Climate disasters cost world more than US$170 billion in 2021: study

This year is expected to be the sixth since 2011 that global natural disasters have cost more than US$100 billion, a report from UK charity Christian Aid said

Some of this year’s deadliest weather events hit poorer countries, but costs are higher in richer ones because of higher property values and insurance

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A man clears debris away from a house gutted by a tornado in the US state of New Jersey in September. Photo: AFP/Getty Images/TNS

Bloomberg

Published: 12:00pm, 27 Dec 2021

Ten of this year’s most destructive weather events cost a combined US$170 billion in damages, according to a new study.

Hurricane Ida, a tropical storm that pummelled much of the eastern US with lashing rain in August, killed at least 95 people and cost the economy US$65 billion. A month earlier, floods in Europe caused 240 deaths and an economic loss of US$43 billion, according to research published by British charity Christian Aid. Floods in China’s Henan province in July killed more than 300 and cost in excess of US$17 billion.

“The costs of climate change have been grave this year,” said Kat Kramer, Christian Aid’s climate policy lead and author of the report. “It is clear that the world is not on track to ensure a safe and prosperous [future].”

A resident wades through floodwaters outside his home in Malaysia earlier this month. Photo: Bloomberg

This year is expected to be the sixth time global natural disasters have cost more than US$100 billion, the report stated, citing insurer Aon Plc. All six of those years have happened since 2011.

The report’s authors estimated damages based on insured losses, meaning the true costs of these disasters are likely to be even higher.

Calculations are usually costlier in richer countries because of higher property values and insurance, while some of this year’s deadliest weather events hit poorer countries that contributed little to global warming.