Global natural catastrophe activity remained relatively mild during the third quarter of 2025. The abnormally low frequency of high-cost events has, thus far, left the year within annual catastrophe budgets for governments and the insurance industry. The minimum USD214 billion in economic losses from all natural perils was notably below the 10-year average (USD338 billion). The portion covered by the insurance market or public insurance entities was at least USD105 billion, or 8% lower than the decadal average (USD114 billion). The below average loss totals are largely due to quieter-than-expected tropical cyclone activity in the Atlantic and Pacific oceans.
As we enter the fourth quarter of 2025, preliminary data shows this year's natural catastrophe losses remain well below recent averages. The third quarter produced one of the least expensive periods for insurers this century, following limited tropical cyclone activity and generally manageable flood and storm events worldwide. Late-season tropical cyclone landfalls remain an ongoing risk, as is the constant possibility of a consequential earthquake. NOAA's latest outlook indicated that weak La Niña conditions arrived in October, and are expected to linger into the first few months of 2026. This could influence weather patterns in the North American winter months.
The following report includes:
- Preliminary Q1-Q3 global economic and insured loss totals from all natural perils
- A review of the low third-quarter catastrophe activity and an appendix update showcasing revised losses from earlier Q1 / Q2 events
- Insights into record-breaking global heat and its growing implications for health infrastructure and insurance protection gaps
- A regional overview of major events including U.S. severe convective storm season, monsoon flooding in Asia and European wildfire activity
- A discussion on the recent transition from ENSO-neutral conditions to La Niña and what that might mean in the coming months