New Triple-I “Issues Brief” Highlights Hurricane Risks and Costs
Jeff Dunsavage, Senior Research Analyst, Triple-I (06/23/2022)
Insured losses from hurricanes have risen over the past 15 years as hurricane activity has intensified. When adjusted for inflation, nine of the 10 costliest hurricanes in U.S. history have struck since 2005. In addition to increased storm activity, coastal construction has continued, and property values risen, resulting in higher loss exposure.
While it’s tempting to ascribe the increased losses to climate change, the available data doesn’t support that conclusion. In fact, recent research indicates that tropical cyclones (the umbrella term for hurricanes, typhoons, and cyclones) have actually decreased in both number and accumulated cyclone energy over the past 30 years.
The 2022 Atlantic hurricane season is expected to be “well above average” in terms of the number of named storms, hurricanes, and “major” (Category 3, 4, or 5) hurricanes. As the season gears up, Triple-I has published its latest “State of the Risk Issues Brief” on hurricane risk, full of updated stats and key takeaways for preparation and advance mitigation.