Czech Insurance Companies Experience Decrease in Natural Disaster Claims

Czech insurance companies have reported fewer claims from natural disasters this year than the previous year, although the total value of the claims is approaching last year’s figures. Storms and hailstorms caused the most significant damage.

According to a survey conducted by ČTK, among the most significant domestic insurance companies, Moravia was the most affected region this year. At the same time, in 2022, it was the southern part of the country.

Generali Česká pojišťovna, one of the major insurance providers, dealt with 24,350 insurance events with an estimated value of two billion Czech koruna this year. In the same period last year, there were 40,933 claims amounting to 2.7 billion Czech koruna. “It is evident that while storm damage is the most prevalent, hailstorms, on the other hand, cause the highest damages,” said Jan Marek, a spokesperson for the insurance company.

“The numbers from the last two years show that each year is truly different. Storms and hailstorms remain the natural elements that cause the most damage in the Czech Republic. Hailstorms result in the highest overall financial losses. The consequences of heavy rainfall have also been added this year, whereas last year, it was predominantly floods,” Marek added.

While northern and southern Moravia have suffered the most from natural disasters this year, the entire southern region of the country was the most affected last year. “By this time last year, we had almost twice as many claims as this year. And although there are fewer claims this year, their value is high compared to last year’s period,” he concluded. One of the fallen trees in Zlín damaged a car in August.

Kooperativa, another leading insurance company, has recorded 16,400 natural disaster-related insurance events amounting to 1.25 billion Czech koruna this year. According to spokesperson Milan Káňa, storms and heavy rainfall caused the most damage, with 6,300 claims. In 2022, there were 33,160 claims amounting to 1.9 billion Czech koruna, while in 2021, there were 31,400 claims totaling 2.42 billion Czech koruna. The tornado in southern Moravia significantly impacted the claims in 2021.

In comparison to previous years, Česká podnikatelská pojišťovna described this year as relatively calmer. The volume of storm-related claims reached 166 million Czech koruna in the first nine months. “In 2022, we paid out 313 million Czech koruna to clients for these claims, 612 million Czech koruna in 2021, and 244 million Czech koruna in 2020,” said Reneta Čapková, a spokesperson for the insurance company.

During the first half of this year, Allianz clients reported over 5,000 claims amounting to 170 million Czech koruna. However, the volume of natural disaster claims increased in July and August, with approximately 2,000 additional claims totaling 170 million Czech koruna, according to spokesperson Marie Petrovová. In 2022, there were 18,300 claims with a total value of 750 million Czech koruna.

Uniqa Insurance company’s statistics showed a 26% decrease in storm-related claims from June to the end of August compared to the previous year. However, August was still a strong month for storms, stated spokesperson Eva Svobodová. Regarding the volume of claims, this year’s season is estimated to result in more than a fifth increase in insurance payouts.

This year, Czech insurance companies have faced various challenges due to natural disasters, but their ability to handle claims and mitigate damages has proven effective. Despite the changing patterns of storm damage, the insurance industry continues to play a crucial role in providing financial support and stability to individuals and businesses affected by these events.