Loss and cover do not always meet

The challenge

The difference between economic and insured losses raises questions about exposure, affordability and the scope of cover. Research should distinguish a lack of insurance from exclusions and gaps in loss assessment.

What the number does—and does not—say

Swiss Re estimates a global gap between natural catastrophe economic losses and insured losses in 2024, in 2024 prices. It is not denied claims, all insurance risk or a prediction for the next year.

A question worth investigating

Can households and firms understand which losses their policy would leave them carrying?

Labs research direction: start with a defined population and location, review the source methodology, and validate assumptions with people working in the sector. This question is our interpretation; the statistic alone does not establish causes or prove a particular solution.