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2011 Natural Disasters Costliest on Record

Story Spotfire Dashboard Last year costliest on record for natural disasters Review of natural catastrophes in 2011: Earthquakes result in record loss year Preface The year in figures The earth shakes: 11 March, the Tohoku earthquake The earth shakes II: The Christchurch earthquake Weather-related catastrophes: Floods in Thailand North America: Many storms but few hurricanes in North America Note for editorial departments Overview Natural catastrophes in 2011 Natural catastrophes in 2011 The five largest natural catastrophes of 2011 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities Natural catastrophes 2011 World Map Percentage Distribution Percentage Distribution Ordered by Content Number of Events With Trend for 1980-2011 Overall and Insured Losses with Trend for 1980-2011 Wold Map Natural Catastrophes 2011 Overall picture of natural catastrophes in 2010 – Very severe earthquakes and many severe weather events Preface Major catastrophes dominate the list of losses Hurricane season in the North Atlantic: Lucky escape Asia and America most frequently affected by catastrophes Volcano on Iceland paralyses air traffic

Note for editorial departments Video statement Prof. Peter Höppe Natural catastrophes in 2010 Natural catastrophes in 2010 The five largest natural catastrophes of 2010 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities Few major natural catastrophe losses in 2009 General trend confirmed by large number of weather extremes Preface Note for editorial departments The ten largest natural catastrophes in 2009 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities World map natural disasters 2009 World Map Insured Losses US $22bn - Percentage Distribution Per Continent Catastrophe figures for 2008 confirm that climate agreement is urgently needed Preface Some of the main events in detail Note for editorial departments The ten largest natural catastrophes in 2008 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities World map natural disasters 2008 Natural catastrophe figures for 2007: Higher losses despite absence of megacatastrophes, very many loss events Preface Details Note for editorial departments:

The ten largest natural catastrophes in 2007 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities Comparison with previous years

Overall balance of natural catastrophe losses in 2006: Weather phenomena curb development of hurricanes – but no grounds for complacency

Preface A detailed look at exceptional natural catastrophes in 2006 North Atlantic: Small number of hurricanes in 2006 does not contradict the trend Asia: Greater tropical storm losses Further high earthquake death toll, surprising losses Floods strike once more in India Beginning of 2006: Central Europe buried in snow Loss potentials increase demand for reinsurance Note for editorial departments The ten largest natural catastrophes in 2006 Ranking by overall losses Ranking by insured losses Ranking by number of fatalities Natural catastrophes 2006 – Comparison with previous years

Two natural events play a prominent role in the 2005 catastrophe figures: – Devastating earthquake in Kashmir:

More than 80,000 killed and numerous people injured or homeless – Hurricanes make 2005 the costliest natural catastrophe year so far in insurance history

Preface Natural catastrophe figures in 2005 A general analysis of 2005 A new dimension in windstorm catastrophes The insurance industry reacts to Katrina

San Francisco 1906: An earthquake shakes the world Note for editorial departments The five largest natural catastrophes of 2005 Ranking by number of fatalities Ranking by economic losses Ranking by insured losses Significant earthquakes 1900–2005

  • 15 deadliest earthquakes 1900–2005

  • 10 costliest earthquakes (economic losses) 1900–2005

Shortly before the end of the year 2004, the strongest earthquake for 40 years Preface Overall picture of natural catastrophes in 2004 An overview of the analysis results for 2004

Tens of thousands killed or injured after seaquake in Asia / The number of earthquakes had been below average in the course of the year until then

2004: Maximum losses for insurers – mainly due to weather-related natural catastrophes Munich Re's Geo Risks Research Department "under new management" from 1 January 2005

Disclaimer

Note for editorial departments The ten largest natural catastrophes in 2004 Ranking by number of fatalities Ranking by economic losses Ranking by insured losses Major earthquakes and tsunamis 1900-2004

  • 15 deadliest earthquakes, 1900-2004

  • 10 deadliest tsunamis, 1900-2004

Other historic tsunami disasters

  • 10 costliest earthquakes/tsunamis, 1900-2004

Largest earthquakes, 1900-2004 The most expensive windstorm catastrophes in insurance history Curriculum vitae of apl. Professor Dr. Dr. Peter Höppe

Munich Re's analysis of natural catastrophes in 2003: Economic and insured losses continue to increase at a high level

Preface The results for 2003 in detail Earthquake: Large numbers of victims / Iran hit particularly hard Windstorms govern the insurers' overall balance Hot summer: Extreme event or the norm in the future? Note for editorial departments The ten largest natural catastrophes in 2003 Ranking by number of fatalities Ranking by economic losses Ranking by insured losses Enclosure: The ten largest natural catastrophes in 2003

Munich Re's analysis of natural catastrophes in 2002: Economic losses increase distinctly to US$ 55bn (2001:

35bn)

Preface Windstorms and floods govern the overall balance in 2002 A flood of record rainfalls Disastrous and alarming earthquakes Munich Re – Research and consultation for the insurance industry "Climate. The Experiment with Planet Earth" Note for editorial departments Appendix 1: Chart – Natural catastrophes 2002 Chart 1 Chart 2

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Appendix 2: The ten largest natural catastrophes in 2002 Reihenfolge nach volkswirtschaftlichen Schäden Reihenfolge nach versicherten Schäden Reihenfolge nach Todesopfern Natural catastrophes 2001: no very large losses for the insurance industry Preface Windstorms and floods dominate in the overall balance of natural catastrophes Series of earthquakes worldwide Enclosure 1: The ten largest natural catastrophes of 2001 Economic losses Insured losses Fatalities Enclosure 2: Selection of significant natural catastrophes in 2001 Table World Map Natural catastrophes 2000: Property damage and bodily injury much lower than in recent years Preface Severe floods throughout the world Moderate cyclone season No all-clear in the long term Enclosure 1: Selection of significant natural catastrophes in 2000 Table World Map Enclosure 2: 10 significant natural catastrophes in 2000

A year, a century, and a millennium of natural catastrophes are all nearing their end – 1999 is completely in line with the catastrophe trend – Munich Re publishes a millennium review

Story

Munich Re's review of natural catastrophes in 1998: A year with an exceptionally large number of natural catastrophes / Losses above US$ 90bn, of which US$ 15bn insured

Story

  • 10 major natural disasters 1998 – worldwide

  • 10 major natural disasters 1998 – Europe

Munich Re's review of the year's natural catastrophes: 1997, a year with exceptionally few natural catastrophes:

losses close to US$ 30bn, of which US$ 4.5bn insured

Story

1996 another year of natural catastrophes: floods, windstorms, earthquakes, volcanic eruptions claim 11,000 lives and cause losses exceeding US$ 60bn

Story

Story

Story <a href=Tutorial Slides My eye caught the Tweet "Last year costliest on record for natural disasters" and I looked at the article in the New Scientist which said "Natural disasters are more frequent than 30 years ago - and are costing more" and the graphic with spikes in costs for the previous 1995 Kobe earthquake (250 US$bn) and the 2005 Hurricane Katrina (260 US$bn), and the Japan and New Zealand Earthquakes (380US$bn), this past year. I recall during the recent debt ceiling crisis debate about whether these would be paid for out of existing budgets or by raising the debit ceiling. Torsten Jeworrek, Munich Re Board member responsible for global reinsurance business said : “Thankfully, a sequence of severe natural catastrophes like last year's is a very rare occurrence. We had to contend with events with return periods of once every 1,000 years or even higher at the locations concerned. But we are prepared for such extreme situations. It is the insurance industry's task to cover extreme losses as well, to help society cope with such events and to learn from them in order to protect mankind better from these natural perils.” Natural catastrophes are classed as "great" if the ability of the region to help itself is distinctly overtaxed, making inter- regional or international assistance necessary. This is usually the case when thousands of people are killed, hundreds of thousands are made homeless, or when a country suffers substantial economic losses (depending on the economic circumstances generally prevailing in that country). In the last one thousand years more than 15 million people have probably died in at least 100,000 natural catastrophes. This figure does not include catastrophes like droughts and famines which are difficult to assess in numerical terms and which can certainly be held responsible for the deaths of millions more. Whilst there has been a steep increase in the number of natural catastrophes and the insured losses they generate due to the higher concentration of people and values, the number of victims, at least in relation to the growing population of the world as a whole, seems to be gradually declining thanks to improved early warning systems and protection techniques. As a data scientist (recently called the career of the future ), I am interested in the source and quality of the data and found it to be Munich Re’s NatCatSERVICE , which says "it is the most comprehensive collection of natural catastrophe data, overall and insured loss figures in the world, NatCatSERVICE analyses and statistics are used in insurance and finance, science and politics." One can register for access for free and reuse their data as along as you give them credit. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 6 " id="pdf-obj-5-8" src="pdf-obj-5-8.jpg">

My eye caught the Tweet "Last year costliest on record for natural disasters" and I looked at the article in the New Scientist which said "Natural disasters are more frequent than 30 years ago - and are costing more" and the graphic with spikes in costs for the previous 1995 Kobe earthquake (250 US$bn) and the 2005 Hurricane Katrina (260 US$bn), and the Japan and New Zealand Earthquakes (380US$bn), this past year. I recall during the recent debt ceiling crisis debate about whether these would be paid for out of existing budgets or by raising the debit ceiling.

Torsten Jeworrek, Munich Re Board member responsible for global reinsurance business said : “Thankfully, a sequence of severe natural catastrophes like last year's is a very rare occurrence. We had to contend with events with return periods of once every 1,000 years or even higher at the locations concerned. But we are prepared for such extreme situations. It is the insurance industry's task to cover extreme losses as well, to help society cope with such events and to learn from them in order to protect mankind better from these natural perils.”

Natural catastrophes are classed as "great" if the ability of the region to help itself is distinctly overtaxed, making inter- regional or international assistance necessary. This is usually the case when thousands of people are killed, hundreds of thousands are made homeless, or when a country suffers substantial economic losses (depending on the economic circumstances generally prevailing in that country).

In the last one thousand years more than 15 million people have probably died in at least 100,000 natural catastrophes. This figure does not include catastrophes like droughts and famines which are difficult to assess in numerical terms and which can certainly be held responsible for the deaths of millions more. Whilst there has been a steep increase in the number of natural catastrophes and the insured losses they generate due to the higher concentration of people and values, the number of victims, at least in relation to the growing population of the world as a whole, seems to be gradually declining thanks to improved early warning systems and protection techniques.

As a data scientist (recently called the career of the future), I am interested in the source and quality of the data and found it to be Munich Re’s NatCatSERVICE, which says "it is the most comprehensive collection of natural catastrophe data, overall and insured loss figures in the world, NatCatSERVICE analyses and statistics are used in insurance and finance, science and politics." One can register for access for free and reuse their data as along as you give them credit.

I built a knowledgebase of all their annual report press releases from 1996 - 2011 and digitized some graphics that contained data for 1980-2011 to create a dashboard for my analytics. I wanted to see if there is any correlation between more frequent weather catastrophes and say climate change, and there is a good linear correlation between number of meteorological events and the annual global temperature anomalies for land and ocean combined, expressed as departures from the 1901-2000 average. National Climatic Data Center.

