CRESTA, the insurance industry organisation that provides a global standard for risk accumulation zones and cat industry losses, has released the Q3/2022 update of its CRESTA Industry Loss Index, (CLIX) which shows above-average loss activity for international catastrophe events in 2022 (excluding the US).
Matthias Saenger, Product Manager of CRESTA, commented, “An analysis of the CLIX industry loss database shows that an event loss of USD 1bn is reached or exceeded on average 4.5 times per year.”
“With six events already confirmed to have exceeded this loss level, the year 2022 is already above average for international Cat loss activity.”
Currently, CRESTA is tracking six international cat events which have exceeded the USD 1bn industry loss threshold in the first six months of 2022.
These are the European windstorm series of mid-February, the flood event in Eastern Australia during February-March, the Mw7.3 earthquake which struck the area of Fukushima in Japan in March, the KwaZulu Natal floods in South Africa in April, and two severe convective storms in France and neighbouring countries in June.
Additionally, CRESTA is investigating three cat events which occurred in the third quarter of 2022 that have the potential to generate an industry loss in excess of USD 1bn.
These include Typhoons No. 11 (Hinnamnor) and No.14 (Nanmadol) in Asia in September, and the losses caused by Hurricane Fiona in the Caribbean and Canada also in September.
The largest industry loss to date during the reviewed period resulted from the European Summer Floods in July 2021 which CRESTA currently estimates at USD 13.8bn, up from USD 13.1bn as released in the last update.
Saenger added, “The increasing adoption of CRESTA CLIX by the insurance and reinsurance industry demonstrate the clear value of providing a consistent and systematic event loss history which can be used for a range of actuarial analysis. We would take this opportunity to thank all our subscribers for their support.”