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Global insured losses during the first half of this year were at least $100 billion with more than 90% of that total – or approximately $92 billion – driven by wildfires and severe convective storms in the U.S., according to Aon’s .

The $100 billion claims figure is up from $71 billion reported during the first half of 2024, above the 21st century H1 average of $41 billion, and is the second-highest total on record after H1 2011 when losses of $140 billion occurred, Aon said.

“Insured losses were driven by the destructive California wildfires in January, with total insured losses estimated at more than $40 billion. At least 19 events, 18 of which occurred in the United States, surpassed $1 billion in insured losses,” the report said.

The only natural catastrophe event that exceeded the $1 billion threshold outside the U.S. – was the European severe convective storm (SCS) outbreak in late June, the report said. Other major ex-U.S. events were Cyclone Alfred in Australia, which resulted in insured losses of approximately $900 million (A$1.4 billion), and Windstorm Éowyn, which brought $690 million (€620 million) in insured losses to Ireland and the UK in January.

Economic Losses

Global economic losses for the half were also above average—at an estimated $162 billion, which is above the 21st-century H1 average of $141 billion and comparable to the economic losses of $156 billion recorded during H1 2024. (Economic losses include insured and uninsured loss totals.)

H1 economic losses in the U.S. alone reached at least $126 billion, surpassing $115 billion in 1994 as the costliest H1 on record and significantly above the H1 average of $41 billion since 2000, Aon added. By contrast, economic losses in all other regions remained below long-term H1 averages.

Economic losses during the first half were driven by the Palisades and Eaton wildfires in California, the Myanmar earthquake and multiple severe convective storm (SCS) outbreaks across the U.S., said the report, which is published by Aon’s Catastrophe Insight team.

Insurance Protection Gap

Aon said the insurance protection gap of 38% (or the difference between insured and economic losses) was the lowest H1 value on record and significantly lower than the 21st century average of 69%.

“This was due to the dominant contribution of events in the U.S., where insurance penetration stands relatively high,” said Aon, noting, however, that under-insurance for natural disasters still highly prevalent in developing regions.

“Comparatively, insurance coverage for the Myanmar earthquake was less than $100 million compared to the total economic damage of $12 billion.”

At least 7,700 people were killed due to natural disasters during 1H 2025—well below the 21st-century average of 37,250—with the majority of deaths (5,456) resulting from the Myanmar earthquake.

While tropical cyclone activity was relatively subdued across the Atlantic basin in H1 2025, above-average tropical cyclone activity is still expected across most seasonal forecasts for the year’s North Atlantic hurricane season, which ends in November.

Other findings from the report include:

• SCS events in the U.S. cost insurers $44 billion during H1, recording the third highest SCS losses on record, only behind 2023 and 2024 (both $45 billion).

• High tornado activity continues this year in the U.S. with the Storm Prediction Center recording 1,299 total preliminary tornado reports through June 30 — a figure that is running slightly ahead of 2024, which had 1,285 reports by June 30. Notably, Aon said, 2025 has the third-highest preliminary tornado reports on record for H1 since 2000, trailing behind 1,340 reports in 2008 and 1,390 in 2011. “At the current pace, 2025 will almost certainly be among the top 10 most active years for tornadoes since 2000 from a full annual perspective.”

• A glacier collapse on May 28 devastated much of Blatten village in Valais, Switzerland, when millions of cubic meters of rock, ice, and mud poured into the Lötschental Valley — an event that is seen as a sign of climate change. With an insured price tag of 320 million swiss francs (US$400 million), this natural disaster is Switzerland’s 11th costliest event, and the most expensive non-flood/SCS event when adjusted for price inflation.

More than 80%, or approximately CHF 260 million (US$325 million) of these insured losses were related to damage on buildings and personal property, while the remaining CHF 60 million (US$75 million) covered commercial units and motor expenses. Agriculture was also hit, with about 72 hectares (178 acres) of agricultural land affected.

• The Australian region experienced an active tropical cyclone season in the first half of 2025, with eight systems reaching at least Category 3 intensity on the Saffir-Simpson scale, and four named storms making landfall. The most significant event was Cyclone Alfred, which made landfall in southeast Queensland in March and was the first cyclone to hit the region since Cyclone Wanda in 1974.

The Insurance Council of Australia (ICA) estimates insured losses from Cyclone Alfred at A$1.4 billion (US$890 million), making it one of the top four costliest cyclone events in Australia’s recent history.

• In stark contrast to the north Atlantic, which has thus far seen a quiet start to the hurricane season, the eastern Pacific Ocean basin has seen above-average hurricane activity in 2025, including Hurricane Erick, a Category 4 storm, which became the earliest landfalling major hurricane (category 3+) in Mexico’s history.

Photo: A firefighter battles the Palisades Fire as it burns a structure in the Pacific Palisades neighborhood of Los Angeles, Jan. 7, 2025. (AP Photo/Ethan Swope,File)

Topics USA Profit Loss