One of the most devastating earthquakes in the history of the past 100 years, the quake in Haiti on 12 January killed more than 220,000 people. As a followup to my story on A Quint for Cross Information Sharing and Integration in the Intelligence Community about NGA Director Letitia Long's statement: "I wanted to fundamentally change the user's experience by putting the power of GEOINT in the hands of the user, I have created a Haiti Spotfire Dashboard to show how critical information for first responders could be assembled rapidly, provisioned in the cloud, and delivered on mobile devices like iPads to the field and updated by those in the field back to the command center. Hopefully this use of new cloud and mobile device technologies will lessen the response times and improved the quality of responses in future disasters.

Spotfire Dashboard

For Internet Explorer Users and Those Wanting Full Screen Display Use: Web Player Get Spotfire for iPad App

Media, iframe, embed and object tags are not supported inside of a PDF.

Last year costliest on record for natural disasters

I built a knowledgebase of all their annual report press releases from 1996 - 2011 andclimate change , and there is a good linear correlation between number of meteorological events and the annual global temperature anomalies for land and ocean combined, expressed as departures from the 1901-2000 average. National Climatic Data Center. One of the most devastating earthquakes in the history of the past 100 years, the quake in Haiti on 12 January killed more than 220,000 people. As a followup to my story on A Quint for Cross Information Sharing and Integration in the Intelligence Community about NGA Director Letitia Long's statement: "I wanted to fundamentally change the user's experience by putting the power of GEOINT in the hands of the user, I have created a Haiti Spotfire Dashboard to show how critical information for first responders could be assembled rapidly, provisioned in the cloud, and delivered on mobile devices like iPads to the field and updated by those in the field back to the command center. Hopefully this use of new cloud and mobile device technologies will lessen the response times and improved the quality of responses in future disasters. Spotfire Dashboard For Internet Explorer Users and Those Wanting Full Screen Display Use: Web Player Get Spotfire for iPad App Media, iframe, embed and object tags are not supported inside of a PDF. Last year costliest on record for natural disasters Source: http://www.newscientist.com/article/mg21328474.200-cost-of-natural-disasters-spiralled-in-2011.html • 16 January 2012 Magazine issue 2847 . Subscribe and savehttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 7 " id="pdf-obj-6-26" src="pdf-obj-6-26.jpg">

$380 billion. That's how much natural disasters cost the global economy in 2011, making it the costliest year on record. The toll was driven by the earthquakes that struck New Zealand in February and Japan in March.

Munich Re, one of the world's biggest reinsurance companies, has compiled data on the cost of natural disasters since 1980. It shows that the Japanese quake was the costliest disaster of all time, with losses of $210 billion - not including the nuclear incident at Fukushima.

More broadly, the figures reveal a clear rise in the financial losses associated with natural disasters over the past 30 years <figref refid="mg28474201.jpg">(see graph)</figref>.

The number of earthquakes has remained stable since 1980 but their economic cost is rising - a reminder that quake risk should be recognised by town planners, say Munich Re.

In contrast, the number of weather-related events like floods and drought is rising. Evidence suggests this is linked to climate change, particularly in the case of extreme temperatures and rainfall, says Peter Stott of the UK Met Office in Exeter.

The cost of extreme temperatures, fires and droughts has remained stable, the Munich Re findings show, but floods and storms cost us more today than they did 30 years ago.

If you would like to reuse any content from New Scientist, either in print or online, please contact the syndication department first for permission. New Scientist does not own rights to photos, but there are a variety of licensing options available for use of articles and graphics we own the copyright to.

Review of natural catastrophes in 2011: Earthquakes result in record loss year

Munich, 4 January 2012 | Reinsurance

Preface

A sequence of devastating earthquakes and a large number of weather-related catastrophes made 2011 the costliest year ever in terms of natural catastrophe losses. At about US$ 380bn, global economic losses were nearly two-thirds higher than in 2005, the previous record year with losses of US$ 220bn. The earthquakes in Japan in March and New Zealand in February alone caused almost two-thirds of these losses. Insured losses of US$ 105bn also exceeded the 2005 record (US$ 101bn).

Torsten Jeworrek, Munich Re Board member responsible for global reinsurance business: “Thankfully, a sequence of severe natural catastrophes like last year's is a very rare occurrence. We had to contend with events with return periods of once every 1,000 years or even higher at the locations concerned. But we are prepared for such extreme situations. It is the insurance industry's task to cover extreme losses as well, to help society cope with such events and to learn from them in order to protect mankind better from these natural perils.”

The year in figures

With some 820 loss-relevant events, the figures for 2011 were in line with the average of the last ten years. 90% of the recorded natural catastrophes were weather-related – however, nearly two-thirds of economic losses and about half the insured losses stemmed from geophysical events, principally from the large earthquakes. Normally, it is the weather- related natural catastrophes that are the dominant loss drivers. On average over the last three decades, geophysical events accounted for just under 10% of insured losses. The distribution of regional losses in 2011 was also unusual. Around 70% of economic losses in 2011 occurred in Asia.

Some 27,000 people fell victim to natural catastrophes in 2011. This figure does not include the countless people who died as a result of the famine following the worst drought in decades on the Horn of Africa, which was the greatest humanitarian catastrophe of the year. Civil war and political instability made it very difficult to bring effective aid to the victims.

The earth shakes: 11 March, the Tohoku earthquake

The most destructive loss event of the year was the earthquake of 11 March in Tohoku, Japan, when a seaquake with a

magnitude of 9.0 occurred 130 km east of the port of Sendai and 370 km north of Tokyo. It was the strongest quake ever recorded in Japan. The damage from the tremors themselves was relatively moderate thanks to strict building codes. However, the quake triggered a terrible tsunami. The wave devastated the northeast coast of the main island Honshu. In some bays, the wave reached a height of up to 40 metres. Entire towns, roads and railway lines were washed away, hundreds of thousands of houses were destroyed. Some 16,000 people were killed in spite of high protective dykes and an excellent early-warning system. Without these protective installations, the death toll would have been much higher. The tsunami-exposed northeast of Japan is believed to have last been hit by a seismic sea wave of this size in the year

869.

The tsunami led to severe damage at several blocks of the Fukushima 1 nuclear power plant. Some areas within a radius of several kilometres of the plant will remain uninhabitable for a period of many years. Even without considering the consequences of the nuclear accident, the economic losses caused by the quake and the tsunami came to US$ 210bn – the costliest natural catastrophe of all time. The share of insured losses may amount to as much as US$ 40bn.

The fault line that triggered the quake was actually fairly short with a length of 450 km. However, the seabed at the fracture face shifted by 30 to 40 metres. Experts believe that an earthquake of this strength occurs there once every 500 to 1,500 years. The main shock was followed by thousands of aftershocks, the strongest of which, some 40 minutes after the main shock, had a magnitude of 7.9.

The earth shakes II: The Christchurch earthquake

Before the tsunami catastrophe in Japan, there had been an earthquake of 6.3 magnitude in Christchurch, New Zealand, on 22 February. The notable aspect of this event was that an earthquake of 7.1 magnitude had hit Christchurch just six months earlier. Unfortunately, the seismic waves were amplified due to reflection off an extinct volcano, so that

far greater destruction was caused than would have normally been expected with an earthquake of this magnitude. The epicentre was located at a shallow depth and only a few kilometres from the city centre.

The losses were enormous. Numerous old buildings collapsed, and many new buildings were damaged despite the very high building standards. Some residential areas will not be rebuilt. Economic losses came to around US$ 16bn, of which approximately US$ 13bn was insured.

One day before Christmas, the earth shook again in Christchurch. Over a dozen people were injured following three strong earthquakes. However, in terms of their severity, the quakes were not as bad as the devastating event in February. Consequently, losses for the insurance industry from these aftershocks are expected to be significantly lower.

Prof. Peter Höppe, Head of Munich Re’s Geo Risks Research unit: “Even if it seems hard to believe given recent events, the probability of earthquakes has not increased. However, these severe earthquakes are timely reminders that the decisions on where to build towns need careful and serious consideration of these risks, especially where certain buildings are concerned, above all nuclear power plants. Also, building codes in regions exposed to earthquakes need to be made even stricter, so that buildings do not just remain standing to an extent sufficient to save lives but can be used again afterwards.”

Weather-related catastrophes: Floods in Thailand

The floods in Thailand stand out among the many weather-related catastrophes of 2011. They were triggered by extreme rainfall, which started in spring and peaked in the autumn. Due to its low elevation above sea level, the plain of central Thailand – where the capital Bangkok is situated – is prone to flooding throughout the rainy season from May to October. According to the authorities, this year's floods were the worst for around 50 years. It is presumed that the La Niña natural climate phenomenon was a contributory factor, since the rainy season is often stronger during this phase.

The floods claimed the lives of some 800 people. Not only were hundreds of thousands of houses and vast expanses of farmland flooded, but also seven major industrial areas with production facilities belonging mainly to Japanese groups. A large number of electronic key component manufacturers were affected, leading to production delays and disruptions at client businesses. Approximately 25% of the world's supply of components for computer hard drives was directly impacted by the floods. With economic losses amounting to tens of billions of dollars, the floods were by far the costliest natural catastrophe in Thailand's history.

North America: Many storms but few hurricanes in North America

The tornado season was especially violent in the Midwest and southern states of the USA. Several series of storms with numerous tornadoes caused economic losses totalling some US$ 46bn, of which US$ 25bn was insured. Insured losses were thus twice as high as in the previous record year of 2010. The series of severe weather events can largely be explained by the La Niña climate phenomenon. As part of this natural climate oscillation, weather fronts with cool air from the northwest more frequently move over the central states of the USA and meet humid warm air in the south. Under such conditions, extreme weather events are more probable than in normal years.

Losses from North-Atlantic hurricanes were moderate. However, as in 2010, this was purely by chance. At 18, the number of recorded tropical cyclones in this season was some way above the long-term average (11) and above the

average for the current warm phase with increased hurricane activity since the mid-1990s (15). The number of hurricane-strength storms (6) was in line with the long-term average. However, the number of tropical cyclones that made landfall, especially on the US coast, was very low. Only three named storms, one of them Hurricane Irene, made landfall in the USA. Irene caused economic losses in the Caribbean and USA totalling US$ 15bn, US$ 7bn of which was insured.

Another striking feature of this year was that, for the first time ever, US weather agency NOAA categorised a low- pressure system over the Mediterranean as a tropical storm. The low-pressure system Rolf formed on 3 November. It was caused by a ridge of cold air forming over the still warm sea (20°C). With peak wind speeds of 120 km/h, the storm "01M" made landfall on the French Mediterranean coast before dispersing. The storm produced extreme rainfall along the Cote d’Azur.

