The German Insurance Association (GDV) forecasts that recent flooding in Bavaria and Baden-Württemberg will cost insurers about €2 bn.
The southern states of Bavaria and Baden-Württemberg have been inundated, causing dam bursts and prompting dramatic rescues. States of emergency have been declared in several areas with more heavy rain expected.
The heavy rains between May 31st and June 4th caused damage to homes, businesses, infrastructure, and farmland, leading to the evacuation of thousands.
Residents in the southern German states of Bavaria and Baden-Württemberg have been urged to exercise extreme caution Saturday as dramatic evacuations take place across the region.
GDV data shows that 47% of buildings in Bavaria and 94% in Baden-Württemberg have insurance coverage for all natural hazards.
The economic and insured losses are expected to be in the hundreds of millions of euros, potentially higher.
We expect insured damage in the region of around two billion euros. Because the floods in particular have not yet expired on the Danube, this estimate still attaches a certain amount of uncertainty
Jörg Asmussen, GDV Managing Director
Thunderstorm activity across various European regions may add tens of millions more in losses. Insurers have already faced significant flood-related claims in Germany this year. In December, floods affected northern and central Germany, while May floods hit Saarland and Rhineland-Palatinate.
The recent flooding in Bavaria and Baden-Württemberg is projected to cause about €2 bn in losses for the insurance industry, with this figure possibly increasing as damage assessments continue.
GDV priority is to assist those affected swiftly and efficiently. Insurers have special plans for such events, pooling their staff on-site and in administration to expedite claims processing
A weather system referred to as storm “Orinoco” by Germany’s Federal Agency for Technical Relief (THW) brought extremely heavy rain from 31 May 2024, in particular the states of Baden-Wuerttemberg and Bavaria.
The German Meteorological Service – Deutsche Wetterdienst (DWD) – said that some areas recorded more than a month’s worth of rain within 24 hours from 31 May 2024.
During this period the village of Zeisertsweiler in Sigmarszell District of Bavaria recorded 135 mm. Kißlegg in Baden-Württemberg saw 130 mm and Bad Wörishofen recorded 129mm. Further storms and heavy rain were expected.
by Yana Keller
