In Real-Time Updates?
Reinsurance Solutions Website
Contact Us
Legal
Privacy
Cookie Notice
Explore aon.com
The global protection gap is the difference between total economic losses and what’s covered by insurers. This remains a critical reference point for the insurance industry, financial markets and federal governments around the world as it highlights the vulnerability of communities and the opportunity for new solutions. The importance is seen in the 21st Century gap for weather and climate disasters (69 percent), but also for all natural perils which additionally includes the earthquake peril (72 percent).
62% Global Protection Gap $213 billion
38% Insured Loss $130 billion
Economic loss:
$343 billion
All figures in U.S. Dollars
The world faced a number of significant natural disasters over the course of 2021 that caused more than $343 billion in economic damage. Despite the unprecedented burden of natural catastrophe and pandemic-related losses over the last five years, the reinsurance sector continues to be well-capitalized meaning they can comfortably manage to pay the large losses. To put this into context, Aon estimates that global reinsurer capital totaled $660 billion on September 30, 2021, an increase of $10 billion relative to the end of 2020.
Economic Losses From Natural Disasters Were Estimated At $343 Billion In 2021
Section 1
Explore the Report
Why This Is Important
Section 1
What Can We Do?
Section 2
Find Out More
Section 3
Close
Close
Do?
Your Secret Ally in Tackling
Climate Change
Climate at a Crossroads: Investing Today
for a Resilient Tomorrow
Global
U.S.
South America
North America
(non U.S.)
Europe
Middle East
Africa
Asia
Oceania
Global
Brian Kerschner
Twenty-three individual events in the U.S. exceeded the $1 billion economic loss threshold in 2021.
“
U.S.
South America
North America
(non U.S.)
Europe
Middle East
Africa
Asia
Oceania
Brian Kerschner
Eighteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
“
Western Wildfires
Severe Convective Storms
Polar Vortex (February)
Hurricane Ida
Brian Kerschner
Twenty-three individual
events in the U.S. exceeded the $1 billion economic loss threshold in 2021.
“
Brian Kerschner
Sixteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
“
Argentina Earthquake (January)
La Niña Rainfall and Flooding
European Flooding
La Plata Basin Drought (Brazil, Paraguay, Argentina, Bolivia)
Brian Kerschner
Sixteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
“
Michal Lörin
Issues of vulnerability, resilience and changing climate were in the spotlight as Europe endured its costliest insured loss event on record.
“
Haiti Earthquake
Canada British Columbia November Floods
European Flooding
Western North America Heat Wave and British Columbia Wildfires (June)
Brian Kerschner
Sixteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
“
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.”
“
Late Season Cold Spell (April)
Severe Convective Storm Outbreaks (June)
European Flooding
Western / Central Europe Floods (July)
Michal Lörinc
Issues of vulnerability, resilience and changing climate were in the spotlight
as Europe endured its
costliest insured loss event
on record.
“
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.”
“
Turkey Flooding (August)
Mediterranean Wildfires (July / August)
European Flooding
Cyclone Shaheen
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.
“
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
“
Egypt Flooding and Thunderstorms (November)
Cyclone Eloise
European Flooding
Table Mountain Wildfire (South Africa)
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.
“
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
“
Typhoon Rai
Japan Earthquake (February)
European Flooding
Seasonal Floods (China, India, Sri Lanka, Malaysia)
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
“
Steve Bowen
As disaster costs rise we need to promote climate resiliency and better development strategies. We can no longer build to meet the climate of yesterday
“
Cyclone Seroja
Australia Severe Convective Storms (October)
European Flooding
Australia East Coast Low (March)
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
“
More
Supply Chain
Read more
Coupled with the risk of disruption caused by catastrophes and the evolving climate, it has never been harder to balance the need for flexible, cost-effective supply chains.
Public Sector Perspective
Read more
As regulatory bodies increasingly seek direction on how companies are handling the risks posed by climate change, the insurance industry is helping…
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Behind the Scenes of Weather And Climate Forecasting
Read more
On the front line of daily weather forecasting,
NOAA provides actionable data for resiliency planning across all sectors.
