Global insured losses from natural catastrophes reach USD 80 billion in the first half of 2025 according to Swiss Re Institute’s preliminary estimates.

According to Swiss Re, this is almost double the 10-year average and more than half of the USD 150 billion (in 2025 prices) projected for the full year, following the long-term annual growth trend of 5–7%. With natural catastrophe activity typically higher in the second half of the year, total insured losses for 2025 could therefore exceed the projection.

The wildfires that swept through parts of Los Angeles County in January constitute the largest-ever insured wildfire loss event by far, resulting in estimated insured losses of USD 40 billion. This exceptional loss severity was due to a prolonged Santa Ana winds season coupled with a lack of rainfall, allowing the fires to spread rapidly and destroy more than 16 000 structures in an area with some of the densest concentration of high-value single-family residential property in the US.

Losses from wildfires have risen sharply over the past decade as rising temperatures, more frequent droughts and changing rainfall patterns converge with suburban sprawl and high-value asset concentration. Before 2015, wildfire-related insured losses made up around 1% of all natural catastrophe claims. With eight of the ten costliest wildfire events on record occurring in the past ten years, the share of insured losses related to wildfires has increased to 7%.

Insured losses from severe thunderstorms (severe convective storms, SCS) amounted to USD 31 billion in the first half of 2025. While the year saw several damaging thunderstorms with large hail and tornado outbreaks in the US, the overall SCS-triggered losses fell below both Swiss Re Institute's trend estimate of USD 35 billion and the record-breaking events of 2023 and 2024. Nevertheless, SCS continue to be a major driver of global natural catastrophe insured losses, with year-on-year volatility underscoring their persistent threat to property and infrastructure.

The report key takeaways:
 

• First half of 2025 second costliest first half-year ever, driven by California wildfires and severe thunderstorms in the US
• California wildfires accounted for USD 40 billion of insured losses, highest-ever insured loss from a wildfire event
• With both North Atlantic hurricane season and wildfire season in progress, insured losses in 2025 could exceed Swiss Re Institute's projection of USD 150 billion.