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Munich Re Says 2025 Disaster Losses Fell to $224 Billion, With Record Damage From Secondary Hazards

The reinsurer attributes the drop mainly to a quiet U.S. hurricane season, cautioning it reflects luck rather than easing climate risk.

Overview

  • Global economic losses from natural catastrophes in 2025 totaled $224 billion, about 40% lower than in 2024, according to Munich Re.
  • Insured losses were reported at $147 billion, and Munich Re said insurers bore roughly $108 billion, extending the pattern of years above the $100 billion threshold.
  • So-called secondary hazards—floods, severe storms and wildfires—reached a record $166 billion and were the main damage drivers.
  • The costliest single event was the Los Angeles-area wildfires at about $53 billion in damage, while a magnitude‑7.7 earthquake in Myanmar caused around 4,500 deaths and about $12 billion in losses.
  • Losses were concentrated in North America at roughly $133 billion, followed by Asia-Pacific at $73 billion, and worldwide disaster deaths rose to about 17,200.