MILLIRE_2019_Annual Report

Milli Re Annual Report 2019 56 China was also severely impacted by floods in 2019. Meiyu front, bringing along heavy seasonal rainfalls, caused flooding in the Yangze river basin which affected the Guizhou, Jiangxi, Guangxi and Guangdong provinces in particular. The floods which started in June and lasted until the end of August, caused more than 200 thousand dwelling damages as well as impacting more than 430 thousand hectares of farmland. The total economic burden from the flood is estimated to rise above USD 8.5 billion. In the second half of the year, as the hurricane season began, a series of typhoons have been recorded in the region. Typhoon Lekima, being the first significant event of the 2019 Pacific hurricane season and affecting many regions, especially Zhejiang province of China between the dates August 10 th to 11 th with maximum sustained wind speed of 175 km/h; made its landfall on August 10 th by weakening down to Category 2 and caused the severest rainfalls recorded in the country since 1952. While floods arising from the record-breaking amounts of precipitation caused heavy damages in housing, highway and infrastructure; many sectors such as telecommunication, tourism, industry and transportation were severely impacted as well. Total economic losses are estimated to be USD 8.1 billion, yet the insured losses are expected to remain around USD 840 million. In 2019, Japan had the most severe losses from a series of devastating hurricanes on a global scale. Reaching Category 2 with a wind speed of 170 km/h, Typhoon Faxai was recorded as the first major catastrophe of the season affecting the country. Making its landfall in Yokosuha on September 9 th and taking control of the capital and the east coast of Tokyo Bay area as well as affecting Chiba, Kanagawa and Shizuoka prefectures, the typhoon caused substantial levels of commercial losses in addition to the heavy damages on power lines, farmlands and houses. In terms of its intensity, while it was similar to Typhoon Jebi which affected Shikoku prefecture of the country last year, total economic loss from Faxai is estimated to be around USD 9.1 billion, of which USD 7 billion is expected to be insured. Typhoon Hagibis, which occurred soon after Faxai in October and devastated the country, was the costliest natural disaster recorded worldwide in 2019. On October 5 th , starting as a tropical depression off the Mariana Islands and reaching Category 5 from time to time during its course of the event, Hagibis weakened down to Category 2 level on October 12 th and made its landfall on Japan in Izu Peninsula, with a windspeed of 132 km/h. Hagibis, being the strongest typhoon recorded in the country for the last 60 years, impacted the eastern Japan, especially Tokyo. Services like transportation, infrastructure and power distribution were disrupted as a consequence of the flood, whilst inundation and landslide were caused by the heavy rainfalls. Typhoon Hagibis is estimated to give rise to a total economic loss of USD 17 billion and USD 10 billion of insured loss. GLOBAL REINSURANCE MARKET AND MİLLİ RE The total economic loss arising from Typhoon Hagibis, which was the costliest natural disaster recorded worldwide in 2019, is estimated to be USD 17 billion. 17 In 2019, Japan was the most severely affected country from global scale catastrophes.