PERILS, the Zurich-based catastrophe insurance data provider, has issued its fourth and final industry loss estimate for the floods that hit Central Europe and Italy between September 14 and 20, 2024. The final figure stands at €2.153 billion, slightly below the previous estimate of €2.192 billion.
The bulk of insured losses were recorded in Austria, the Czech Republic and Poland, with Italy and Slovakia also affected.
Triggered by the low-pressure system Boris, also known as Anett, the event brought prolonged rainfall across major river basins including the Danube, Elbe, Oder and Vistula, before sweeping south into Italy's Emilia-Romagna and Marche regions. In total, 30,000 people were evacuated and 29 lives were lost.
PERILS’ calculation drew on both its CORE and EXTENDED methodologies. The CORE approach scaled insurer loss data to market level, while the EXTENDED approach incorporated expert evaluation and other industry inputs. The combined framework is increasingly being used as a reference point in risk transfer transactions outside the US.
According to Luzi Hitz, product manager at PERILS, the event stood out for three reasons — accurate weather forecasts, reliable early loss estimates, and efficient claims handling by insurers and their reinsurance partners.
However, Hitz also pointed to ongoing challenges, including outdated policy conditions that can result in under-insurance and the low overall penetration of flood coverage across the region. PERILS estimated that only €2.15 billion of the €7.6 billion economic loss was insured.
For the insurance sector, the figures highlighted a growing protection gap. Flood remains one of Europe's most underinsured perils, particularly in Central and Eastern Europe, where penetration rates are significantly lower than for windstorm or earthquake. For reinsurers, this trend underscores a shift toward index-based solutions that offer greater transparency and efficiency in responding to large-scale catastrophes.
As climate change increases the frequency and severity of such events, industry experts warned that governments and insurers will need to collaborate more closely on resilience, from modernising policy terms to encouraging public-private partnerships.
Christoph Oehy, CEO of PERILS, said the event also showcased the relevance of combining CORE and EXTENDED methodologies for market transactions, citing their use in industry-loss deals spanning earthquakes in Japan and Chile to European windstorms.
