Heatwave health risks threaten insurer earnings, rating agency S&P warns

The growing proportion of older people in Europe’s population suggests heat-related deaths on the continent are likely to rise, S&P said. Photograph: Anadolu/Getty Images

Europe’s intense heatwaves could hit insurers’ earnings as companies face a rise in claims linked to heat-related deaths and worsening health conditions, the rating agency S&P has said.

While a long summer of extreme heat will have increased drought and wildfire-related claims, the rating agency said there would also be fallout for life and health insurers, and for the reinsurers who provide financial protection to insurance companies.