2017 most costly year on record for U.S. disasters
Hurricanes Harvey, Irma and Maria combined with devastating Western wildfires and other natural catastrophes to make 2017 the most expensive year on record for disasters, the National Oceanic and Atmospheric Administration reported Monday.
The disasters caused $306 billion in total damage in 2017, with 16 separate events that caused more than $1 billion in damage each. The bulk of the damage, at $265 billion, came from hurricanes in particular.
“2017 was a historic year for billiondollar weather and climate disasters,” said Adam Smith, an economist for NOAA, on a media call with reporters.
The record-breaking year raises concerns about the effects of future natural disasters, as scientists fear climate change could make extreme weather events more damaging.
Hurricane Harvey, which sparked extreme flooding in Houston and the surrounding area in August and September, caused $125 billion in damage, the year’s most expensive disaster. Hurricane Maria, which in September set off a fatal and ongoing humanitarian crisis in the U.S. territory of Puerto Rico and elsewhere, caused $90 billion in damage. Hurricane Irma raked across the Caribbean and hit Florida in September and caused $50 billion in total damage, NOAA reports.
The storms also caused 251 combined deaths, the report found. According to Smith, hurricanes Harvey, Irma and Maria now join 2005’s Katrina and 2012’s Sandy among the top five most costly U.S. hurricanes in the agency’s disaster record.
Western wildfires cost another $18 billion and 54 lives, the report found. This, too, was an annual record. Other large costs came from tornadoes, droughts, flooding and other severe weather events.
The previous most expensive disaster year was 2005, when events such as Hurricane Katrina caused $215 billion in U.S. damage when adjusted for inflation. NOAA’s record of billion-dollar natural disasters goes back to 1980.
According to NOAA, there have been 215 U.S. disasters costing $1 billion or more since 1980, for a total of more than $1.2 trillion in damage. The year 2017 tied 2011 for the largest total number of such events, at 16.
With numbers like the ones above, it’s no wonder the insurance industry also took a massive hit during 2017, thanks in large part to the trio of hurricanes that ravaged parts of the Caribbean, Puerto Rico and parts of the South.
Insurers are set to pay out a record $135 billion stemming from natural disasters around the globe last year, according to data released earlier this month from the world’s largest reinsurer. Those huge payouts stem largely from last year’s deadly and devastating hurricanes, but those were far from the only disasters.
Overall losses, which include uninsured losses, amounted to about $330 billion, the reinsurer said. That is second only to 2011, when a massive earthquake and tsunami in Japan fueled overall losses of more than $350 billion in today’s dollars.
The firm identified 710 natural catastrophes around the globe, significantly higher than the annual average of 605. But those in the United States were by far the most costly, accounting for roughly half of all insurance payouts.
Insurance officials also said they expect more such catastrophes ahead. “Some of the catastrophic events, such as the series of three extremely damaging hurricanes, or the very severe flooding in South Asia after extraordinarily heavy monsoon rains, are giving us a foretaste of what is to come,” Torsten Jeworrek, a Munich Re board member, said about the global losses.