On an average annual basis, insured losses stemming from extreme weather events are expected to reach around $123 billion globally, according to Verisk’s 2022 Global Modeled Catastrophe Losses report. During the past 10 years, the annual average in actual losses was $74 billion.

The biggest drivers of the growth in catastrophe losses during recent years have been an increase in exposure values and replacement costs, according to Bill Churney, president of Verisk Extreme Event Solutions.