Swiss Re Insurance-Linked Fund Management

Original Risk: A Society for Change Agents

Jebi officially the largest Japan typhoon insured loss ever


Typhoon Jebi has now officially become the largest Japan typhoon related insurance and reinsurance market loss on record, as the amount of insured claims paid for the storm have now reached almost $5.2 billion.

Typhoon JebiThe latest data from the General Insurance Association of Japan (GIAJ) shows that typhoon Jebi has now resulted in a massive 825,091 accepted insurance claims, 108,928 from automobiles, 694,310 from property fire insurance policies and 21,853 from other miscellaneous lines of business.

The resulting claims paid total has reached more than 585.1 billion Japanese Yen, equivalent to roughly US $5.2 billion, with around $475 million driven by auto losses, almost $4.7 billion from property damage claims and just over $90 million from other lines.

The new claims paid total of almost $5.2 billion puts typhoon Jebi above the previous record loss from a typhoon in Japan, which was typhoon Mireille in 1991, which drove just over $5 billion of losses.

The data from the GIAJ only includes that collected from domestic Japanese insurers, so does not include foreign insurers or reinsurance firms.

The industry is expecting that typhoon Jebi’s industry loss will actually settle somewhere around $8 billion, so it’s clear that this has been a very impactful event and it did drive some ILS fund losses in recent weeks.

In addition, the latest data related to typhoon Trami is also available and the GIAJ said that based on 379,697 accepted claims, the total amount of claims paid now sits at almost 187.4 billion Japanese Yen, equivalent to almost US $1.7 billion.

Typhoon Trami loss estimates typically range from $2 billion to as much as $4 billion, we understand.

So between just these two Japanese typhoons that struck the country in recent months the industry has paid almost US $7 billion of claims, while the total global re/insurance industry loss from the two events looks destined to settle above $10 billion.

Typhoon Trami also had an impact on some ILS funds and private ILS positions, coming soon after Jebi and pushing some insurers to strengthen their calls on reinsurance program support.

Japanese insurers had been buying more aggregate reinsurance protection in recent years and given the catastrophe activity experienced in 2018 it’s understood a number of these arrangements have faced losses.

Artemis Live - ILS and reinsurance video interviews and podcastView all of our Artemis Live video interviews and subscribe to our podcast.

All of our Artemis Live insurance-linked securities (ILS), catastrophe bonds and reinsurance video content and video interviews can be accessed online.

Our Artemis Live podcast can be subscribed to using the typical podcast services providers, including Apple, Google, Spotify and more.

Print Friendly, PDF & Email

Artemis Newsletters and Email Alerts

Receive a regular weekly email newsletter update containing all the top news stories, deals and event information

  • This field is for validation purposes and should be left unchanged.

Receive alert notifications by email for every article from Artemis as it gets published.