Economic losses from the June 24, 2026, earthquakes in Venezuela are likely to exceed $10 billion, according to Verisk’s Catastrophe and Risk Solutions group, which said the insured share of industry losses is unusually difficult to estimate because of the country’s macroeconomic conditions, elevated inflation, low insurance penetration, and sanctions-related market complexities.
Verisk, the strategic data analytics and technology partner to the global insurance industry, stated that factors contributing to this uncertainty include assumptions regarding earthquake insurance take-up rates, ongoing inflationary pressures, and the challenges associated with accurately valuing insured assets in a rapidly changing economic environment.
Verisk explained, “The modelled insured loss estimates do not include losses resulting from fire-following, landslides, sprinkler leakage, loss adjustment expenses, damage to uninsured properties or infrastructure, extra-contractual obligations, hazardous waste cleanup, vandalism, or civil commotion, whether directly or indirectly caused by the event.
“The estimates also exclude losses associated with civil engineering (railway) risks, marine cargo and marine hull risks, aviation risks, transit warehouse risks, personal accident risks, and other non-modelled sources of loss.”
The rare earthquake doublet struck near Yumare-Morón in Yaracuy state, approximately 100 miles west of Caracas, the capital of Venezuela.
“A magnitude 7.2 foreshock was followed just 39 seconds later by a magnitude 7.5 mainshock, making it the strongest earthquake to impact Venezuela since 1900,” Verisk noted.
Damage was most severe in the Caracas metropolitan region and the coastal state of La Guaira, where an estimated 1,400 buildings were destroyed. Significant destruction was also reported across Aragua, Carabobo, and Yaracuy states.
Communities including Puerto Cabello, Catia La Mar, Maiquetía, San Felipe, Los Teques, Petare, Valencia, and Baruta experienced severe shaking, according to U.S. Geological Survey intensity estimates.
According to the president of the Venezuelan National Assembly, Jorge Rodríguez, at least 2,295 people have died. As per wider reports, more than 43,000 people are still missing, and 15,866 have been left homeless.
Meanwhile, the UN’s resident coordinator in Venezuela, Gianluca Rampolla del Tindaro, stated that the organisation is procuring 10,000 body bags in preparation for a rising death toll, a contingency measure agreed upon with local authorities
Verisk suggested that Venezuela’s insurance and reinsurance sector remains relatively small and highly concentrated compared to many global markets.
The firm continued, “The industry continues to operate under challenging macroeconomic conditions characterised by elevated inflation, currency depreciation, regulatory complexity, and limited market capacity.
“These conditions create additional uncertainty when estimating insured losses following a catastrophe. Variations in earthquake insurance penetration, coverage levels, and insured property values can materially influence the ultimate insured share of economic losses resulting from the earthquake sequence.”
