Top 5 Most Expensive Natural Disasters | Interstate Restoration
In purely human terms, the loss, devastation, and damage caused by natural disasters is immeasurable. Calculating the financial toll of earthquakes, hurricanes, and other catastrophes, however, provides a practical means of judging the impact of such events.
According to reports by the World Bank and the National Oceanic and Atmospheric Administration (NOAA), the top five most economically devastating natural disasters have occurred within the past two decades. In fact, the effects of the most expensive disaster in world history are still acutely felt by the people of Japan.
1. Japan’s Earthquake and Tsunami, 2011
The 9.0 magnitude earthquake, just off the coast of Sendai, Japan on March 11, 2011, caused an estimated 235 billion dollars in damage, and took the lives of at least 8,649 people. More than 13,200 others are still missing.
The earthquake and resulting tsunami leveled buildings throughout the area and damaged the cooling system of the Fukushima Nuclear Power Plant, creating a volatile state of affairs that compounded the effects of the disaster.
2. The Kobe Earthquake in Japan, 1995
Also known as the Great Hanshin earthquake, the 6.8 magnitude quake in Japan’s Hyogo Prefecture was the world’s deadliest catastrophe that year, killing nearly 6,500 people on January 7, 1995. The estimated cost of the quake was 100 billion dollars.
Japan’s economy was able to recover relatively quickly from this quake; within one year, the country’s trade industry was approaching normal levels of operation.
3. Hurricane Katrina in the United States, 2005
The hurricane season of 2005 was one of the greatest disasters in the history of the United States. Hurricane Katrina hit the Gulf Coast regions of Louisiana and Mississippi on the 25th of August that year.
The hurricane and resulting floods killed 1,836 people and left thousands of families homeless. By the end of the decade, efforts to rebuild homes were still underway, and thousands of the area’s residents were still being housed in temporary dwellings.
The total estimated damage of Hurricane Katrina is 81 billion dollars. Additionally, the disaster caused a loss of 41 billion dollars to the insurance industry, which was the largest loss ever created by a single event.
4. California’s Northridge earthquake, 1994
For ten to twenty seconds on Jan. 17, 1994, residents of Reseda, a suburb of Los Angeles, California, experienced a quake that took more than 60 lives and left another 25,000 homeless throughout the San Fernando Valley. Due to the location of its epicenter near a major U.S. city, the 6.0 magnitude Northridge earthquake cost an estimated 42 billion dollars in damage, making it one of the most expensive disasters in the country’s history.
5. China’s Sichuan Earthquake, 2008
An 8.0 magnitude quake struck the densely populated province of Sichuan on May 12, 2008, taking approximately 70,000 lives and leaving more than 18,000 persons missing. Direct losses from the disaster were estimated at 29 billion dollars, but indirect damage is presumed to be much higher.
Here at Interstate Restoration, we’ve responded to countless catastrophic events, including Hurricane Katrina. In the event that you are faced with the overwhelming damage and destruction left in the wake of a natural disaster, we can provide emergency mitigation and catastrophic storm response services to help you pick up the pieces and get you back to business as quickly as possible.