A clearer understanding of climate- and weather-related risk is imperative

Climate change is one of the biggest challenges facing humankind. 2023 was the hottest year on record. Extreme temperatures fuelled weather disasters that would have been less likely in a world without global warming. Losses from severe thunderstorms both in the USA and in Europe reached record highs.

Against the background of ever-increasing evidence of the climate impact on weather disasters, we were keen to find out: Do companies, the public, and the authorities feel prepared?

The results of our Climate Risk Preparedness Survey 2023/24 offer valuable insights into how climate-related risks are perceived and navigated differently around the world. They also provide impulses on where further investment in prevention measures and integration of insurance mechanisms into comprehensive risk management strategies may be needed.

Overall, the concern about climate change is very high, while the willingness to invest in prevention is lower, but visible. Especially notable: Respondents who have been affected by weather disasters in the past expressed a greater level of concern for the future. Moreover, their concern has even risen strongly in recent years, and they are more willing to invest in preventing losses.

Policymakers, policyholders and the insurance industry itself therefore can only benefit from the insights and conclusions that can be drawn from the Climate Risk Preparedness Survey:

How is the world preparing for and responding to climate risk?

In today’s rapidly changing climate landscape, the urgency of climate and weather-risk preparedness cannot be overstated. As extreme weather events become more frequent and severe in many regions around the globe, the resilience of societies and economies is putting the topic of preparing for and responding to increasing climate risks in the spotlight.

Building resilience through awareness and preparedness

Talking climate change since 1973 – Munich Re’s approach

For fifty years, Munich Re has dedicated itself to analysing the impacts of climate and weather variations and consequences. Our focus extends to understanding the associated risks, emphasising loss prevention, and innovating new risk transfer concepts. Our goal is to grasp shifts in risk dynamics early on and refine our risk models accordingly in order to offer our clients the accustomed level of risk capacity.

Get access to detailed and valuable insights from our Climate Risk Preparedness Survey 2023/24. Take the opportunity to gain a better understanding of global differences in climate and weather-risk preparedness perceptions and the motivating factors for taking out (or not taking out) insurance. Learn more about how awareness and preparedness is perceived by country, job position, company size and industry.