Note for editorial departments

In case of enquiries, please contact:

Media Relations Munich, Michael Able

Tel.:

+49 (89) 3891-2934

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+1 609 243 4339

Munich Re stands for exceptional solution-based expertise, consistent risk management, financial stability and client proximity. Munich Re creates value for clients, shareholders and staff alike. In the financial year 2010, the Group – which pursues an integrated business model consisting of insurance and reinsurance – achieved a profit of €2.4bn on premium income of around €46bn. It operates in all lines of insurance, with around 47,000 employees throughout the world. With premium income of around €24bn from reinsurance alone, it is one of the world’s leading reinsurers. Especially when clients require solutions for complex risks, Munich Re is a much sought-after risk carrier. Our primary insurance operations are concentrated mainly in the ERGO Insurance Group. With premium income of over €20bn, ERGO is one of the largest insurance groups in Europe and Germany. It is the market leader in Europe in health and legal protection insurance. More than 40 million clients in over 30 countries place their trust in the services and security it provides. In international healthcare business, Munich Re pools its insurance and reinsurance operations, as well as related services, under the Munich Health brand. Munich Re’s global investments amounting to €193bn are managed by MEAG, which also makes its competence available to private and institutional investors outside the Group.

Disclaimer

This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences

between the forward-looking statements given here and the actual development, in particular the results, financial

situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Munich, 4 January 2012

Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft in München Media Relations Königinstrasse 107 80802 Munich Germany

Overview Natural catastrophes in 2011

(PDF, 222 KB)

Munich Re NatCatSERVICE

Natural catastrophes in 2011

 

The figures of the

The figures of the

Average of the last 10 years

 

Average of the last 30 years

year 2011

year 2010

2001-2010

1981-2010

Number of events

820

970

790

630

Overall losses in US$ m (Original values)

380,000

152,000

113,000

 

75,000

Insured losses in US$ m (Original values)

105,000

42,000

35,000

 

19,000

Fatalities

27,000

296,000

106,000

69,000

The five largest natural catastrophes of 2011

 

Ranking by overall losses

 

Date

Country/

Event

Fatalities

Overall losses

Insured losses

Region

 

US$ m

US$ m

situation and performance of our Company. The Company assumes no liability to update these forward-looking statementsPDF , 222 KB) Munich Re NatCatSERVICE Natural catastrophes in 2011 The figures of the The figures of the Average of the last 10 years Average of the last 30 years year 2011 year 2010 2001-2010 1981-2010 Number of events 820 970 790 630 Overall losses in US$ m (Original values) 380,000 152,000 113,000 75,000 Insured losses in US$ m (Original values) 105,000 42,000 35,000 19,000 Fatalities 27,000 296,000 106,000 69,000 The five largest natural catastrophes of 2011 Ranking by overall losses Country/ Event Fatalities Insured losses Region US$ m US$ m http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 12 " id="pdf-obj-11-146" src="pdf-obj-11-146.jpg">
 

Earthquake,

11.3.2011

Japan

tsunami

15,840

210,000

35,000-40,000

 

Floods,

1.8-15.11.2011

Thailand

landslides

813

40,000

10,000

22.2.2011

New Zealand

Earthquake

181

16,000

13,000

 

Severe storms/

22-28.4.2011

USA

tornadoes

350

15,000

7,300

22.8-2.9.2011

USA, Caribbean

Hurricane Irene

55

15,000

7,000

Ranking by insured losses

 

Date

Country/

Event

Fatalities

Overall losses

Insured losses

Region

US$ m

US$ m

 

Earthquake,

11.3.2011

Japan

tsunami

15,840

210,000

35,000-40,000

22.2.2011

New Zealand

Earthquake

181

16,000

13,000

 

Floods,

1.8-15.11.2011

Thailand

landslides

813

40,000

10,000

 

Severe storms/

22-28.4.2011

USA

tornadoes

350

15,000

7,300

22.8-2.9.2011

USA, Caribbean

Hurricane Irene

55

15,000

7,000

Ranking by number of fatalities

 

Date

Country/Region

Event

Fatalities

11.3.2011

Japan

Earthquake, tsunami

15,840

12/16.1.2011

Brazil

Landslides/flash floods

1,348

16-18.12.2011

Philippines

Tropical Storm Washi

1,257

1.8-15.11.2011

Thailand

Floods, landslides

813

23.10.2011

Turkey

Earthquake

604

© 2012 Münchener Rückversicherungs-Gesellschaft, Geo Risks Research, NatCatSERVICE

Natural catastrophes 2011

(PDF, 130 KB)

World Map

23.10.2011 Turkey Earthquake 604 © 2012 Münchener Rückversicherungs-Gesellschaft, Geo Risks Research, NatCatSERVICE Natural catastrophes 2011 (PDF , 130 KB) World Map Percentage Distribution http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 14 " id="pdf-obj-13-25" src="pdf-obj-13-25.jpg">

Percentage Distribution

23.10.2011 Turkey Earthquake 604 © 2012 Münchener Rückversicherungs-Gesellschaft, Geo Risks Research, NatCatSERVICE Natural catastrophes 2011 (PDF , 130 KB) World Map Percentage Distribution http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 14 " id="pdf-obj-13-29" src="pdf-obj-13-29.jpg">

Percentage Distribution Ordered by Content

Percentage Distribution Ordered by Content Number of Events With Trend for 1980-2011 Overall and Insured LossesJPG ) Note: This is the same as the World Map above but without the labels. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 15 " id="pdf-obj-14-4" src="pdf-obj-14-4.jpg">

Number of Events With Trend for 1980-2011

Percentage Distribution Ordered by Content Number of Events With Trend for 1980-2011 Overall and Insured LossesJPG ) Note: This is the same as the World Map above but without the labels. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 15 " id="pdf-obj-14-8" src="pdf-obj-14-8.jpg">

Overall and Insured Losses with Trend for 1980-2011

Percentage Distribution Ordered by Content Number of Events With Trend for 1980-2011 Overall and Insured LossesJPG ) Note: This is the same as the World Map above but without the labels. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 15 " id="pdf-obj-14-12" src="pdf-obj-14-12.jpg">

Wold Map Natural Catastrophes 2011

(ZIP, 362KB) Extracted to Image (JPG) Note: This is the same as the World Map above but without the labels.

Overall picture of natural catastrophes in 2010 – Very severe earthquakes and many severe weather eventshttp://www.munichre.com/en/media_relations/press_releases/2011/2011_01_03_press_release.aspx Munich, 3 January 2011 | Reinsurance Preface Several major catastrophes in 2010 resulted in substantial losses and an exceptionally high number of fatalities. The overall picture last year was dominated by an accumulation of severe earthquakes to an extent seldom experienced in recent decades. The high number of weather-related natural catastrophes and record temperatures both globally and in different regions of the world provide further indications of advancing climate change. Altogether, a total of 950 natural catastrophes were recorded last year, nine-tenths of which were weather-related events like storms and floods. This total makes 2010 the year with the second-highest number of natural catastrophes since 1980, markedly exceeding the annual average for the last ten years (785 events per year). The overall losses amounted to around US$ 130bn, of which approximately US$ 37bn was insured. This puts 2010 among the six most loss-intensive years for the insurance industry since 1980. The level of overall losses was slightly above the high average of the past ten years. "2010 showed the major risks we have to cope with. There were a number of severe earthquakes. The hurricane season was also eventful – it was just fortunate that the tracks of most of the storms remained over the open sea. But things could have turned out very differently", said Torsten Jeworrek, Munich Re's Reinsurance CEO. "The severe earthquakes and the hurricane season with so many storms demonstrate once again that there must be no slackening of our efforts to analyse these risks in detail and provide the necessary insurance covers at adequate prices. These prices calculated by the insurance industry make it possible to assess the economic consequences of these otherwise difficult-to-evaluate risks." http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 16 " id="pdf-obj-15-2" src="pdf-obj-15-2.jpg">

Overall picture of natural catastrophes in 2010 – Very severe earthquakes and many severe weather events

Munich, 3 January 2011 | Reinsurance

Preface

Several major catastrophes in 2010 resulted in substantial losses and an exceptionally high number of fatalities. The overall picture last year was dominated by an accumulation of severe earthquakes to an extent seldom experienced in recent decades. The high number of weather-related natural catastrophes and record temperatures both globally and in different regions of the world provide further indications of advancing climate change.

Altogether, a total of 950 natural catastrophes were recorded last year, nine-tenths of which were weather-related events like storms and floods. This total makes 2010 the year with the second-highest number of natural catastrophes since 1980, markedly exceeding the annual average for the last ten years (785 events per year). The overall losses amounted to around US$ 130bn, of which approximately US$ 37bn was insured. This puts 2010 among the six most loss-intensive years for the insurance industry since 1980. The level of overall losses was slightly above the high average of the past ten years.

"2010 showed the major risks we have to cope with. There were a number of severe earthquakes. The hurricane season was also eventful – it was just fortunate that the tracks of most of the storms remained over the open sea. But things could have turned out very differently", said Torsten Jeworrek, Munich Re's Reinsurance CEO. "The severe earthquakes and the hurricane season with so many storms demonstrate once again that there must be no slackening of our efforts to analyse these risks in detail and provide the necessary insurance covers at adequate prices. These prices calculated by the insurance industry make it possible to assess the economic consequences of these otherwise difficult-to-evaluate risks."

Major catastrophes dominate the list of losses

In all, there were five catastrophes last year assignable to the top category of "great natural catastrophes" based on the definition criteria of the United Nations: the earthquakes in Haiti (12 January), Chile (27 February) and central China (13 April), the heatwave in Russia (July to September), and the floods in Pakistan (also July to September). These accounted for the major share of fatalities in 2010 (around 295,000) and just under half the overall losses caused by natural catastrophes.

One of the most devastating earthquakes in the history of the past 100 years, the quake in Haiti on 12 January killed more than 220,000 people. Only the 1976 Tangshan earthquake in China claimed more lives (242,000). Whilst the earthquake in Haiti resulted in human tragedy on a staggering scale, it gave rise to only negligible losses for the insurance industry, as is so often the case in developing countries.

Five-hundred times more energy than in the Haiti quake was released by the earthquake that hit Chile just over a month later. With overall losses of US$ 30bn and insured losses of US$ 8bn, this quake was last year's most expensive natural catastrophe. Chile is a highly developed country with very strict building codes to take account of the high earthquake exposure. As a result, there were comparatively few human casualties, despite the severity of the quake – the fifth- strongest ever measured – although people were killed in Chile, too.

In the summer, floods following extreme monsoon rainfall had devastating consequences in Pakistan. For weeks, up to one-quarter of the country was flooded. Countless people lost all their worldly possessions. The overall loss totalled US$ 9.5bn – an extremely high amount for Pakistan's emerging economy.

A widescale catastrophe also resulted from the heatwave in Russia and neighbouring countries between July and September. Many places, including Moscow, experienced record temperatures. In some regions of central Russia, they exceeded 30°C for two months on end. Forests burned, with the fires threatening nuclear facilities and areas where the ground had been contaminated by radioactive fallout from Chernobyl. At least 56,000 people died as a result of heat and air pollution, making it the most deadly natural disaster in Russia's history.

Hurricane season in the North Atlantic: Lucky escape

The hurricane season in the North Atlantic was benign – but only at first glance. Favourable weather patterns meant that the US coast was not hit by a single hurricane. In Mexico, however, a few storms caused substantial damage. Otherwise, the tropical cyclones turned away in a northeasterly direction over the sea, only grazing some islands in the Caribbean.

