The financial impact of Typhoon Yagi in Vietnam is anticipated to press heavily on both domestic and international reinsurers, as detailed in a commentary by AM Best. The typhoon, which made landfall on September 7, has caused an estimated VND 40 trillion ($1.63 billion) in damages, primarily in northern regions including Hai Phong. Although the losses from insurance claims are expected to be lower than the overall economic damages due to Vietnam’s low insurance penetration, the tightening of reinsurance terms may lead to higher net retained losses for local insurers. The current death toll from the disaster has surpassed 250, with ongoing assessments regarding the full extent of damages.
