Climate, weather & costs

Extreme weather impacts cost more than $300bn in the US this year – significantly less than the catastrophic losses in 2024
Katie Hill - Editor-in-Chief, My Green Pod
Topographic Map of the Caribbean Sea with the clouds from October 29, 2025. Category 5 Major Hurricane Melissa approaching the Bahamas.

Main image: Topographic map of the Caribbean Sea with the clouds from October 29, 2025, as Category 5 Major Hurricane Melissa approached the Bahamas

Seven major weather disasters in the United States resulted in $378 billion to $424 billion in total damage and economic loss this year, according to preliminary estimates from AccuWeather® experts.

AccuWeather experts estimate that catastrophic impacts from Hurricane Melissa resulted in $48 billion to $52 billion in total damage and economic loss in the western Caribbean.

The experts estimate that nine weather disasters in the US in 2024 had a combined total damage and economic loss of $479 billion to $532 billion.

‘The financial impact from extreme weather in America this year is staggering, even without a single hurricane landfall or a major fire impacting a highly populated area during the peak of the wildfire season,’

JONATHAN PORTER
AccuWeather’s chief meteorologist

Seven costly weather disasters

The major weather disasters to strike the USA in 2025 are the LA wildfires (preliminary estimates of $250-275bn for total damage and economic loss); atmospheric river flooding and tornado outbreak in the central US (estimated $80-90bn); Hurricane Melissa in the Caribbean (estimated $48-52bn); Texas Hill Country flash flood disaster (estimated $18-22bn); winter storm on Gulf Coast (estimated $14-17bn); May tornadoes in central US (estimated $9-11bn); flooding in the Carolinas due to Tropical Storm Chantal (estimated $4-6bn) and coastal flooding from October tropical wind and rainstorm (estimated $3bn).

‘Millions of people across America are dealing with disaster fatigue. Families and businesses are struggling to rebuild and recover from flash floods, wildfires, tornadoes and other forms of extreme weather. The human impact is measured not just in the heartbreaking loss of life, but in higher insurance costs, rising rents and mortgages payments, lost jobs and long-term stress, physical and mental health challenges.

‘In recent years, our nation has faced destructive hurricane landfalls and major wildfires during the late summer and fall months. The lack of major weather disasters in the second half of this year has provided people and businesses with a much-needed break. Thousands of people and small businesses are still trying to recover from the catastrophic and costly impacts of extreme weather in 2024.’

JONATHAN PORTER
AccuWeather’s chief meteorologist
 

‘We cannot rely on seasonal norms’

This is the first year that the costliest weather disasters occurred during the first half of the year, since AccuWeather experts started to issue preliminary estimates of total damage and economic loss for extreme weather events in 2017.

‘The most destructive and costly weather disaster in the US struck in the very first days of the year. Wind-driven infernos swept through neighbourhoods near Los Angeles and Malibu, including some of the most expensive real estate in the country. Thousands of homes and businesses were destroyed.

‘The January wildfires intensified the ongoing insurance affordability and availability crisis in California. A historic and disruptive winter storm brought snow and ice to the Southeast and Gulf Coast in January. A rare atmospheric river funnelled months’ worth of rain into the central US in a matter of days, triggering widespread flooding in April. Severe weather outbreaks produced dozens of destructive tornadoes in May, including one tornado that ripped through parts of the St. Louis metro area.

‘Dozens of lives were tragically lost to extreme weather in the first half of this year. The recovery could take years, if not a decade or longer, in some of the hardest-hit communities.

‘It was quite unusual to see the costliest weather disasters happen during the first half of the year. They typically happen in the late summer and fall months, during the climatological peaks of hurricane and wildfire seasons. Every year and every season brings its own unique risks. We cannot rely on statistics and seasonal norms to gauge our vulnerability, especially as our climate continues to warm.’

JONATHAN PORTER
AccuWeather’s chief meteorologist

Climate & extreme weather

AccuWeather climate experts say agriculture, supply chain logistics, tourism and travel have faced major financial setbacks and disruptions due to extreme weather over the past two years.

‘A warmer atmosphere can hold more moisture, which in turn can unleash extreme rainfall rates that rivers, streams and ageing drainage systems were never designed to handle. At the same time, rising ocean temperatures are extending the window for tropical development later into the fall and even into early winter. The combination of warmer air and warmer oceans is contributing to more frequent and more intense flash floods, more destructive hurricanes and longer wildfire seasons in parts of the country.’

BRETT ANDERSON
AccuWeather climate expert and senior meteorologist

An AccuWeather climate analysis released in November found that extreme rainfall events have increased dramatically in the contiguous US over the past 30 years, even as average annual precipitation has decreased by 2.7% during the same period.

The findings highlight a growing paradox: more intense downpours and larger storms are driving an increased risk of destructive and deadly flash flooding, while the overall decline in yearly precipitation is worsening stress on agriculture and raising the long-term risks of drought and wildfires.

‘More people, homes and businesses are in harm’s way as development pushes into flood-prone river valleys, fire-prone hillsides and low-lying coastal areas. The odds of high-impact weather disasters increase when you factor in a warmer climate and hotter oceans.’

BRETT ANDERSON
AccuWeather climate expert and senior meteorologist
 

According to global average temperature data, 2025 is currently on track to become the second-hottest year on record, likely tying 2023 and pacing just behind 2024.

Research is also linking extreme weather events in America to more long-term health issues, leading to costly medical expenses for more people.

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