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AIR Worldwide Provides Annual Global View of RiskBoston, Sept. 09, 2019 (GLOBE NEWSWIRE) -- Catastrophe modeling firm AIR Worldwide (AIR) today released its 2019 Global Modeled Catastrophe Losses report, detailing key loss metrics from AIR’s global industry exceedance probability (EP) curve. Based on the report, AIR estimates that the global modeled insured average annual loss from catastrophes worldwide is about USD 92 billion. The 1 percent aggregate exceedance probability insured loss (or the 100-year return period loss) is nearly USD 288 billion, which is more than double the record losses seen in 2017 from Hurricanes Harvey, Irma, and Maria and other natural catastrophes. The 2019 report derives its loss metrics from the most current suite of global property and crop models from AIR, including new models and updates released during 2019 as well as databases of property values for more than 110 countries; the report excludes losses from AIR’s pandemic, cyber, and casualty models. AIR Worldwide is a Verisk (Nasdaq:VRSK) business. The global aggregate average annual loss (AAL) and exceedance probability loss metrics for 2019 reflect changes in risk based on AIR’s annual review of industry insured values around the world, which includes a complete update of its industry exposure database for New Zealand. The report also includes the impact of enhancements to the AIR Earthquake Model for New Zealand, AIR’s suite of inland flood models in Central Europe, and the AIR Typhoon Model for China. Discussed in this year’s report are global economic losses from catastrophes, which can vastly exceed insured losses depending on the region and peril. This “protection gap,” the difference between economic and insured losses, highlights the significant burden that society faces when a disaster strikes. While the protection gap is often thought of as a problem confined to the developing world, the two earthquakes that struck Southern California in the first week of July—only 34 hours and less than 7 miles apart—highlight the fact that this issue can affect nations with highly developed insurance markets; statewide, only about 15 percent of California homeowners have earthquake insurance.
Newbold concluded, “With four months left in 2019, there’s still the possibility of experiencing significant insured losses. In 2018, the top three insured losses globally were caused by events that occurred after September 1: the Camp Fire, Hurricane Michael, and Typhoon Jebi.” Download the 2019 Global Modeled Catastrophe Losses report here: https://airww.co/GlobalEP2019 About AIR Worldwide ###
Media Contact: Kevin Long AIR Worldwide 617-267-6645 [email protected] |