The country's summer storm season typically begins mid-June. Using internal data and damage reports related to natural hazards, Helvetia Schweiz has tracked how such events have evolved over the past thirty years. The findings reveal a striking surge in severe weather-related damage over the last decade. Between 2015 and 2024, the number of claims increased by 126 percent compared to the period from 1995 to 2004. Even more concerning, the total cost of damages rose by 133 percent over the same timeframe. This figures were published in a press release on Thursday.

The data indicates a significant increase in the number of major natural events. The increase in floods was the most moderate, with 26 percent more cases and 33 percent higher claims volumes. The main reason for this was the increase in the value of insured buildings and goods. Thanks to billions invested in flood protection, major damage was prevented. Nevertheless, floods and inundations accounted for around a quarter of all natural damage between 2015 and 2024.

Hail Dominates the Damage Balance

The increase in hail damage is particularly striking. Reported hail damage has risen by 366 percent in the last 10 years compared to the same period last year, while the amount of damage has increased by 490 percent. Hail thus became the biggest cost driver between 2015 and 2024, accounting for over 51 percent of all indemnities paid by Helvetia. «In addition to the increased frequency and intensity of hail events, the increasing size of the hailstones is primarily responsible for the exponentially growing loss amounts,» explains Patrick Rohner, Head of the Non-life Claims Center at Helvetia Switzerland. Added to this are higher property values and higher investments in systems such as solar panels.

Storms (+38 percent cases, +50 percent costs) as well as landslides and rockfalls (+24 percent cases, +72 percent costs) are also recording rising figures, whereby the loss amounts have increased significantly more than the number of events.

Climate Change as a Driver

«We expect the number of claims to continue to rise in the future as a result of climate change. The ongoing warming is not only leading to more frequent and more intense storms; the melting of the permafrost in the Alps in particular is fundamentally changing the threat situation», says Adrian Kollegger, Head of Non-Life and member of the Executive Management of Helvetia Switzerland.

The expansion of infrastructure, increasing urbanization and the development of new areas will also increase risks in the future.

Models Under Pressure to Adapt

The insurance industry has so far been able to assess natural hazards through precise modeling and manage premiums accordingly. According to Helvetia, however, classic models, which are primarily based on historical data, are reaching their limits in the face of increasing extreme events. The increase in natural disasters calls for a strategic change. In future, forward-looking approaches, the use of artificial intelligence and an intensive exchange between primary insurers and reinsurers will be required.

New, improved models will make it possible to realistically assess risks and guarantee sustainable premiums, even in the non-regulated area, the report continues. At the same time, there is a growing need for prevention, personal advice and local support.