But what appeared benign was, in terms of the number and intensity of the storms, one of the severest hurricane seasons of the past 100 years. Altogether, there were 19 named tropical cyclones, equalling the number recorded in 1995 and putting 2010 in joint third place after 2005 (28) and 1933 (21). Twelve of the storms attained hurricane strength, with five of these falling into the top hurricane categories (wind speeds over 178 km/h). This means the forecasts of various institutes about the number of storms turned out to be very accurate. "The number of storms was indeed well above average. It is just that it is impossible to forecast whether and where such storms will make landfall", said Prof. Peter Höppe, Head of Munich Re's Geo Risks Research.

Right at the start of the 2010 hurricane season, the water temperatures in the tropical North Atlantic were up to 2°C above the long-term mean – and thus significantly higher than the level to be expected for the cyclical warm phase in the North Atlantic that has persisted since 1995. The water temperatures thus provided ideal conditions for the occurrence and high intensity of hurricanes. As from the beginning of August, atmospheric conditions also favoured the occurrence of Atlantic tropical cyclones ("La Niña" conditions).

"That is in line with the trend of the past 30 years, in which all ocean basins show an increase in water temperatures. This long-term trend can no longer be explained by natural climate oscillations alone. No, the probability is that climate change is contributing to some of the warming of the world's oceans", said Höppe. "This influence will increase further and, together with the continuing natural warm phase in the North Atlantic, is likely to mean a further high level of hurricane activity in the coming years."

The strongest storm of the season was "Igor", which reached wind speeds of up to 250 km/h over the open sea but grazed Bermuda as a weaker hurricane. The most expensive storm was Hurricane Karl, which caused overall losses of US$ 3.9bn in Mexico, US$ 150m of which was insured. By contrast, all the storms that arose in the mid tropical Atlantic east of Cuba and the Caribbean islands turned northwards over the ocean.

Asia and America most frequently affected by catastrophes

The global distribution of natural catastrophes in 2010 was comparable to that of previous years. Most catastrophes occurred on the American continent (365) and in Asia (310). 120 natural catastrophes were recorded in Europe, 90 in Africa and 65 in Australia/Oceania. North and South America also accounted for the largest portion of insured losses, namely around two-thirds. Some 17% of the losses were incurred in Europe, where the most expensive individual event was Winter Storm Xynthia, which mainly affected Spain and France and caused overall losses of US$ 6.1bn (€ 4.5bn). As is usual with windstorms in Europe, the share of insured losses was very high, totalling US$ 3.1bn (€ 2.3bn).

Natural catastrophes in Australia/Oceania gave rise to around 16% of global losses. The costliest event was the earthquake which occurred on 4 September in Christchurch, the third-largest city in New Zealand. Overall and insured losses were in the billions here as well. In Australia, there were two severe hailstorm losses, each of which caused overall losses of well over US$ 1bn in March.

Volcano on Iceland paralyses air traffic

Another, quite different natural hazard event in 2010 demonstrated the vulnerability of the networked global economy:

the eruption of the volcano Eyjafjallajökull on Iceland in April. Owing to the dust particles thrown into the atmosphere, air traffic over northern Europe remained virtually paralysed for days. There was hardly any direct damage, but interruptions in supplies of important goods to industrial firms meant that gradually more and more sectors of the economy were affected. The event ended up costing the airlines billions.

"This volcanic eruption is an example of a case where insurance could have cushioned the effects of a natural hazard event for the economy. In principle, the consequential costs for the airlines would have been insurable. Munich Re sees itself as a pioneer in devising insurance solutions on the boundaries of insurability, including cover for business interruption due to natural hazards", said Board member Jeworrek.

It is not yet possible to put an exact figure on the extreme floods in northeastern Australia. Since the beginning of December many places have been submerged under water and cut off from the outside world. Many mines have had to stop operations. Heavy rain in this region is nothing unusual and such weather patterns are accentuated by the

prevailing “La Niña” conditions.

Note for editorial departments

In case of enquiries, please contact:

Media Relations Munich, Michael Able

Tel.:

+49 (89) 3891-2934

Media contact in Asia, Nikola Kemper

Tel.:

+852 2536 6936

Media Relations USA, Terese Rosenthal

Tel.:

+1 609 243 4339

Munich Re stands for exceptional solution-based expertise, consistent risk management, financial stability and client proximity. This is how Munich Re creates value for clients, shareholders and staff. In the financial year 2009, the Group – which pursues an integrated business model consisting of insurance and reinsurance – achieved a profit of €2.56bn on premium income of around €41bn. It operates in all lines of insurance, with around 47,000 employees throughout the world. With premium income of around €25bn from reinsurance alone, it is one of the world's leading reinsurers. Especially when clients require solutions for complex risks, Munich Re is a much sought-after risk carrier. The primary insurance operations are mainly concentrated in the ERGO Insurance Group. With premium income of over €17bn, ERGO is one of the largest insurance groups in Germany and Europe. 40 million clients in over 30 countries place their trust in the services and security it provides. In international healthcare business, Munich Re pools its insurance and reinsurance operations, as well as related services, under the Munich Health brand. Munich Re’s global investments amounting to €182bn are managed by MEAG, which also makes its competence available to private and institutional investors outside the Group.

Disclaimer

This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Munich, 3 January 2011

Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft in München Media Relations

Königinstrasse 107 80802 Munich Germany

Video statement Prof. Peter Höppe

(Windows Media, 142 MB, ZIP)

Natural catastrophes in 2010

(PDF, 79 KB) Munich RE NatCatSERVICE

Natural catastrophes in 2010

 

The figures of the year 2010

The figures of the year 2009

Average of the last 10 years 2000-2009

Average of the last 30 years 1980-2009

Number of events

950

900

785

615

Overall losses

(US$m)

130,000

60,000

110,000

95,000

Insured losses

(US$m)

37,000

22,000

35,000

23,000

Fatalities

295,000

11,000

77,000

66,000

The five largest natural catastrophes of 2010

Ranking by overall losses

 

Country/

Date

Region

Event

Fatalities

 

Earthquake,

27.2.2010

Chile

tsunami

520

30,000

8,000

July – Sept.

2010

Pakistan

Floods

1,760

9,500

25

12.1.2010

Haiti

Earthquake

222,570

8,000

200

Overall losses US$mInsured losses US$m

 

Winter Storm

 

26-28.2.2010

Europe

Xynthia

65

6,100

3,100

June 2010

China

Floods

260

6,100

Ranking by insured losses

 
 

Country/

Overall losses US$mInsured losses US$m

 

Date

Region

Event

Fatalities

 

Earthquake,

 

27.2.2010

Chile

tsunami

520

30,000

8,000

   

Earthquake (Preliminary

     

3.9.2010

New Zealand

estimation October 2010)

3,700*

3,300*

 

Winter Storm

26-28.2.2010

Europe

Xynthia

65

6,100

3,100

 

Severe storm,

12-16.5.2010

USA

hail

3

2,700

2,000

 

Severe storm,

4-6.10.2010

USA

tornadoes

2,000

1,450

*Loss estimation in progress

 

Ranking by number of fatalities

 

Date

Country/Region

Event

Fatalities

 

12.1.2010

Haiti

Earthquakes

222,570

July – Sept. 2010

Russia

Heat wave, forest fires

56,000

13.4.2010

China

Earthquake

2,700

July – Sept. 2010

Pakistan

Floods

1,760

7.8.2010

China

Landslides, flash floods

1,470

© 2011 Münchener Rückversicherungs-Gesellschaft, Geo Risks Research, NatCatSERVICE

Few major natural catastrophe losses in 2009 General trend confirmed by large number of weather extremes

29 December 2009 | Reinsurance

Preface

Natural catastrophe losses were far lower in 2009 than in 2008 due to the absence on the whole of major catastrophes and a very benign North Atlantic hurricane season. However, the total number of destructive natural hazard events was above the long-term average, 850 being recorded in all. Consequently, despite the lack of really disastrous events, there were substantial economic losses of US$ 50bn and insured losses amounted to US$ 22bn compared with economic losses of US$ 200bn and insured losses of US$ 50bn in the previous year.

By way of further comparison, the average number of natural hazard events with relevant losses over the past ten years was approximately 770 per annum. Economic losses came to around US$ 115bn on average and insured losses US$ 36bn. There were some 75,000 deaths per year due to natural catastrophes on average. Not only were the losses but also the death toll from natural catastrophes in 2009 – around 10,000 – was well below average.

"However, we should make no mistake: despite the lack of severe hurricanes and other megacatastrophes, there was a large number of moderately severe natural catastrophes. In particular, the trend towards an increase in weather-related catastrophes continues, whilst there has fundamentally been no change in the risk of geophysical events such as earthquakes", said Prof. Peter Höppe, Head of Munich Re’s Geo Risks Research.

What is noticeable about the 2009 loss statistics is the high level of individual severe-weather losses in the USA, three events alone each causing insured losses of over US$ 1bn. In all, severe weather events accounted for 45% of global insured losses. In the USA, losses due to heavy thunderstorms accompanied by hail, torrential rain or tornados rose in the decades between 1980 and the present from US$ 4bn to US$ 10bn a year on average, taking inflation into account. "Initial analyses indicate that, apart from socio-economic factors, this is already due in part to climate change", Prof. Höppe reported.

Winter Storm Klaus, which hit northern Spain and southwest France between 23 and 25 January with winds of up to 195 km/h, ranked as the costliest single event of 2009. It produced metre-high waves on the Atlantic coast and caused loss and damage to numerous buildings and vehicles. Over a million people suffered power cuts. In Spain, a large number of photovoltaic systems were damaged. Although the area affected was relatively small by winter-storm standards, insured losses nevertheless came to US$ 3bn (€2.4bn) and economic losses to US$ 5.1bn (€4bn).

An earthquake that shook the Indonesian island of Sumatra on 30 September claimed the highest death toll of 2009. Although the magnitude 7.6 earthquake occurred 80 kilometres below ground, tens of thousands of houses collapsed in the city of Padang, 45 kilometres from its epicentre, and in the surrounding area. Nearly 1,200 people were killed. Storms in Asia also caused many deaths, the Philippines being the worst affected, although Vietnam and Taiwan were also hit when three severe typhoons (Morakot, Ketsana, Parma) struck, causing widespread destruction and claiming over 1,700 lives.

By contrast, the North Atlantic hurricane season was benign. Although warm water temperatures in the tropical North Atlantic produced conditions favouring an above-average hurricane season, only nine named storms were recorded, three reaching hurricane force. The figures were thus not only well below the average for the warm phase that has persisted since the mid-1990s (14.3 named storms, 7.5 hurricanes) but also below the long-term average (10.8 named storms).

According to initial assessments, the El Niño phenomenon is likely to have had a mitigating effect on cyclone formation. In El Niño conditions, upper-atmosphere wind speeds over the Atlantic change, impeding the formation of cyclones. "The long-term hurricane risk is not apparent from a single season. Many experts are convinced that climate change has already increased hurricane exposure", said Höppe. Munich Re continues to assume that hurricane activity over the next few years will fluctuate around the average for the North Atlantic warm phase, which has now lasted for some 15 years.

