First Half 2026 Sees Lowest Catastrophe Losses Since 2020

Insurance News Desk: Global insured catastrophe losses reached about 107 billion dollars in 2025, marking the sixth straight year the total has exceeded the 100 billion dollar mark. The figure comes from the Fall 2026 Insurance Marketplace Realities report released by Willis, a WTW business, which tracks these trends across the industry. That sustained level of damage has become a defining feature of recent years even as the overall pattern shows some variation from one period to the next.

The first half of 2026 told a different story. Insured catastrophe losses during those six months came in at the lowest level recorded since 2020 according to the same Willis data. The quieter stretch offered temporary relief after the heavy toll of the previous year yet few analysts expect the longer term pattern of elevated losses to reverse quickly.

Non-peak perils have played a growing role in driving the higher annual totals. These events include severe convective storms, floods and other secondary weather systems that once accounted for smaller shares of overall claims. Industry analysis from Munich Re and related assessments has shown that losses from such non-peak perils crossed the 100 billion dollar threshold on their own in recent years for the first time. The shift reflects both rising frequency in certain regions and greater concentrations of insured property in exposed areas.

Verisk has updated its long term estimates to reflect the new reality, projecting average annual insured catastrophe losses around 171 billion dollars going forward. The upward revision underscores how the combination of climate related extremes and expanding exposure continues to reshape the risk landscape for insurers and reinsurers worldwide.

While the lighter first half of 2026 provided a brief respite the broader record of consecutive high loss years leaves little doubt that catastrophe management remains a central challenge for the global insurance sector.