Increased expenses for insurers due to each lightning strike being more costly than in past years.
In a revealing report published by the German Insurance Association (GDV), it has been confirmed that the total damage sum from lightning and surge damage in 2020 reached an unprecedented 260 million euros. This represents a significant increase of 10 million euros compared to the previous year.
The report indicates that despite a decrease in the number of lightning incidents, the total insurance payouts for lightning damage increased in 2020. This anomaly can be attributed to the fact that individual incidents resulted in more severe or costly damage, leading to higher overall claims costs.
Jörg Asmussen, CEO of GDV, attributes this trend to increasingly complex building technology. As homes and households become better equipped, the potential for more substantial damage following a lightning strike increases.
The report also reveals that the average claim for lightning damage in 2020 was 1,300 euros, the highest ever recorded. This is likely due to the fact that modern homes often contain more expensive electronics and systems, such as heating and blind control systems, which can be severely affected by a lightning strike.
Interestingly, 2020 also saw the lowest number of lightning damage incidents since records began in 1998, with only 200,000 incidents reported. This suggests that while the frequency of incidents may be decreasing, the severity of each incident is on the rise.
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We hope this article provides you with a better understanding of the increasing costs associated with lightning damage and the factors contributing to this trend. For more detailed information on the GDV's 2020 report, we recommend visiting their official website or publications.
Other insurance sectors might observe a similar trend as the finance associated with lightning damage escalates. The increased complexity of modern buildings could necessitate higher coverage for potential damage.
