Stormy Seasons in Bavaria, Baden-Württemberg, and Thuringia: Insurance Industry Struggles with 1.3 Billion Euros in Damages
Motor Vehicle Insurance Claims for Storm Damage Reach €1.3 Billion in 2024 - Severe Weather Event of 2024 Causes over EUR 1.3 Billion in Car Damage for Insurers
Get brace for a breakdown of the stormy year of 2024, where these three German federals states faced damaging storms that resulted in a hefty 1.3 billion euros in damages, according to the German Insurance Association (GDV). Bavaria, Baden-Württemberg, and Thuringia bore the brunt of the storms, with damages being not only more frequent but also more severe, averaging over 4,000 euros per event.
While the 2024 damage balance was "approximately in line with the long-term average", climate change is working to amplify the threat from natural hazards. GDV CEO Jörg Asmussen warned that recent years have shown an upward trend in the intensity of storm cells and hailstorms, which can cause extraordinary damage in a flash.
Cars suffer the most in such stormy events. If your car is insured with comprehensive or partial coverage, storm, hail, lightning, or flooding damages will be covered. However, those who only have third-party liability insurance for their vehicle will be on the hook for repair costs after a storm. This won't affect your personal no-claims bonus, GDV assures.
- Storm
- Insurance
- German Insurance Association (GDV)
- Bavaria
- Baden-Württemberg
- Thuringia
- Vehicle
- Climate Change
Hitting Home: Baden-Württemberg Leads the Pack
Baden-Württemberg reported the highest insured losses among the states, with EUR 1.601 billion in claims. This is partially due to the fact that natural hazard coverage, particularly for flooding, is more popular in Baden-Württemberg. The damages in Bavaria could be even higher, although specific figures remain elusive, possibly because of a lower uptake of comprehensive natural hazard insurance. Thuringia, while not explicitly quantified, is part of the broader region affected by these increasing natural hazard events.
Although vehicle damage is a significant component of overall claims, preventive measures and comprehensive climate adaptation strategies are needed to manage growing risks and reduce economic losses in the future. The experts are urging regions and governments to implement such plans to reduce damage from natural hazards and enhance infrastructure and vehicle resilience, rather than relying solely on insurance coverage.
Without these strategies, the trend of rising claims related to storms and vehicle damage is expected to continue as climate change effects intensify.
[1] Data source: German Insurance Association (GDV)
- The German Insurance Association (GDV) reported that in 2024, Baden-Württemberg suffered the highest insured losses among the three German states of Bavaria, Baden-Württemberg, and Thuringia, with a total of €1.601 billion in claims, largely due to the popularity of natural hazard coverage in the state, particularly for flooding.
- The insurance industry is grappling with mounting damages from storms, as the German Insurance Association (GDV) CEO Jörg Asmussen warned of an upward trend in the intensity of storm cells and hailstorms, which can cause enormous damage in a short period, as seen in the stormy year of 2024, resulting in 1.3 billion euros in damages across the three states.
- As experts urge regions and governments to implement comprehensive climate adaptation strategies to manage growing risks and reduce economic losses from natural hazards, the trend of increasing claims related to storms and vehicle damage is expected to continue, accentuated by the effects of climate change.
