Disasters have killed 7000 people and led to insurance industry losses of $US20 billion ($22.15 billion) in the first half of this year, according to Swiss Re.

Natural catastrophes – mostly flooding – accounted for $US17 billion ($18.83 billion), while $US3 billion ($3.32 billion) was paid on man-made disasters.

Insurance covered less than half the total economic loss of $US56 billion ($62.01 billion), down from $US67 billion ($74.2 billion) in the first half of last year.

Floods led to $US8 billion ($8.86 billion) in insurance claims, meaning this year is already the second most expensive for flooding.

In June, floods in eastern Europe caused economic losses of $US18 billion ($19.93 billion) and claimed 22 lives. Insurance industry costs of $US4 billion ($4.43 billion) make it the second most expensive fresh-water event on record.

In the same month floods hit Alberta, Canada, generating insured losses of $US2 billion ($2.21 billion), the highest ever for the country.

Cyclone Oswald hit Queensland and NSW in January, creating $US1 billion ($1.11 billion) in insured losses. And in May, a tornado outbreak in the US Midwest killed 28 people and led to insured claims of $US1.8 billion ($1.99 billion).

“Flooding continues to wreak havoc across all areas of the world,” Swiss Re Head of Flood Risk Jens Mehlhorn said. “While we cannot stop future floods, we believe preventative actions can be taken to mitigate the overall impact of extreme weather events.”

Swiss Re Chief Economist Kurt Karl says while this year has been below average for losses, the North Atlantic hurricane season and winter storms in Europe “could still increase insured losses… substantially”.