Behind the Scenes of Weather And Climate Forecasting
Read more
On the front line of daily weather forecasting,
NOAA provides actionable data for resiliency planning across all sectors.
Supply Chain
Read more
Coupled with the risk of disruption caused by catastrophes and the evolving climate, it has never been harder to balance the need for flexible, cost-effective supply chains.
Public Sector Perspective
Read more
As regulatory bodies increasingly seek direction on how companies are handling the risks posed by climate change, the insurance industry is helping…
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Behind the Scenes of Weather And Climate Forecasting
Read more
On the front line of daily weather forecasting,
NOAA provides actionable data for resiliency planning across all sectors.
Supply Chain
Read more
Coupled with the risk of disruption caused by catastrophes and the evolving climate, it has never been harder to balance the need for flexible, cost-effective supply chains.
Public Sector Perspective
Read more
As regulatory bodies increasingly seek direction on how companies are handling the risks posed by climate change, the insurance industry is helping…
Supply Chain (Asia Construction)
Read more
Stress on infrastructure and agriculture can trigger supply chain accessibility and socioeconomic and geopolitical risks. These secondary impacts can...
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Behind the Scenes of Weather And Climate Forecasting
Read more
On the front line of daily weather forecasting,
NOAA provides actionable data for resiliency planning across all sectors.
Visit the website
Download the report
Climate Displacement
(Disaster Relief / Emergency Management)
Risk Management
Supply Chain / Commercial Risk
Health
Transition Risk / Regulatory Requirements
Physical Risk
Climatological Normals
It is not just about physical risk but the need to divest and better balance “green” portfolios in response to regulatory and stakeholder pressure that organizations have to consider.
The (re)insurance industry plays a critical role in reducing the protection gap and working with the public sector to bring capital, analytics and resources to priority areas including:
Close
Download the report
Download the report
Public Sector Perspective
Read more
As regulatory bodies increasingly seek direction on how companies are handling the risks posed by climate change, the insurance industry is helping…
Close
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Assess the ESG Risks You Can and Can’t See in 8 Ways
Read more
As severe weather increases globally due to climate change, the Environmental, Social and Governance (ESG) risks to businesses rises as well.
Behind the Scenes of Weather And Climate Forecasting
Read more
On the front line of daily weather forecasting,
NOAA provides actionable data for resiliency planning across all sectors.
Real-Time Impact of Climate Change
Next Region
Reinsurance Solutions Website
Contact Us
Legal
Privacy
Cookie Notice
Explore aon.com
Visit the website
Aon produces weekly, quarterly and annual reports, as well as real-time updates on major global catastrophic events as they happen around the world. Visit our Catastrophe Insight website to sign up for these reports.
Interested In Real-Time Updates?
Close
As disaster costs rise we need to promote climate resiliency and better development strategies. We can no longer build to meet the climate of yesterday.
Twenty-three individual
events in the U.S. exceeded the $1 billion economic loss threshold in 2021.
Brian Kerschner
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
Michal Lörinc
Significant flooding events in Asia-Pacific revealed existing regional differences in the level of protection and opportunities in quickly evolving markets.
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.
Michal Lörinc
While financial costs were concentrated elsewhere, Africa and the Middle East endured notable events, which affected millions of the most vulnerable.
Michal Lörinc
Issues of vulnerability, resilience and changing climate were in the spotlight
as Europe endured its
costliest insured loss event
on record.
Brian Kerschner
Sixteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
Brian Kerschner
Eighteen percent of losses in the Americas were covered by insurance, highlighting the importance of continuing to narrow the protection gap in this region.
As disaster costs rise we need to promote climate resiliency and better development strategies. We can no longer build to meet the climate of yesterday.
Steve Bowen
Access the Latest Weather, Climate and Catastrophe Insight
2021 Weather, Climate and Catastrophe Insight
Now Available:
Explore the 2021 Report
Explore the latest report
