Disaster losses fall in 2025, Munich Re says risks remain

Munich Re reported global natural disaster losses fell to $224 billion in 2025, with insured losses at $108 billion. The reinsurer said many extreme events that year were likely influenced by climate change.

Munich Re reported that global natural disaster losses fell to $224 billion in 2025, a drop of nearly 40% from the prior year. Insured losses were reported at $108 billion. The firm noted the reduction reflected, in part, an absence of a hurricane strike on the US mainland and a quieter second half of the year. Munich Re also said many extreme events in 2025 were likely influenced by climate change. Key facts: - Total reported natural disaster losses worldwide: $224 billion in 2025, down nearly 40% from 2024. - Insured losses in 2025 were reported at $108 billion. - The costliest single event was the January Los Angeles wildfires, with about $53 billion in total losses and roughly $40 billion insured. - Munich Re said the year combined a very costly first half and an unusually low-loss second half, and it reported many events were likely affected by climate change. Summary: The lower 2025 loss totals reduced the overall bill compared with the previous year but did not remove concerns about the role of climate-related extremes. Undetermined at this time.