Extreme precipitation in mid-July resulted in the costliest European flooding event on record, and the deadliest in nearly three decades, according to re/insurance broker Aon.
Altenahr, Germany, Monday, July 19, 2021 (Boris Roessler/dpa via AP)
Catastrophic damage occurred in Western Germany, predominantly in Nordrhein-Westfalen and Rheinland-Pfalz federal states, with the official death toll listed at 197.
The worst affected area was the Ahr River Valley, where the majority of fatalities occurred. Belgium recorded its deadliest and costliest flooding event in its history, with 42 confirmed fatalities and severe damage in Liege Province. Further extensive damage was noted in neighboring Netherlands, Luxembourg and France.
As much as $20 billion in direct damage was anticipated in Germany alone, while the country’s insurers expected losses of $5.3 billion to $6.5 billion. This would mark the costliest individual natural disaster for the German insurance industry on record.
Total economic losses in Europe were expected to approach $25 billion, though this is a preliminary estimate and is likely to evolve.
Overall, the event is likely to rank as the costliest weather event and second-costliest natural disaster event in Europe in the past 40 years (only behind the Irpinia Earthquake of 1980), on an inflation-adjusted basis.
Meanwhile, historic rainfall prompted catastrophic flash flooding across China’s Henan Province from July 16-22, killing at least 302 people and injuring many others. The flooding generated extensive damage to property, agriculture and infrastructure across the region.
Significant impacts were incurred in the Zhengzhou metro area on July 20 as all-time rainfall records were broken. Additional flooding and dam failures resulted in fatalities and damage in nearby Hubei Province and the Inner Mongolia Autonomous Region.
The total economic cost of flooding in China during the month of July was estimated at nearly $25 billion. The flood damage in Zhengzhou was anticipated to cost insurers up to $1.7 billion – the highest natural disaster payout for the Chinese insurance industry on record.
Steve Bowen, managing director and head of Catastrophe Insight on the Impact Forecasting team at Aon, said, “One of the hallmarks of climate change involves extreme events becoming more extreme.
“The recent release of the IPCC’s Sixth Assessment Report confirms this to be true and notes an accelerating trend of these types of extremes as seen in observed events.
“The recent historic rainfall and flooding in Europe and Asia while juxtaposed against the most intense drought conditions recorded in North America in decades highlights the fragility of the climate system and the need to invest in actionable strategic solutions that lower physical and non-physical risks. Improving and stabilizing these risks is essential, but also achievable.”