In the Indian Ocean and West Pacific, this year’s tropical storm season was also slightly below average. Nevertheless, the year ended with a super-cyclone that battered Australia’s northwest coast just before Christmas. For a time, Cyclone Laurence was upgraded to the maximum level, Category 5. However, the regions in its path were for the most part uninhabited. If a town had been hit, the losses would probably have been substantial, but fortunately there was relatively little property damage.

Torsten Jeworrek, Munich Re Board member responsible for global reinsurance business, drew attention to the marked increase in major weather-related natural catastrophes worldwide since 1950, the number now having more or less tripled. Economic losses from weather-related natural catastrophes in the period since 1980 totalled approximately US$ 1,600bn (in original values). "Climate change probably already accounts for a significant share. In the light of these facts, it is very disappointing that no breakthrough was achieved at the Copenhagen climate summit in December 2009. At Munich Re, we look closely at a multitude of risks and how best to handle them. Risks that change in the course of time are especially hazardous. Climate change is just such a risk of change."

Losses caused by climate change will continue to increase in the future. Jeworrek: "We need as soon as possible an agreement that significantly reduces greenhouse gas emissions because the climate reacts slowly and what we fail to do now will have a bearing for decades to come."

Consequently, Munich Re will now drive forward its own initiatives with even greater commitment – investments of up to €2bn in renewable energy, for instance, or the Desertec desert-power project. "We will do our utmost to ensure that Dii GmbH, the Desertec project planning entity, can put forward finished plans in the next three years. Munich Re will, of course, also be involved in their implementation – as an investor and insurer", Jeworrek added.

Note for editorial departments

In case of enquiries, please contact:

Media Relations Munich, Michael Able

Tel.:

+49 (89) 38 91-29 34

Media Relations USA, Terese Rosenthal

Tel.:

+1 609 243 4339

By contrast, the North Atlantic hurricane season was benign. Although warm water temperatures in the tropicalhttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 23 " id="pdf-obj-22-36" src="pdf-obj-22-36.jpg">

Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by

By contrast, the North Atlantic hurricane season was benign. Although warm water temperatures in the tropicalhttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 23 " id="pdf-obj-22-42" src="pdf-obj-22-42.jpg">

23

Munich Re stands for exceptional solution-based expertise, consistent risk management, financial stability and client proximity. This is how Munich Re creates value for clients, shareholders and staff. In the financial year 2008, the Group – which pursues an integrated business model consisting of insurance and reinsurance – achieved a profit of €1.5bn on premium income of around €38bn. It operates in all lines of insurance, with around 44,000 employees throughout the world. With premium income of around €22bn from reinsurance alone, it is one of the world's leading reinsurers. Especially when clients seek solutions for complex risks, Munich Re is a much sought-after risk carrier. The primary insurance operations are mainly concentrated in the ERGO Insurance Group. With premium income of over €17bn, ERGO is one of the largest insurance groups in Europe and Germany. It is the market leader in Europe in health and legal expenses insurance. and 40 million clients in over 30 countries place their trust in the services and security it provides. In international healthcare business, Munich Re pools its insurance and reinsurance operations, as well as related services, under the Munich Health brand. Munich Re's global investments amounting to €175bn are managed by MEAG, which also makes its competence available to private and institutional investors outside the Group.

Disclaimer

This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Munich, 29 December 2009

Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft in München Media Relations Königinstraße 107 80802 München Germany

The ten largest natural catastrophes in 2009

(PDF, 16 KB) Munich Re NatCatSERVICE

Ranking by overall losses

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

 

Winter Storm

 

23-25.1.2009

France, Spain

Klaus

26

5,100

3,000

10-13.2.2009

United States

Tornadoes,

15

2,500

1,350

 

severe

storms

6.4.2009

Italy

Earthquakes

295

2,500

260

10-18.6.2009

United States

Tornadoes,

1

2,000

1,100

 

severe

storms

30.9/1.10.2009

Indonesia

Earthquakes

1,195

2,000

<50

23-24.7.2009

Europe

Hailstorms,

11

1,800

1,200

 

severe

storms

9-11.4.2009

United States

Tornadoes,

9

1,700

1,150

 

severe

storms

 

China,

       

7-10.8.2009

Philippines,

Taiwan

Typhoon

Morakot

614

1,600

110

   

Severe storms,

     

25-26.3.2009

United States

hailstorms,

1,500

995

tornadoes

 

Wildfires

7-28.2.2009

Australia

Victoria

173

1,300

770

Ranking by insured losses

 

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

 

Winter Storm

 

23-25.1.2009

France, Spain

Klaus

26

5,100

3,000

10-13.2.2009

United States

Tornadoes,

15

2,500

1,350

 

severe

storms

23-24.7.2009

Europe

Hailstorms,

11

1,800

1,200

 

severe

storms

9-11.4.2009

United States

Tornadoes,

9

1,700

1,150

 

severe

storms

10-18.6.2009

United States

Tornadoes,

1

2,000

1,100

 

severe

storms

   

Severe storms,

     

25-26.3.2009

United States

hailstorms,

1,500

995

tornadoes

6.4.2009 Italy Earthquakes 295 2,500 260 10-18.6.2009 United States 1 2,000 1,100 severe 30.9/1.10.2009 Indonesia Earthquakeshttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 25 " id="pdf-obj-24-372" src="pdf-obj-24-372.jpg">

Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by

6.4.2009 Italy Earthquakes 295 2,500 260 10-18.6.2009 United States 1 2,000 1,100 severe 30.9/1.10.2009 Indonesia Earthquakeshttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 25 " id="pdf-obj-24-378" src="pdf-obj-24-378.jpg">

25

 

Severe storms,

 

20-21.7.2009

United States

hailstorms

1

1,000

800

 

Wildfires

7-28.2.2009

Australia

Victoria

173

1,300

770

8-9.10.2009

Japan

Typhoon Melor

4

1,000

625

7-9.5.2009

United States

Tornadoes,

7

850

600

 

severe

storms

Ranking by number of fatalities

 

Date

Country/Region

 

Event

Fatalities

30.9/1.10.2009

Indonesia

Earthquakes

1,195

26-30.9.2009

South East Asia, East Asia

Typhoon Ketsana

694

7-10.8.2009

China, Philippines, Taiwan

Typhoon Morakot

614

3-14.10.2009

South East Asia, East Asia

Typhoon Parma

469

25-27.5.2009

Bangladesh, Bhutan, India

Cyclone Aila

320

29.9.-15.10.2009

India

Floods

300

6.4.2009

Italy

Earthquakes

295

21.8-15.9.2009

India

Floods

223

Aug-Sep 2009

West Africa, Central Africa

Floods

215

4-13.11.2009

El Salvador, Nicaragua, Mexico, United States

Hurricane Ida

204

© 2009 Münchener Rückversicherungs-Gesellschaft, GeoRisikoForschung, NatCatSERVICE

World map natural disasters 2009

(PDF, 161 KB)

World Map

World Map Insured Losses US $22bn - Percentage Distribution Per Continent Catastrophe figures for 2008 confirmhttp://www.munichre.com/en/media_relations/press_releases/2008/2008_12_29_press_release.aspx 29 December 2008 | Reinsurance Preface A large number of tropical cyclones and the earthquake in Sichuan made 2008 one of the most devastating years on record. Although there was a drop in the number of loss-producing events compared with the previous year (from 960 to 750), individual catastrophes pushed up the numbers of victims and the losses appreciably. Throughout the world, more than 220,000 people died as a result of natural catastrophes this year. Overall losses totalled some US$ 200bn (2007: US$ 82bn) but were still below the record set in 2005 (US$ 232bn in current values). Insured losses in 2008 rose to US$ 45bn, about 50% higher than in the previous year. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 27 " id="pdf-obj-26-4" src="pdf-obj-26-4.jpg">

Insured Losses US $22bn - Percentage Distribution Per Continent

World Map Insured Losses US $22bn - Percentage Distribution Per Continent Catastrophe figures for 2008 confirmhttp://www.munichre.com/en/media_relations/press_releases/2008/2008_12_29_press_release.aspx 29 December 2008 | Reinsurance Preface A large number of tropical cyclones and the earthquake in Sichuan made 2008 one of the most devastating years on record. Although there was a drop in the number of loss-producing events compared with the previous year (from 960 to 750), individual catastrophes pushed up the numbers of victims and the losses appreciably. Throughout the world, more than 220,000 people died as a result of natural catastrophes this year. Overall losses totalled some US$ 200bn (2007: US$ 82bn) but were still below the record set in 2005 (US$ 232bn in current values). Insured losses in 2008 rose to US$ 45bn, about 50% higher than in the previous year. http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 27 " id="pdf-obj-26-8" src="pdf-obj-26-8.jpg">

Catastrophe figures for 2008 confirm that climate agreement is urgently needed

29 December 2008 | Reinsurance

Preface

A large number of tropical cyclones and the earthquake in Sichuan made 2008 one of the most devastating years on record. Although there was a drop in the number of loss-producing events compared with the previous year (from 960 to 750), individual catastrophes pushed up the numbers of victims and the losses appreciably. Throughout the world, more than 220,000 people died as a result of natural catastrophes this year. Overall losses totalled some US$ 200bn (2007: US$ 82bn) but were still below the record set in 2005 (US$ 232bn in current values). Insured losses in 2008 rose to US$ 45bn, about 50% higher than in the previous year.

Driven by high losses from weather-related natural catastrophes, 2008 was – on the basis of figures adjusted for inflation – the third most expensive year on record, exceeded only by the hurricane year of 2005 and by 1995, the year of the Kobe earthquake. Torsten Jeworrek, member of Munich Re's Board of Management: "This continues the long- term trend we have been observing. Climate change has already started and is very probably contributing to increasingly frequent weather extremes and ensuing natural catastrophes. These, in turn, generate greater and greater losses because the concentration of values in exposed areas, like regions on the coast, is also increasing further throughout the world." Munich Re is a world leader in terms of investigating risks from natural hazards of all kinds. "2008 has again shown how important it is for us to analyse risks like climate change in all their facets and to manage the business accordingly," said Jeworrek.

Some of the main events in detail

In 2008, Asia was again the continent affected by the worst human catastrophes. Cyclone Nargis is estimated to have claimed the lives of more than 135,000 people in Myanmar: 85,000 deaths have been officially confirmed, whilst 54,000 people are still missing. With very high wind speeds, record rainfalls, and a storm surge, the tropical storm caused devastation primarily in the low-lying Irrawaddy Delta and in the old capital, Rangoon. Since large parts of the mangrove forests – a natural form of coastal protection – have disappeared in recent years, there was nothing to prevent storm surge travelling as far as 40 km inland. The country was inundated with water up to 3.5 metres deep, and more than a million of Myanmar’s inhabitants were made homeless.

