Results

The categorisation of natural hazard events into a seven-stage catastrophe scale marked an important step forward in this trend analysis. Assigning events to size categories makes it possible to analyse trends more accurately and reliably.

This reveals that the devastating and great catastrophes in categories 5 and 6 are responsible for most of the losses and deaths, causing 86% of all fatalities, 86% of overall losses, and 80% of insured losses. However, these categories account for only 3% of all events. The small loss events still predominate, but there is a distinct trend towards more intensive and costlier natural catastrophes. The quality of reporting by official institutions on the economic impact of natural hazard events has improved considerably in recent years. This is very good news, as the powers-thatbe can only implement appropriate and effective measures to tackle, mitigate, or prevent losses if they have reliable information on the true extent of natural catastrophes.

Summary

Countless measures will have to be taken around the world in order to soften the effects of a persistent trend towards ever-larger and more catastrophic natural events. Knowledge must be imparted and awareness sharpened. For the people at risk it is quite literally vital to know what to do before an imminent catastrophe arrives and how to react when it strikes. Insurance cover remains the most effective way of protecting property and belongings. People in the poorer regions of the world could acquire such protection through socalled microinsurance programmes. Munich Re, the World Bank and local insurers already offer this option of affordable basic cover in some countries of the world — to the great benefit of the people concerned.

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