50 years of nat cat risk research

A journey through the history of innovation and progress in the analysis of natural catastrophes

2 minutes read

Published 07/31/2024

Each year, natural catastrophes around the world destroy assets worth hundreds of billions of dollars. It is therefore crucially important for insurers to have a good understanding of the risks and current trends. Munich Re has always collected loss data from around the world and since the 1970s has pooled this expertise in one of the world’s biggest databases for losses caused by natural disasters.

Even back then, Munich Re experts were seeing plausible indications that a warmer climate as a result of greenhouse gases in the atmosphere could be influencing weather-related disasters. This was the trigger for Munich Re’s natural catastrophe risk research – which ever since has provided the backbone for the insurance of very large risks all over the world.

From its analogue beginnings on paper to the very latest digital risk analyses – Munich Re has been making significant contributions to the analysis of natural catastrophe risks for over five decades. With its expertise and insurance solutions, Munich Re helps equip the world to manage catastrophe risks more effectively.

Gerhard Berz

first and long-time Head of Munich Re’s Natural Hazards department (later: Geo Risks Research)

But, of course, risk management today is very different compared to fifty years ago.
A look back in time

^{Copyrights Scrollytelling 50 Yrs. Nat Cat risk analysis

1. © Munich Re, 2. © humanizr_AV / Getty Images, 3. © Munich Re, 4. © Munich Re,

5. © Munich Re / Marcus Buck, 6. © Munich Re, 7. © Gerhard Berz, 8. © Chad J.W. Anderson / Getty Images}

They draw on the company’s 50 years of experience in this field to generate new innovations and further refine risk models and systems, like our Location Risk Intelligence Software, which can forecast climate change-related losses for specific portfolios and different climate scenarios. Munich Re was and remains a pioneer in research on global natural hazards and catastrophes of all kinds, and of the role of climate change in weather-related catastrophes.

Location Risk Intelligence

In a growing number of regions around the world, the frequency or intensity – and in some cases, both – of devastating natural disasters like cyclones, wildfires, droughts and floods are clearly on the rise. With more than five decades’ experience in risk modelling and a profound understanding of data, we can now assess and quantify the risks in connection with natural disasters better than ever before. Relying on our expertise allows companies to make sound choices and develop solutions that reduce risk and boost resilience to climate change impacts.

Data is crucial to keep risks insurable. From newspaper clippings to AI, our team has been gathering data on natural catastrophes for 50 years. This has helped Munich Re and our clients navigate an increasingly complex environment and stay at the cutting edge of NatCat insurability.

Caoimhe Adams

Head of Climate Change Solutions

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But, of course, risk management today is very different compared to fifty years ago. A look back in time

But, of course, risk management today is very different compared to fifty years ago.
A look back in time