Zurich: Natural disasters worldwide have inflicted an estimated $310 billion in economic losses in 2024, marking a 6% rise compared to the previous year, as the impact of the climate crisis continues to escalate, reinsurance giant Swiss Re reported on Thursday.

Insured losses surged even more significantly, climbing 17% year-on-year to reach $135 billion. Hurricanes Helene and Milton, which struck the southeastern United States in late September and early October, were key contributors to the heightened costs.

This marks the fifth consecutive year that insured losses have surpassed $100 billion, Swiss Re noted, attributing much of the burden to urban value concentration, economic growth, and rising rebuilding costs.

"Much of this increasing loss burden results from value concentration in urban areas, economic growth, and increasing rebuilding costs," said Balz Grollimund, Swiss Re's head of catastrophe and perils.

Swiss Re emphasized the growing role of climate change in exacerbating natural disasters, pointing out that 2024 is on track to be the hottest year on record. "By favouring the conditions leading to many of this year's catastrophes, climate change is also playing an increasing role," Grollimund added.

Flooding costs surged significantly, with insurers facing $13 billion in claims from severe flooding in Europe and the United Arab Emirates. Swiss Re identified 2024 as the third-costliest year for floods globally and the second most expensive for Europe.

The United States experienced the highest insured losses, accounting for nearly two-thirds of the global total. Hurricanes Helene and Milton alone caused insured losses approaching $50 billion. The country also saw a high frequency of severe thunderstorms, adding to its disproportionate share of losses.

Swiss Re's report underscores the increasing financial toll of natural disasters as climate change intensifies weather-related catastrophes and economic growth raises the stakes for urban areas.