Japan to suffer minimum $10bn economic loss from Hagibis - Aon

Total economic losses from Typhoon Hagabis are expected to exceed USD10 billion, with insured losses minimally in the billions (USD), according to the latest edition of the monthly Global Catastrophe Recap report from global professional services firm Aon.

The report, which evaluates the impact of the natural disaster events that occurred worldwide during October 2019, outlines how Typhoon Hagibis made landfall in Japan’s Iza Peninsula on October 12 before later sweeping through the greater Tokyo metro region. At least 95 people were killed, and more than 93,250 structures damaged or destroyed.

In the United States, extreme wildfire conditions marked by the seasonal return of Diablo and Santa Ana winds led to numerous fire ignitions across California from October 10-17. At least three people were killed and nearly a dozen others were injured. The most destructive fires included the Saddle Ridge Fire (Los Angeles County) and Sandalwood Fire (Riverside County). Total economic damage was expected to exceed USD100 million, with most of the losses covered by insurance.

Further extremely critical wildfire conditions resulted in numerous ignitions across Northern and Southern California from October 23 into early November. The most significant fires included the Kincade Fire (Sonoma County); Tick Fire (Los Angeles County); Getty Fire (Los Angeles County); Hillside Fire (San Bernardino County); Maria Fire (Ventura County), and the Easy Fire (Ventura County). The Kincade blaze prompted the largest evacuation on record in Sonoma County, and a statewide state of emergency was declared. Total economic and insured losses were expected to reach into the hundreds of millions (USD).

Meanwhile, a severe weather outbreak spawned nearly 30 tornado touchdowns, damaging winds, and large hail across the US plains and Southeast on October 20-21, killing at least four people. Most impacts were recorded in Texas, where a confirmed EF3 tornado with up to 140 mph (220 kph) winds struck several neighbourhoods in North Dallas. Further tornado and storm-related impacts were cited in parts of Arkansas, Oklahoma, Missouri, Louisiana, and Tennessee. Economic and insured losses were likely to reach into the hundreds of millions of dollars, if not higher.

Steve Bowen, director and meteorologist within Aon’s Impact Forecasting team, said: “Vulnerabilities around tropical cyclones, flooding, and wildfires were again exposed during October. Events such as Typhoon Hagibis in Japan and wildfires in California served as a reminder of the repetitive, or clustering, nature of certain perils on a year-to-year basis that can often be hard to predict. With ample exposure located in high-risk locations all around the world, it becomes increasingly important to utilize the latest tools available to better prepare for future weather and climate-related scenarios in both mature and developing markets.”

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