Key facts
- 2025 was the costliest year on record for wildfires globally.
- Wildfires accounted for 38% of all insured natural hazard losses worldwide.
- Severe blazes in densely populated areas like Los Angeles drove the record losses.
The increasing frequency and intensity of wildfires globally are having a significant financial impact on the insurance industry and economies. This trend is closely linked to climate change, with rising temperatures and altered weather patterns creating more favorable conditions for fires.