Insurers Swiss Re say deadly heatwaves a growing risk

By AFP

The deadly effects of extreme heat are a growing risk to people, reinsurance giant Swiss Re said Thursday, adding that heat killed more people than earthquakes, floods and hurricanes combined.

"Up to half a million people globally succumb to the effects of extreme heat each year," it said in its annual SONAR report on risks to the global economy and the insurance industry.

"Heat-related risks extend to wildfires, healthcare systems, infrastructure and agriculture," it added, noting that the World Meteorological Organization had reported that 2024 was the hottest year on record.

"There is clear evidence that extreme heat events are happening with greater severity, frequency and duration," the company said in a statement announcing its report.

"The claims implications are many, stemming from more accidents, illness, chronic diseases and even death," it added.

"Extreme heat can also stress healthcare systems, in turn raising the costs of medical insurance."

Jerome Haegeli, Swiss Re's chief economist said in the statement: "With a clear trend to longer, hotter heatwaves, it is important we shine a light on the true cost to human life, our economy, infrastructure, agriculture and healthcare system."

The leading insurer for insurance companies publishes its SONAR report every year to try to identify the main risks insurance companies will face in the coming years.

Its 2025 edition also identified dangers from artificial intelligence, in particular from deep fake, litigation over intellectual property rights and defamation.