Climate Connections

Disasters caused over $131 billion in losses in the first half of 2025

Sep 29, 2025
This discussion highlights staggering global losses of $131 billion due to disasters in early 2025, primarily attributed to California wildfires. The rising costs in the U.S. are linked to factors like expensive real estate, population movement to riskier locations, and increasingly severe weather events fueled by climate change. Experts urge smarter planning to mitigate future damage, advocating for stronger building codes and avoiding construction in flood-prone areas. A call to action emphasizes the need for resilience against these escalating threats.
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INSIGHT

Record Global Disaster Costs

  • Munich Re reported 2024 caused about $320 billion in global disaster damage, making it one of the costliest years since 1980.
  • This frames recent years as unusually expensive for natural disasters worldwide.
INSIGHT

High Early-2025 Losses

  • Munich Re estimates roughly $131 billion in overall losses from natural catastrophes in the first half of 2025.
  • Large events like California wildfires are driving that early-year total.
INSIGHT

Why U.S. Disaster Costs Rise

  • Rising U.S. disaster costs reflect expensive real estate, more people living in high-risk areas, and climate-driven extreme weather.
  • These three factors together amplify the financial impact of disasters, says Mark Bove.
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