The Philippines has long been exposed to climate hazards, from typhoons to floods and earthquakes, due to its geographical location. While the insurance market is stronger than a decade ago, extreme events still test claims operations and the resilience of weaker carriers. To address this, Southeast Asia is developing innovative risk-financing solutions that the Philippines can adopt or scale, says the Philippine Insurers and Reinsurers Association (PIRA) Executive Director, Michael Rellosa.
Claims continue to mount following the devastating bushfire that swept through central Victoria. As of 13 January, the Insurance Council of Australia (ICA) reported nearly 1,400 claims, encompassing property, commercial, motor, and business interruption losses. Early assessments suggest around 30 percent of all property claims may involve total losses.
Peak perils in 2025 accounted for only a small share of overall losses, according to the latest report by Howden Re. Outside of the US, losses were driven by a series of notable, but localised events across Asia and Europe, producing moderate insured losses amid significant human and economic impacts.
Sedgwick, the world's leading risk and claims administration partner, has published its 2026 forecasting report.
In 2025, losses from natural disasters in the Asia-Pacific cost around $73bn. These work out to about one third of the total global losses due to natural disasters in 2025. This is also above the 10-year average of $66bn. Only $9bn was insured. In many lower-income countries, insurance penetration remains below 5% according to global reinsurer Munich Re.
The heavy rains that fell on 19 December 2025 has led to increases of around 20% in claims, a level regarded as 'acceptable' by the insurance sector, according to industry executives.
More than 80% of actuaries participating in a recent study conducted by the Institute and Faculty of Actuaries (IFoA) have said that their professional involvement in climate change and sustainability work has increased in recent years.
PERILS has disclosed its initial industry loss estimate for the Severe Convective Storms that affected Queensland and New South Wales from 21 to 27 November 2025.
The 1 January property-CAT reinsurance renewal season in Turkiye exhibited trends similar to those observed in Continental European renewals, with risk-adjusted decreases of 15% on average, and a significant oversubscription of capacity, particularly in top layers, said Gallagher Re.
Thailand is likely to have a permanent Nat CAT Fund for the country soon. The initiative is being backed by the Thai General Insurance Association (TGAI) according to a report published in the daily the Bangkok Post.