Aspen Claims Service

2022 Forecast: $20B Plus In Convective Storm Losses

 Monday, June 27, 2022


Losses from the severe convective storm peril are already on-track to surpass $20 billion again in 2022, according to Aon’s Impact Forecasting.

This peril category, which includes tornadoes, hail, winds and rainfall from convective weather and severe thunderstorm outbreaks, has become one of the most significant contributors to annual US industry losses for insurance and reinsurance interests.

Impact Forecasting said that if the $20 billion threshold is surpassed again, it will be the 15th consecutive calendar year that severe convective storm losses have risen that high.

Aon’s team commented on loss activity from the last week, which it expects will minimally produce another insured loss well into the hundreds of millions of USD.

It’s been a ‘very active three months for the peril’ the Impact Forecasting team reported, with hundreds of millions of dollars of losses from severe thunderstorms, tornadoes, hail and winds, as well as Derecho type events, almost every week.