The earthquake that hit the Chinese province of Sichuan, a region classified as being highly exposed to earthquake, was a further human catastrophe. According to official statistics, around 70,000 people were killed, 18,000 are still missing, 374,000 were injured, and almost five million were made homeless. At the same time, the Sichuan quake – which occurred in May – also produced the largest single overall loss of 2008. The total figure of US$ 85bn made it the second most expensive event of its kind after the Kobe earthquake (Japan, 1995).

Earlier in the year, China had already suffered enormous losses amounting to more than US$ 21bn due to an unusual cold spell with huge volumes of ice and snow. These had a major impact on the infrastructure in 18 provinces: roads and railways were blocked and in some places destroyed, and the electricity supply collapsed.

In terms of insured losses, Hurricane Ike was the most expensive individual event in 2008. Whereas in the previous two years, the US mainland had largely been spared by heavy cyclones, the 2008 hurricane season generated substantial losses which also affected the insurance industry. Six tropical cyclones (Dolly, Edouard, Fay, Gustav, Hanna, and Ike) reached the US coast in close succession this year, the severest being Ike, which made landfall as a Category 2 hurricane near Galveston (Texas). The storm surge triggered by Ike submerged large sections of the Texas and Louisiana coast. As the storm progressed over the mainland, extreme precipitation caused more and more damage, resulting in an insured loss estimated at US$ 15bn (not including the claims covered under the National Flood Insurance Program). The overall loss caused by Ike was US$ 30bn. The year’s second most expensive hurricane was Gustav, with an overall loss of US$ 10bn and an insured loss of US$ 5bn.

The number of tropical cyclones in the North Atlantic in 2008 was much higher than the long-term average and also higher than the average of the current warm phase since 1995, which is more pronounced as a result of climate change. A total of 16 tropical cyclones were counted during the year; the average for the warm phase so far is 14.7. Eight of these windstorms reached hurricane strength, five of them being classified as major hurricanes (Categories 3–5). In

terms of both the total number of storms and the number of major hurricanes, 2008 is the fourth most severe hurricane season since reliable data have been available. The tornado season in the United States, which runs from April to September, was also unusually severe. There were roughly 1,700 tornadoes in 2008, generating an aggregated loss of several billion US dollars.

According to provisional estimates published by the World Meteorological Organization (WMO), 2008 was the tenth warmest year since the beginning of routine temperature recording and the eighth warmest in the northern hemisphere. This means that the ten warmest years ever recorded have all occurred in the last 12 years. "It is now very probable that the progressive warming of the atmosphere is due to the greenhouse gases emitted by human activity. The logic is clear: when temperatures increase, there is more evaporation and the atmosphere has a greater capacity to absorb water vapour, with the result that its energy content is higher. The weather machine runs in top gear, bringing more intense severe weather events with corresponding effects in terms of losses. This relationship is already visible today in the increasing heavy precipitation events in many regions of the earth, the heat waves, and the hurricanes in the North Atlantic. The loss statistics for 2008 fit the pattern that the calculations of climate models lead us to expect," said Prof. Peter Höppe, Head of Munich Re’s Geo Risks Research.

Compared with the devastation that natural catastrophes caused in Asia and America in 2008, the losses in Europe were relatively moderate. Nevertheless, there were also two events in Europe that generated billion-dollar losses for the insurance industry. At the beginning of March, an intense low-pressure system named Emma swept across large parts of central Europe with very high wind speeds, thunderstorms, and hail; in Germany, Denmark, Poland, the Czech Republic, Slovakia, Switzerland, and Austria, it caused an overall loss of US$ 2bn, of which US$ 1.5bn was insured.

Hilal, a low-pressure storm that crossed southwestern Germany (especially Baden-Württemberg) at the end of May and the beginning of June, caused major damage due to strong gusts, hailstorms, and flash floods. With an insured loss of US$ 1.1bn, Hilal was the seventh most expensive natural catastrophe in the global statistics for the year.

Board member Dr. Torsten Jeworrek: "For us as a leading reinsurer, the natural catastrophe trends of recent years have resulted in three action strategies, which we are resolutely pursuing. Firstly, we accept risks in our core business only at risk-adequate prices, so that if the exposure situation changes, we adjust the pricing structure. Secondly, with our expertise we develop new business opportunities in the context of climate protection and adaptation measures. Thirdly, in the international debate, we – as a company – press for effective and binding rules on CO 2 emissions, so that climate change is curbed and future generations do not have to live with weather scenarios that are difficult to control." Munich Re performs scientific analyses on the effects of climate change and cooperates with many scientific institutes. In 2008, Munich Re launched a cooperation with Professor Lord Nicholas Stern and the London School of Economics (LSE), the aim being to advance research into the economic impact of climate change.

Munich Re actively supports ambitious climate protection goals. This approach also opens up enormous opportunities because of the new technologies that emerge with very large growth potential. As a risk carrier with innovative coverage concepts in the field of alternative sources of energy (wind, solar, geothermal), Munich Re promotes these technologies and thus secures additional business potentials for itself. Board member Dr. Torsten Jeworrek: "The next climate summit in Copenhagen must quite clearly fix the route for reducing greenhouse gases by at least 50% by 2050 with corresponding milestones. If we delay too long, it will be very costly for future generations."

Munich Re assigns natural catastrophes to one of six categories for assessment purposes. The annual list includes all events with more than ten fatalities and/or losses running into millions.

Service: As of January 2009, graphs and tables derived from current analyses of natural catastrophes will be available

at our NatCatSERVICE Downloadcenter www.munichre.com/geo.

Note for editorial departments

In case of enquiries, please contact:

Media Relations Munich, Alexander Mohanty

Tel.:

+49 (89) 38 91-98 96

Media contact in Asia, Nikola Kemper

Tel.:

+852 2536 6936

Media contact in the USA, Bob Kinsella

Tel.:

+1 609 419 8527

The Munich Re Group operates worldwide, turning risk into value. In the financial year 2007, it achieved a profit of €3,937m, the highest since the company was founded in 1880, on premium income of approximately €37bn. The Group operates in all lines of business, with around 43,000 employees at over 50 locations throughout the world and is characterised by particularly pronounced diversification, client focus and earnings stability. With premium income of around €21.5bn from reinsurance alone, it is one of the world's leading reinsurers. Its primary insurance operations are mainly concentrated in the ERGO Insurance Group. With premium income of over €17bn, ERGO is one of the largest insurance groups in Europe and Germany. It is the market leader in Europe in health and legal expenses insurance, and 34 million clients in over 30 countries place their trust in the services and security it provides. The global investments of the Munich Re Group amounting to €176bn are managed by MEAG, which also makes its competence available to private and institutional investors outside the Group.

Disclaimer

This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Munich, 29 December 2008

Münchener Rückversicherungs-Gesellschaft Aktiengesellschaft in München Media Relations Königinstraße 107

80802 München

Germany

The ten largest natural catastrophes in 2008

(PDF, 79 KB)

Münchener Rück NatCatSERVICE

Ranking by overall losses

 

Country/

Overall

Insured

Date

Region

Event

Fatalities

losses US$ m

losses US$ m

12.5.08

China

Earthquake

70,000

85,000

300

6−14.9.2008

Caribbean, USA

Hurricane Ike

129

30,000

15,000

10.1−13.2.2008

China

Winter damage

129

21,100

1,600

 

Hurricane

21.8−3.9.2008

Caribbean, USA

Gustav

100

10,000

5,000

June 2008

USA

Floods

24

10,000

500

2−5.5.2008

Myanmar

Cyclone Nargis

84,500

4,000

May - June

China

Floods

170

2,100

13.−24.11.2008

USA

Wildfires

2,000

600

 

Winter storm

1−2.3.2008

Europe

Emma

14

2,000

1,500

22−26.5.2008

USA

Tornadoes

12

1,600

1,325

Ranking by insured losses

 

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

6−14.9.2008

Caribbean, USA

Hurricane Ike

129

30,000

15,000

 

Hurricane

21.8−3.9.2008

Caribbean, USA

Gustav

100

10,000

5,000

10.1−13.2.2008

China

Winter damage

129

21,100

1,600

 

Winter Storm

 

1−2.3.2008

Europe

Emma

14

2,000

1,500

22−26.5.2008

USA

Tornadoes

12

1,600

1,325

 

Severe storms,

 

29.5−1.6.2008

USA

floods

1,500

1,100

 

Severe storms,

 

29.5−2.6.2008

Germany

flash floods

3

1,300

1,100

5−6.2.2008

USA

Tornadoes

50

1,300

955

11−18.2.2008

Australia

Floods

2

1,000

890

 

Severe storms,

 

9−11.4.2008

USA

tornadoes

3

1,100

800

Ranking by number of fatalities

 

Date

Country/Region

Event

Fatalities

Missing

2−5.5.2008

Myanmar

Cyclone Nargis

84,500

50,000

12.5.2008

China

Earthquake

70,000

18,000

 

Afghanistan,

     

January 2008

Kyrgyzstan,

Cold wave

1,000

Tajikistan

 

India, Nepal,

15.8−11.9.2008

Bangladesh

Floods

635

18−25.6.2008

China, Philippines

Typhoon Fengshen

557

26

28/29.10.2008

Pakistan

Earthquakes

300

8.9.08

China

Rock-/Landslide

277

August 2008

 

China, Laos,

Tropical storm

211

70

Vietnam

Kammuri

24−25.10.2008

Yemen

Floods

184

100

25.11−3.12.2008

India, Sri Lanka

Cyclone Nisha

180

© 2008 NatCatSERVICE, Munich Re

World map natural disasters 2008

(PDF, 280 KB)

25.11−3.12.2008 India, Sri Lanka Cyclone Nisha 180 © 2008 NatCatSERVICE, Munich Re World map natural disasters(PDF , 280 KB) Natural catastrophe figures for 2007: Higher losses despite absence of megacatastrophes, very many loss events Overall economic losses of US$ 75bn / Board member Dr. Torsten Jeworrek: Loss figures in line with the rising trend in natural catastrophes, Munich Re is prepared Source: http://www.munichre.com/en/media_relations/press_releases/2007/2007_12_27_press_release.aspx 27 December 2007 | Reinsurance Preface The insurance industry had to cope with far higher natural catastrophe losses in 2007 than in 2006, with its unusually low loss figures. Despite the general absence of extreme events, overall economic losses had reached US$ 75bn by the end of December – an increase of 50% on 2006 (US$ 50bn). However, the loss figures were well short of 2005’s record US$ 220bn. At just under US$ 30bn, insured losses were almost double those of 2006 (US$ 15bn). The number of natural catastrophes recorded in 2007 was 950 (compared with 850 in 2006), the highest figure since 1974, when Munich Re began keeping systematic records in its NatCatService database. Board member Dr. Torsten Jeworrek: "The figures confirm our expectations and endorse our insistence that risks be consistently written at adequate prices, despite years with comparatively low losses as in 2006. The trend in respect of http://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 33 " id="pdf-obj-32-22" src="pdf-obj-32-22.jpg">

Natural catastrophe figures for 2007: Higher losses despite absence of megacatastrophes, very many loss events

Overall economic losses of US$ 75bn / Board member Dr. Torsten Jeworrek: Loss figures in line with the rising trend in natural catastrophes, Munich Re is prepared

27 December 2007 | Reinsurance

Preface

The insurance industry had to cope with far higher natural catastrophe losses in 2007 than in 2006, with its unusually low loss figures. Despite the general absence of extreme events, overall economic losses had reached US$ 75bn by the end of December – an increase of 50% on 2006 (US$ 50bn). However, the loss figures were well short of 2005’s record US$ 220bn. At just under US$ 30bn, insured losses were almost double those of 2006 (US$ 15bn). The number of natural catastrophes recorded in 2007 was 950 (compared with 850 in 2006), the highest figure since 1974, when Munich Re began keeping systematic records in its NatCatService database.

