Gallagher Re has published the 2023 Natural Catastrophe and Climate report. The annual report summarises the major global catastrophes and their implications for climate change, insurance and broader socio-economic factors contributing to new and emerging risks.
Global disasters in 2023 caused an estimated $357 billion in direct losses and business interruption costs. The private insurance market and public insurance entities covered around $123 billion. This marks the fourth consecutive year that insured losses have exceeded $100 billion and the sixth year out of the last seven. The report concludes that natural catastrophes are becoming more severe and frequent, and the insurance sector is responsible for identifying the risks that present challenges to both private and public sectors. The report outlines the currently understood drivers of risk and loss, global and regional patterns of loss and damages, the role of climate change and its influence on re-insurance and the evolving demands of global regulations.