Swiss Re warns secondary perils now dominate global catastrophe losses

Swiss Re AG ( (CH:SREN) ) just unveiled an update.

Swiss Re’s research arm reports that so‑called secondary perils such as wildfires, severe convective storms and floods accounted for a record 92% of the USD 107 billion in global insured natural catastrophe losses in 2025, underscoring a structural rise in weather‑related claims. Driven by population growth, asset concentration and higher reconstruction costs, insured losses are increasing 5–7% annually, with Swiss Re’s models indicating that losses could jump sharply in a peak‑loss year, highlighting the growing importance of robust primary and reinsurance cover.

The study points to the 2025 Los Angeles wildfires and severe convective storms as major contributors to insured losses, even as overall catastrophe losses came in below trend, and notes that changing hazard patterns in regions such as North America and Europe are amplifying risks beyond what exposure alone can explain. With global economic catastrophe losses reaching USD 220 billion and about half uninsured—especially in emerging markets—Swiss Re stresses that greater risk awareness, targeted adaptation and mitigation measures and broader access to insurance are crucial to preserving insurability and narrowing persistent protection gaps.

The most recent analyst rating on (CH:SREN) stock is a Buy with a CHF144.00 price target. To see the full list of analyst forecasts on Swiss Re AG stock, see the CH:SREN Stock Forecast page.

More about Swiss Re AG

Swiss Re Group is a leading global provider of reinsurance, primary insurance and other insurance-based risk transfer solutions, headquartered in Zurich and operating through about 70 offices worldwide. The company focuses on anticipating and managing complex risks, from natural catastrophes and climate change to demographic shifts and cyber threats, with the aim of supporting societal resilience and developing new opportunities for clients.

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Technical Sentiment Signal: Strong Buy

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