Board member Dr. Torsten Jeworrek: "The figures confirm our expectations and endorse our insistence that risks be consistently written at adequate prices, despite years with comparatively low losses as in 2006. The trend in respect of

weather extremes shows that climate change is already taking effect and that more such extremes are to be expected in the future. We should not be misled by the absence of megacatastrophes in 2007."

Details

The worst human catastrophes of 2007 occurred, as so often the case, in developing and emerging countries. Storms, floods and landslides in various parts of Asia caused more than 11,000 deaths, around 3,300 attributable to Cyclone Sidr alone, which struck Bangladesh in November.

The most severe events in terms of insured losses occurred in Europe. The insurance industry’s costliest natural catastrophe was Winter Storm Kyrill, the climax of an above-average winter storm season, which developed on

  • 17 January from a low-pressure system over the mid-Atlantic. With wind speeds far exceeding 100 km/h – and peak

gusts of over 200 km/h – it wrought havoc across Europe as far as Poland, the Czech Republic and Austria on 18 and

  • 19 January.

Kyrill caused overall economic losses of some US$ 10bn, with insured losses of around US$ 5.8bn. It was the second most expensive such event in Europe after Winter Storm Lothar (December 1999), which had higher wind speeds but at the same time involved a much more limited geographical area. A noticeable feature of Kyrill was that widespread areas of Europe experienced sustained high wind speeds.

Among the countries worst hit was Germany, with more than half the insured losses. Over 1.5 million individual losses were reported – many relatively small in scale, such as roof damage. The east of Germany suffered particularly heavy losses in the area where hailstorms and tornadoes formed along the cold front associated with the storm.

The insurance industry faced an even greater aggregate loss – albeit from consecutive events – as a result of two floods in England during the summer. From June to August, precipitation levels in England and Wales were the highest since records began in 1914. Central and northeast England experienced twice the normal rainfall. Losses from the events in June were comparable to those sustained three weeks later in July, some counties being affected on both occasions. Overall economic losses were around US$ 4bn for each event, of which US$ 3bn were insured in each case.

Prof. Peter Höppe, Head of Munich Re's Geo Risks Research Department: "These events cannot, of course, be attributed solely to climate change, but they are in line with the pattern that we can expect in the long term: severe storms, more heavy rainfall and a greater tendency towards flooding, including in Germany." In view of the steadily rising losses, Munich Re has, for some considerable time, been calling for firm action to address the causes of climate change and adapt to changes that cannot be avoided. Prof. Höppe noted that "the Bali Roadmap, which launched negotiations to find a successor to the Kyoto Protocol by 2009 and also indirectly established the corresponding parameter data, is a welcome and positive step".

The year 2007 also numbers among the warmest years since routine measurements began. According to data published by the Hadley Centre in the UK for the period up to December, 2007 was the seventh warmest year on record worldwide and the second warmest in the northern hemisphere. This means that the 11 warmest years worldwide have been recorded during the last 13 years.

Losses due to the North Atlantic hurricane season were relatively low, although the general situation had initially indicated the likelihood of a more severe course of events. Despite 15 named storms in all, in keeping with the average

weather extremes shows that climate change is already taking effect and that more such extremes arehttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 34 " id="pdf-obj-33-31" src="pdf-obj-33-31.jpg">

Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by

weather extremes shows that climate change is already taking effect and that more such extremes arehttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 34 " id="pdf-obj-33-37" src="pdf-obj-33-37.jpg">

34

for the current warm phase that goes back to 1995, the number of hurricane-force storms (five) was below the average (eight). This is due to lower-than-expected water surface temperatures in the tropical Atlantic and the counteracting effects of air-current conditions in the upper layers of the atmosphere.

The relatively low losses can be explained by the tracks of the hurricanes, no major hurricanes reaching the US mainland, as in 2006. The most severe, Hurricane Dean, made landfall as a Category 5 hurricane (the highest category) on Mexico’s Yucatan peninsula. With wind speeds of up to 270 km/h, it was comparable to Hurricanes Rita and Wilma in 2005. Dean caused severe damage in Yucatan and on the islands of the Caribbean, although the main tourist areas were not as seriously affected.

Torsten Jeworrek: "All the facts indicate that losses caused by weather-related natural catastrophes will continue to rise. As a leading reinsurer, we are ready to deal with this. Ultimately, however, it is society as a whole which bears the cost – in the form of higher insurance premiums or infrastructure repairs financed by taxes. That is why speedy international action is needed. In addition, climate protection can bring huge economic opportunities, thanks to new technologies and increased energy efficiency. This will primarily benefit companies that are swift to act. As we have proved by years of research and new insurance products for renewable energy plants, for instance, we are determined to be among them."

In terms of overall economic losses, the most expensive event was the earthquake that struck the Niigata prefecture in Japan on 16 July. Insured losses from the medium-strength (magnitude 6.6) quake were not significant, but economic losses were in the order of US$ 12.5bn. The heavy losses show the economy’s susceptibility when natural catastrophes strike. The world’s largest nuclear power plant, close to the city of Kashiwazaki, was damaged, small quantities of radioactive material escaping into the environment. The earthquake also affected a major automotive component supplier, resulting in a production shortfall of 120,000 vehicles for car manufacturers.

Munich Re assigns natural catastrophes to one of six categories for assessment purposes. The annual list includes all

events with more than ten fatalities and/or losses running into millions.

The Munich Re Group operates worldwide, turning risk into value. In the financial year 2006, it achieved a profit of €3,519m, the highest since the company was founded in 1880, on premium income of approximately €37bn. The Group operates in all lines of business, with around 37,000 employees at over 50 locations throughout the world and is characterised by particularly pronounced diversification, client focus and earnings stability. With premium income of around €22bn from reinsurance alone, it is one of the world's leading reinsurers. Its primary insurance operations are mainly concentrated in the ERGO Insurance Group. With premium income of almost €17bn, ERGO is one of the largest insurance groups in Europe and Germany. It is the market leader in Europe in health and legal expenses insurance, and 33 million clients in 25 countries place their trust in the services and security it provides. The global investments of the Munich Re Group amounting to €177bn are managed by MEAG, which also makes its competence available to private and institutional investors outside the Group.

Disclaimer

This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial

situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Note for editorial departments:

In case of enquiries, please contact Dr. Christian Lawrence on

on

+49 (89) 38 91-29 34

.

Munich, 27 December 2007

Münchener Rückversicherungs-Gesellschaft

signed Dr. Jeworrek

signed Dr. Lawrence

+49 (89) 38 91-54 00

or Michael Able

The ten largest natural catastrophes in 2007

(PDF, 11 KB)

Munich Re NatCatSERVICE

Ranking by overall losses

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

16.7.2007

Japan

Earthquake

11

12,500

300

 

Winter Storm

18–20.1.2007

Europe

Kyrill

49

10,000

5,800

June–Aug 2007

China

Floods

650

6,800

June 2007

United Kingdom

Floods

4

4,000

3,000

July 2007

United Kingdom

Floods

1

4,000

3,000

4–8.6.2007

Oman

Cyclone Gonu

70

3,900

650

28.10–6.11.2007

Mexico

Floods

22

3,000

700

October 2007

USA

Wildfires

8

2,500

1,900

 

Bangladesh,

15–17.11.2007

India

Cyclone Sidr

3,300

2,300

13–17.4.2007

USA

Winter storm

23

2,000

1,566

Ranking by insured losses

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

 

Winter Storm

18–20.1.2007

Europe

Kyrill

49

10,000

5,800

June 2007

United Kingdom

Floods

4

4,000

3,000

July 2007

United Kingdom

Floods

1

4,000

3,000

October 2007

USA

Wildfires

8

2,500

1,900

13–17.4.2007

USA

Winter storm

23

2,000

1,566

8–10.6.2007

Australia

Severe weather

9

1,700

1,150

 

Caribbean,

 

17–23.8.2007

Mexico

Hurricane Dean

36

1,500

1,000

6–8.9.2007

Japan

Typhoon Fitow

3

1,000

700

28.10–6.11.2007

Mexico

Floods

22

3,000

700

4–8.6.2007

Oman

Cyclone Gonu

70

3,900

650

Ranking by number of fatalities

 

Date

Country/Region

Event

Fatalities

15–17.11.2007

Bangladesh, India

Cyclone Sidr

3,300

JulySept 2007

Bangladesh, India, Nepal, Bhutan

Floods

3,000

June–Aug 2007

China

Floods

650

15.8.2007

Peru

Earthquake

595

7.–26.8.2007

North Korea

Severe weather, floods

450

Aug/Sept 2007

West Africa, North Africa

Floods

400

26.6–2.7.2007

Pakistan

Cyclone Yemyin

380

June 2007

India, Pakistan

Floods

300

January 2007

Bandgladesh, India, Nepal, Pakistan

Cold wave

290

17.8.2007

China

Flash floods

180

© 2007 NatCatSERVICE, Munich Re

 

Comparison with previous years

 

(PDF, 17 KB)

Natural catastrophes 2007 Comparison with previous years

 
 

Number of

 

Total

Insured

 

Year

events

Victims

losses: Original values (US$ m)

losses: Original values (US$ m)

Major events

   

Earthquake

1994

  • 680 13,000

89,000

21,000

Northridge

         

Earthquake

1995

  • 615 20,800

172,000

16,000

Kobe, floods

North Korea

 
         

Floods UK,

2000

  • 890 10,300

38,000

9,600

Typhoon

Saomai

         

Tropical Storm

2001

  • 720 25,000

40,000

12,000

Allison,

hailstorm USA

2002

  • 700 11,000

60,000

14,000

Floods Europe

         

Heatwave

2003

  • 700 109,000

65,000

16,000

 

Europe,

earthquake

         

Bam/Iran

         

Hurricanes

  • 2004 235,000

650

150,000

47,000

Atlantic,

typhoons Japan,

tsunami

         

Hurricanes

  • 2005 101,000

670

220,000

99,000

Atlantic,

earthquake

Pakistan

         

Earthquake

  • 2006 20,000

850

50,000

15,000

Yogyakarta/

Indonesia

  • 2007 15,000

950

75,000

30,000

Winter Storm Kyrill, floods UK

© December 2007 NatCatSERVICE, Geo Risks Research, Munich Re

Overall balance of natural catastrophe losses in 2006: Weather phenomena curb development of hurricanes – but no grounds for complacency

Board member Torsten Jeworrek: Concentration of values and number of natural catastrophes are set to increase still further, loss potentials will rise / At US$ 45bn, economic losses from natural catastrophes considerably lower than last year

28 December 2006 | Reinsurance

Preface

The insurance industry was largely spared major losses from natural catastrophes in 2006, unlike in the previous two years, when hurricanes such as Katrina caused record losses. Economic losses up to the end of December totalled US$ 45bn, around one-fifth of the previous year’s figure of US$ 219bn, and insured losses amounted to US$ 15bn, less than one-sixth of the total in 2005 (US$ 99bn). This relatively positive outcome can be ascribed to the absence of major hurricanes in the North Atlantic.

