Insured losses from natural catastrophes fell to $US39 billion ($47.71 billion) last year, a five-year low and 38% below the 10-year average, according to Aon Benfield subsidiary Impact Forecasting.

The largest single insured loss events were thunderstorms in Europe in June, costing $US3 billion ($3.67 billion), and the US in May, costing $US2.9 billion ($3.55 billion).

Aon Analytics CEO Stephen Mildenhall says catastrophes accounted for 8.6% of global property premium last year, compared with the 10-year average of 13.9%.

Floods, tropical cyclones and severe weather were the top three perils.

Mr Mildenhall says the industry, with its abundant capital and increasingly sophisticated risk management, is better positioned than ever to provide protection.

The report says weather catastrophe losses will continue to increase amid economic growth and more people moving to coastal areas.

The global population has surged from 2.6 billion in 1950 to 7 billion in 2011, with 44% living within 150 kilometres of a coastline.

More than 1 billion people live in low-lying areas along the Pacific and Indian Ocean coasts.