Natural calamities and the massive damage and disaster it entails are unavoidable. Nonetheless, we can reduce or even avoid the part of natural disaster that has the human handiwork behind it. Global warming is largely attributable to large-scale greenhouse gases emitted from burning fossil fuels. Global warming and the ensuing climate change is mainly responsible according to environmentalists and scientists to the current increase in the incidence of cyclones and hurricanes of devastating magnitude killing thousands and damaging billions of dollars worth property worldwide.
Munich Re the world’s second largest re-insuring company has found that natural catastrophes are increasing over the years with 2007 witnessing the highest number of calamities since 1974. The scale and magnitude of disaster was spread worldwide causing 75 billion dollars worth loss.
However, global warming and the cyclones and floods it is believed to bring with it are not the sole contributors of natural calamities. The most damaging event in terms of damage in property occurred in Japan in July this year resulted from an earthquake.
For insurers in the developed countries natural disasters is a costly affair as they have to give away billions of dollars worth in insurance payments. However, the citizens of the developing countries who hardly have any insurance cover on their lives and properties are the worst effected in the face of such catastrophes as it is extremely difficult to put together the scattered pieces of their lives together once the storm passes away or the flood water subsides.
Source: Yahoo!