Extreme Heat: The Emerging Deadly Risk, According to Swiss Re's SONAR Report

Swiss Re's 2025 SONAR report highlights extreme heat as a leading global peril, surpassing the death toll of earthquakes, floods, and hurricanes combined. Each year, up to half a million people die due to extreme heat, challenging industries such as energy and telecommunications.

The report stresses the broader impacts of heat-related risks, which include increased wildfires, healthcare strains, and agricultural challenges. Liability risks also arise as legal actions against corporations for heat-related damages grow. Wildfires alone have caused insured losses of USD 78.5 billion from 2015 to 2024.

Swiss Re also examines the rise in AI-related incidents, marking a 60% increase from 2023 to 2024, showcasing the need for insurers to understand these evolving risks.