NZ sees major drop in insured catastrophe losses in 2024
New Zealand experienced one of its quietest years on record for natural disasters in 2024, with insured catastrophe losses dropping dramatically from the previous year.
According to Aon's 2025 Climate and Catastrophe Insights Report, the country saw insured losses fall from over AUD$3.6 billion in 2023 to near zero.
"This was a dramatic year-on-year decline," said James Knight, head of APAC, View of Risk Advisory at Aon.
"Last year was a welcome relief from 2023 where we had both the Auckland Anniversary weekend storms and ex-tropical cyclone Gabrielle in short succession, driving the highest insurance losses from weather events on record in the country."
Aon's global report provides analysis of natural disaster and climate trends and their human and financial impacts. While New Zealand's quiet year stands out in the Asia-Pacific region, the global picture in 2024 was far less calm. Worldwide, economic losses from natural disasters exceeded AUD$562 billion – more than 10 percent above the long-term average since 2000.
Despite the calm on the disaster front, insurance affordability remains a pressing issue for many New Zealanders.
"As with other products and services, insurance premiums remain high following significant global inflation in recent years," Knight said.
He emphasised that while claims may have eased in 2024, systemic issues continue to drive high premiums. "Given the high cost of insurance is unlikely to improve in the short term, it is vital to continue to focus on improving the resilience of homes and businesses to reduce some of the vulnerability in built environments," he said.
The report also cautioned against complacency, warning that the absence of disaster does not mean risk has disappeared. Aon urged New Zealanders to take advantage of the quiet period to prepare for future events.
"Now is the time for policyholders and businesses to invest in risk mitigation, adaptation and insurance preparedness," said Knight.
"Rather than seeing 2024's calm as a reason for complacency, New Zealanders should use this time to strengthen resilience before the next disaster strikes."
"Even small actions, such as regularly checking roofing, gutters and under the home can prevent severe damage in an event."
Aon's findings come amid broader discussions on the impacts of climate change and the insurance sector's capacity to respond.
The 2025 report highlights that while some areas saw fewer disaster events, others experienced record-breaking storms, floods and heatwaves, with global insured losses exceeding AUD$221 billion.
For New Zealand, the reprieve offers a moment to reflect and recalibrate. While the weather may have given the country a break in 2024, the challenges of risk, resilience and affordability remain firmly on the horizon.
