Economic losses from disasters highest ever in 2011: Swiss Re

Last year saw the greatest economic toll for natural catastrophes and man-made disasters, at $370 billion, according to Swiss Re.

Insured losses in 2011 ranked as the second-highest sum ever in a year, at $116 billion.

The highest loss was the Japanese earthquake and tsunami, which at $35 billion was the largest quake loss ever for the insurance industry.

Flooding in Thailand caused insured losses of $12 billion, making it the most expensive insured loss for a single flood event.

Other disasters included $25 billion in insured losses for U.S. tornadoes, $2 billion in insured losses for the earthquakes that struck in New Zealand and $2.3 billion for insured losses due to heavy rains and flooding in Australia.

Hurricane Irene, which caused $5.3 billion in insured losses, was the only disaster mentioned by Swiss Re that affected Canada in addition to the United States and several Caribbean countries.

“Last year saw extraordinary and devastating catastrophic events,” says Kurt Karl, Swiss Re’s chief economist. “Yet two-thirds of the staggering $370 billion in economic damage will be shouldered by corporations, governments, relief organizations, and ultimately individuals, pointing to the still widespread lack of insurance protection worldwide.”