September natural catastrophes cause $15 billion in economic losses globally

Economic losses from natural disasters globally in September are estimated at about $15 billion, according to the latest recap report from Aon Benfield’s model development centre, Impact Forecasting.

Hurricanes Manuel and Ingrid made landfall on opposite sides of Mexico with 24 hours of one another, causing major damage across the country and resulting in nearly 200 people declared dead or missing, the report says.

Total economic losses from both storms are estimated by the government to be $5.7 billion, with insured losses around $915 million, according to the Mexican Association of Insurance Institutions, Impact Forecasting reports. All figures are in U.S. dollars.

In Asia, “Super Typhoon” Usagi, one of the strongest in 40 years, made landfall in China, with total economic losses estimated at $3.8 billion, and damage to at least 101,200 homes, according to the report.

Typhoon Wutip also made landfall in Vietnam, with economic losses estimated at $240 million, and damage caused to 224,000 homes and 1,100 schools, public buildings and hospitals, it adds.

Seasonal monsoon rains, combined with the remnants of tropical cyclones, led to flooding across Asia, causing $343 million in economic losses in China, 15,000 damaged homes in Thailand, $61 million of economic losses in Laos, 120,000 damaged homes in Cambodia, 15,000 damaged homes in Vietnam and killing 32 people in the Philippines, the report also notes.

In the United States, record rainfall caused historic flash flooding in Colorado, killing at least nine people, according to Impact Forecasting. Total economic losses are estimated to be above $2 billion, with preliminary insured losses estimated at $150 million, not including pending losses through the National Flood Insurance Program (NFIP).

Flood events were also recorded in Romania, Ukraine, Mexico, Bolivia, and Solomon Islands during the month, the report adds.

“As our September Catastrophe Recap report highlights, tropical cyclone and flood events can simultaneously affect many countries around the world,” noted Steve Jakubowski, president of Impact Forecasting. “Due to varying degrees of insurance penetration, a large strain is placed on governments in certain regions to provide sufficient disaster relief funding and resources.”

Other major cat events in September reported by Impact Forecasting include:

• A 7.7-magnitude earthquake and 6.8-magnitude aftershock in southwest Pakistan, causing total economic losses estimated at $100 million
• Extensive agricultural damage in central Chile from severe winter weather, with total economic losses listed at $1.15 billion
• Hurricane-force winds and flooding rains in New Zealand, with insurers there expecting payouts of more than $12.5 million