Dr. Torsten Jeworrek, member of Munich Re’s Board of Management: "The fact nevertheless remains that, in the longer term, the number of severe weather-related natural catastrophes is set to increase due, among other things, to global warming. Combined with further increasing concentrations of values in exposed areas, this means continually rising loss potentials. Even apparently contradictory events in Europe, such as the huge snow-pressure losses at the beginning of 2006 and the extremely warm start to this winter, with the potential for severe winter storms, fit into this pattern."

At the end of the year, the Indonesian province of Aceh was hit by heavy storms and floods. Up to now, at least 100 people have died and over 200 more are reported missing. However, it will only be possible to estimate the real extent of the damage when the floodwaters have receded. Two years ago, the province was the region most badly affected by the tsunami catastrophe in Southeast Asia, 160,000 people perishing in this area alone. An earthquake off Taiwan and tornadoes in Florida during the Christmas holiday period did not give rise to large losses, according to initial estimates.

A detailed look at exceptional natural catastrophes in 2006

January to March: Record snow-pressure losses in Austria, hundreds die amid freezing temperatures in Eastern Europe

20 March: Warning signs for Australia; strongest cyclone on record causes insured losses of US$ 400m in sparsely populated area

27 May: Earthquake on Java results in unexpectedly great destruction, showing the vulnerability of Southeast Asian conurbations. More than 5,000 lose their lives

28 June: US$ 300m in insured losses following a severe hailstorm in the Black Forest region

Billion-dollar losses due to tornadoes in the United States; mini-tornadoes in London, Hamburg and Nuremberg demonstrate the loss potentials in big cities – also in Europe

North Atlantic: Small number of hurricanes in 2006 does not contradict the trend

The North Atlantic hurricane season brought far fewer storms this year; the insurance industry sustained its lowest losses since 2000. Ultimately, insured losses due to tropical cyclones amounted to US$ 250m compared with some US$ 87bn from last year’s unparalleled hurricane series.

Only three tropical cyclones caused substantial losses in 2006, as against the previous year’s 17. Exceptional meteorological factors accounted for the lower level of hurricane activity. Dust particles blown from the Sahara to the area where hurricanes develop absorbed solar radiation, warming and dehumidifying the layer of air at medium altitude. This hindered the formation of cyclones, particularly in August. In October, the El Niño phenomenon in the Pacific had a curbing effect. On the other hand, in September, prior to this El Niño effect, there were four hurricanes. Many storms were steered away into the Atlantic without reaching the mainland.

High ocean temperatures, up to one degree above the long-term average, had been expected to increase the number of cyclones. According to World Meteorological Organization estimates, 2006 was the sixth-warmest year ever recorded in terms of air temperature, and it was even the fourth warmest in the northern hemisphere. This means that both globally and for the northern hemisphere, the ten warmest years on record occurred during the period 1995 – 2006.

"No one seriously disputes climate change any more. In the long term, it will be a factor which increases the number of severe natural catastrophes," said Prof. Peter Höppe, Head of Munich Re’s Geo Risks Research. Due to the prolonged cyclical warm phase in the North Atlantic, which is reinforced by global warming, Munich Re believes that in the next one to two decades the number of hurricanes will exceed the mean for the years 1950–2006 (annual average: ten named cyclones, six of hurricane force).

Asia: Greater tropical storm losses

In Asia, cyclones caused worse destruction than in the previous year, with insured losses of US$ 1.5bn and economic losses of US$ 15bn. By far the most devastating tropical storm was Typhoon Shanshan, which swept across Japan and Korea between 16 and 19 September with wind speeds of up to 145 kilometres per hour, causing insured losses of US$ 1.2bn.

Cyclone Larry, which struck the sparsely populated north Queensland coast on 20 March with wind speeds of up to 290 kilometres per hour, is believed to be a sign of things to come: it was the most severe tropical storm ever recorded in northern Australia. In some places, practically every building suffered damage. It was only thanks to the region’s relatively sparse population that the economic loss did not exceed US$1.1bn and the insured loss totalled US$ 400m. If the storm had struck a major city such as Brisbane, the loss would have been much higher.

Further high earthquake death toll, surprising losses

The loss figures cannot begin to express the extent of the human tragedy. Worldwide, some 18,000 people died in 2006 as a result of natural events such as earthquakes, storms or floods – in the previous year, more than 100,000 lost their lives, primarily in the devastating earthquake that hit Pakistan and India on 8 October 2005.

In 2006, the natural catastrophe which caused the greatest number of deaths was again an earthquake. On 27 May, a force 6.3 quake shook the densely populated but economically less developed region around the city of Yogyakarta on the Indonesian island of Java. According to official statistics, 5,750 people were killed and about a million rendered homeless in a matter of seconds. 154,000 houses were destroyed and the economic loss totalled US$ 3.1bn.

Both the extent of the damage and the evident vulnerability of relatively new buildings such as shopping centres and hotels, despite adequate building regulations, are grounds for concern – particularly since this was only a medium- strength earthquake. Although the insured loss amounted to only US$ 35m (around 1% of the overall loss), it would have been higher had it not been for the low insurance density. An earthquake on that scale causing similar destruction in the equally earthquake-prone region around the capital Djakarta, where 40% of Indonesia’s entire insured values are concentrated, would be more devastating in both human and insurance terms. Munich Re will unveil a new earthquake risk model for the region in spring 2007, which will incorporate the latest findings from the area.

Floods strike once more in India

Further major flood losses for the Indian insurance industry illustrate the risks that also accompany rising concentrations of values in emerging markets. Insured losses in August, mainly incurred in the western Indian state of Gujarat, amounted to some US$ 350m. In the previous year, the extreme monsoon rains had caused an insured loss of some three-quarters of a billion US dollars to the region around the city of Mumbai in the neighbouring state of Maharashtra – the most expensive natural catastrophe that India’s growing insurance industry had ever faced.

Beginning of 2006: Central Europe buried in snow

In Europe, the natural event that caused the year’s greatest impact was an exceptionally snowy winter. From November 2005, huge amounts of snow fell over many parts of central Europe. In the months that followed, heavy layers of snow accumulated on buildings as many places experienced further snowfalls alternating with only short thaws. In southern Germany, Austria and parts of Eastern Europe, many roofs collapsed under the enormous weight, and thousands of helpers desperately shovelled snow from the roofs of houses and other buildings. 15 people were killed when an ice rink collapsed in Bad Reichenhall (southern Germany) on 2 January, although this was also significantly due to technical defects.

In Austria, snow pressure accounted for almost US$ 400m in insured losses – a very large loss for the Austrian insurance industry, and the equivalent of nearly ten per cent of the annual property insurance premium income.

Both Europe’s exceptionally snowy winter conditions in 2005 and the warm start to the 2006 winter are in keeping with the phenomenon of climate change. Apart from the trend towards warmer winters, there is also likely to be an increase in weather extremes with a greater range of variation. In Germany, the largest individual loss was caused by a hailstorm which hit the Black Forest region on 28 and 29 June, causing an insured loss in the order of US$ 300m.

The vulnerability and loss potentials of conurbations in particular were also illustrated by a number of tornado events in Europe. Insured losses were not unduly high, amounting to several millions. Nonetheless, the tornadoes had reached force two on the five-point Fujita Scale, with wind speeds of up to 250 kilometres per hour. Tornadoes are usually short- lived; in the cases mentioned, they cut a swathe of devastation a few hundred metres long in residential areas. The damage caused indicates the enormous loss potential, especially in conurbations. Prof. Höppe: "They occur the world over, spawned by severe thunderstorms, and are well nigh impossible to forecast."

During the Christmas period, tornadoes caused further losses in Florida – a relatively uncommon event for this time of year. One tornado struck just 60 kilometres from Orlando with its Disney World theme park. Munich Re has repeatedly drawn attention to the risks that accompany concentrations of values under the rubric "Megacities – Megarisks".

Loss potentials increase demand for reinsurance

Munich Re believes the rising loss potential from natural catastrophes will substantially increase demand for reinsurance in the longer term. Board member Dr. Torsten Jeworrek: "We regard the price increases that followed the hurricane year 2005 as enduring. Constant improvements in modelling the growing catastrophe risks, combined with skilful risk

management, will enable us to provide cover at prices, terms and conditions commensurate with the risks."

The Munich Re Group operates worldwide, turning risk into value. In the business year 2005, it achieved a profit of €2,743m, the highest in its 126-year corporate history. In 2005, its premium income amounted to approximately €38bn and its investments to around €177bn. The Group is characterised by particularly pronounced diversification. It has approximately 38,000 employees in over 50 countries throughout the world and operates in all lines of insurance. With premium income of around €22bn in the year 2005 from reinsurance alone, it is one of the world's leading reinsurers. Its primary insurance operations are mainly concentrated in the ERGO Insurance Group, the second-largest provider in the German primary insurance market and a leading player in several other European insurance markets both in health

insurance and legal expenses cover.

Beginning of 2006: Central Europe buried in snow In Europe, the natural event that caused thehttp://semanticommunity.info/AOL_Government/2011_Natural_Disasters_Costliest_on_Record Updated: Sun, 14 Jun 2015 04:39:46 GMT Powered by 42 " id="pdf-obj-41-29" src="pdf-obj-41-29.jpg">
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Disclaimer This press release contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-looking statements given here and the actual development, in particular the results, financial situation and performance of our Company. The Company assumes no liability to update these forward-looking statements or to conform them to future events or developments.

Note for editorial departments

In case of enquiries, please contact Rainer Küppers on (89) 38 91-29 34

+49 (89) 38 91-25 04

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. Munich Re will publish its provisional figures for the business year 2006 on 28 February 2007 to ensure that the information is available to shareholders and the public as soon as possible. You will receive a separate invitation to the balance sheet press conference to be held on that day. On 30 January 2007, Munich Re will issue a press release on the outcome of the 2006/07 renewal season in non-life reinsurance.

Munich, 28 December 2006

Münchener Rückversicherungs-Gesellschaft

signed Dr. Jeworrek

signed Küppers

The ten largest natural catastrophes in 2006

(PDF, 8 KB) Munich Re NatCatSERVICE

Ranking by overall losses

Date

Country/

Event

Fatalities

Overall losses

Insured

Region

US$ m

losses US$ m

27.5.2006

Indonesia

Earthquake

5,750

3,100

35

July-Aug 2006

India

Floods

900

3,000

400

 

Severe weather,

13-15.4.2006

USA

tornadoes

1

2,500

1,700