Asia disasters leave 92% losses uninsured

Insured catastrophe losses totalled $5.2b in 2025 across the region.

Asia’s insured losses from natural catastrophes in 2025 reached $5.2b, driven mainly by exposure growth, including rapid urbanisation, infrastructure expansion, and the concentration of assets in flood-prone and coastal areas.

The majority (92%) of the loss burden was uninsured, showing large protection gaps, especially amongst lower-income markets constrained by affordability, access and weaker frameworks, according to Swiss Re’s “sigma” April report.

The region’s uninsured loss was below the prior 10-year average of $11.5b and the lowest in nine years.

Earthquakes, floods and tropical cyclones were the main drivers, causing insured losses of $1.9b, $1.7b, and $1.2b, respectively. 

This breakdown is in line with the region’s historical loss experience: since 1970, these three perils have accounted for more than 90% of Asia’s annual insured losses on average.

Historically, advanced Asian economies have 22% of their disaster losses covered by insurance, whilst emerging Asian markets cover only 5%.

Flooding remains the most expensive and fastest-growing risk. 

In 2025, floods accounted for $31b in total losses across the region. Insured losses from floods in Asia are rising by approximately 12% every year, which is double the global rate of 6%. 

Despite this growth, only 20% of flood-related damage in Asia is currently insured.