Natural disaster risk is becoming more frequent and more localized

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Organizations and households are increasingly confronting natural disasters that strike closer to home and with greater regularity. Concern is no longer centered solely on rare, peak‑severity events. Instead, it is driven by the high‑frequency, regionally specific perils people experience firsthand. Our latest RiskScan report shows how these localized, repeating events are reshaping perception, preparedness, and the economics of catastrophe risk.

Frequent, regionally relevant perils now dominate the risk landscape.

Across the global marketplace, RiskScan respondents identified the following as the most concerning natural disasters:

47%

Flood

39%

Winter storms

38%

Thunderstorms

36%

Excess rainfall

26%

Earthquake

Flood and severe storm events consistently rank at or near the top across audiences. The data suggests that lived experiences — especially repeated, moderate‑severity events — are shaping perception more than low‑frequency, high‑severity catastrophes.

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For the P&C industry, resilience must be built into every stage of the value chain. Our role extends beyond indemnification as we are partners in helping communities anticipate, adapt, and strengthen their defenses against natural disasters.

Kathleen O. Zortman

American Modern

President & CEO

Why this matters

The rise of frequent, localized natural disasters signals a shift in how organizations must think about resilience. Repeated storms strain household finances. Localized flooding disrupts operations and supply chains. Secondary perils challenge traditional modeling and pricing frameworks. And the cumulative effect of these events is becoming a central driver of insured losses.

Understanding these trends is essential for strengthening resilience, improving preparedness, and adapting to a climate environment where volatility are the norm — not the exception.