Extreme weather events used to be rare—they are severe natural catastrophes at the extreme ends of historical patterns. But the climate crisis is making the extreme the norm. In 2023, severe weather struck across Europe. Heatwaves baked France, Romania, and Belgium. Northern, Central, and Southern Europe endured lengthy droughts that devastated crops. Violent storms battered the west, while widespread flooding caused billions of euros in damages. Italy alone recorded more than 350 severe weather events.
As the insurance industry grapples with the risks posed by climate change, Milliman’s annual research looks at the short- and long-term impacts of the 2023 extreme weather events in Europe. We also track how policymakers and insurers are responding, and offer actionable steps to help stakeholders develop a climate risk management framework.