Catastrophe Risks

Researchers at Colorado State University (CSU) are forecasting above normal activity for the 2025 Atlantic hurricane season. The CSU team's initial 2025 Atlantic hurricane forecast predicts 17 named storms with 9 of those storms becoming hurricanes, 4 of which are expected to be major hurricanes of Category 3 or higher. Read More

Willis and The Nature Conservancy introduced a wildfire insurance policy leveraging alternative risk transfer. Designed for Tahoe Donner, it lowers costs by recognizing ecological forest management, such as thinning and prescribed burns. The innovative approach addresses insurance market instability in wildfire-prone areas like California. Read More

Gallagher Re's "Natural Catastrophe and Climate Report 2024" examines global disaster losses, insured costs, and climate risk trends. With economic losses hitting $417 billion and insurers covering $154 billion, the report highlights rising catastrophe costs, regulatory developments, and strategies to address growing climate-related risks in the insurance sector. Read More

Willis and Global Parametrics delivered a parametric insurance payout to Vietnam's coffee farmers affected by drought. Using satellite rainfall data, the policy ensures rapid compensation without lengthy claims processes. Supported by the Natural Disaster Fund, this risk transfer solution enhances financial resilience for coffee growers facing climate-related challenges. Read More

Swiss Re's "ILS Market Insights" report details continued market growth, strong investor returns, and increasing risk diversification. Despite rising catastrophe losses, the market remains resilient, attracting new capital. The report also explores regulatory developments, sustainability-linked bonds, and modeling advancements shaping the insurance-linked securities (ILS) sector's future. Read More