Swiss Re Ag · SIX:SREN
Swiss Re — Technical Presentation (2019)
13 slides from Swiss Re's technical presentation, 2019
Slide 1: Natural catastrophes and man-made disasters in 2018: secondary perils on the frontline
sigma 2/2019 Natural catastrophes and man-made disasters in 2018: “secondary” perils on the frontline Lucia Bevere, Swiss Re Institute
Slide 2: Lucia Bevere, Swiss Re Institute
Lucia Bevere, Swiss Re Institute • Author of the annual sigma on natural catastrophes and man-made disasters. Published eight sigma studies since 2005 • Responsible for the sigma catastrophe database • Member of the Working Group on Human and Economic Impact Characterization at the Centre for Resear
Slide 3: sigma 2/2019: Natural catastrophes and man-made disasters in 2018
sigma 2/2019 Natural catastrophes and man-made disasters in 2018: “secondary” perils on the frontline
Slide 4: 4th highest insured loss on record in 2018
A number of small- to medium-sized events led to the 4th highest insured loss on record in 2018 2018 disaster losses Economic losses USD 165bn Insured losses USD 85bn 2017 & 2018 insured losses USD 235 4
Slide 5: What characterised the 2018 natcat loss year?
What characterised the 2018 natcat loss year? Small to mid-sized events Heat-related perils Water-related perils Thyphoon Jebi, Trami, wildfires, drought, catastrophic inland flooding due to wildfires, thunderstorms heatwaves extreme rainfall associated with tropical cyclones (Hurricane Florence,
Slide 6: Urbanization and climate change: key drivers of increasing secondary peril losses
Urbanization and climate change: key drivers of increasing secondary peril losses ahead Rapid urbanization, increasing exposure Climate Change People at Risk High Confidence Low Confidence Heat Winter Waves storms Sea Level Rise Hurricane Heavy Tornadoes Rain /Hail • Concentration of risks (hot spot
Slide 7: Record high wildfire losses, yet again
Record high wildfire losses, yet again Global insured losses from wildfires (USD billion, in 2018 prices) Swiss Re Institute 7
Slide 8: What is driving the trends in wildfire activity?
What is driving the trends in wildfire activity? US Wildland Urban Interface by decade • Changing exposure – Growth of the wildland-urban WUI Area Housing units Population interface (WUI) (sq. km) (millions) (millions) – Accumulation of fuels due to changes 1990 580,000 30.8 73 in timber harvesting,
Slide 9: Temperature and precipitation anomalies April-September 2018 in Europe
Development of temperature and precipitation anomalies in April-September 2018 in Europe, relative to a 1981‒2010 base period The 2018 summer was one of the warmest and driest in Northern Europe… …leading to exceptional drought. 9
Slide 10: The 2018 drought led to severe disruption to transportation
The 2018 drought led to severe disruption to transportation Production was impacted ‐ BASF declared drought-related losses of EUR 250m “For much of the third and fourth quarter, it was nearly impossible to receive deliveries of raw materials via ship“, Alternative modes of BASF CEO Martin Brudermuel
Slide 11: Secondary perils on the frontline
Secondary perils on the frontline • The share of secondary perils in overall natural catastrophe losses will continue to grow • Given their unique features, they tend to be highly localized and, in general, very difficult to model • The insurance industry needs to understand and help society tackle
Slide 12: Legal notice
Legal notice ©2019 Swiss Re. All rights reserved. You are not permitted to create any modifications or derivative works of this presentation or webinar or to use it for commercial or other public purposes without the prior written permission of Swiss Re. The information and opinions contained in the
Slide 13: Swiss Re Institute
@ Swiss Re Institute 13