2025 Among Costliest Years for Climate Disasters: Report

Wildfires, cyclones, extreme rainfall, flooding and droughts across four continents ranked among the world’s 10 costliest climate disasters this year, causing combined economic losses of about $120 billion, according to a new report.

The report, published on Saturday by charity group Christian Aid, found that record-breaking heatwaves, powerful tropical cyclones and intense rainfall made 2025 one of the most expensive years for climate-related disasters. The analysis is based largely on loss estimates from insurance firm Aon.

At the top of the list were the devastating Los Angeles wildfires in January, which caused more than $60 billion in damage. While 31 direct deaths were officially recorded, an August study estimated that nearly 400 additional deaths were linked to the fires due to factors such as poor air quality and delayed access to healthcare. Researchers said climate change played a significant role in fuelling the fires.

The second-costliest disaster was a series of deadly storms and floods in South and Southeast Asia in late November, which killed more than 1,800 people. The flooding was triggered by two overlapping tropical cyclones that struck Indonesia’s Sumatra region and Peninsular Malaysia at the same time, causing an estimated $25 billion in damage. The report described it as one of the deadliest weather-related disasters in recent history, hitting one of the world’s most climate-vulnerable regions.

Flooding in China, India, Pakistan and Texas also featured among the top 10 disasters, along with four major tropical cyclones. The costliest of these was Hurricane Melissa in the Caribbean, the third-most intense Atlantic hurricane on record and the strongest to make landfall in the basin, resulting in losses exceeding $8 billion.

Christian Aid noted that many losses—such as damage to livelihoods, long-term environmental harm, lost income and permanent displacement—were not included in the analysis. As a result, the organisation said the true cost of climate disasters is likely far higher than insured loss estimates suggest.

Hottest decade on record

The report comes as scientists warn that human-driven climate change, caused mainly by greenhouse gas emissions, has increased the frequency and intensity of extreme weather events, including floods, storms, extreme rainfall and droughts.

The past decade has been the hottest on record, in line with rising greenhouse gas concentrations. While 2024 remains the warmest year globally, 2025 is expected to rank as the second- or third-warmest year, with 2026 also likely to feature among the four hottest years ever recorded.