The very limited instrumental record makes extensive analyses of the natural variability of global tropical cyclone activities difficult in most of the tropical cyclone basins. However, in the two regions where reasonably reliable records exist (the North Atlantic and the western North Pacific), substantial multidecadal variability (particularly for intense Atlantic hurricanes) is found, but there is no clear evidence of long-term trends. Efforts have been initiated to use geological and geomorphological records and analysis of oxygen isotope ratios in rainfall recorded in cave stalactites to establish a paleoclimate of tropical cyclones, but these have not yet produced definitive results. Recent thermodynamical estimation of the maximum potential intensities (MPI) of tropical cyclones shows good agreement with observations. Although there are some uncertainties in these MPI approaches, such as their sensitivity to variations in parameters and failure to include some potentially important interactions such as ocean spray feedbacks, the response of upperoceanic thermal structure, and eye and eyewall dynamics, they do appear to be an objective tool with which to predict present and future maxima of tropical cyclone intensity. Recent studies indicate the MPI of cyclones will remain the same or undergo a modest increase of up to 10%-20%. These predicted changes are small compared with the observed natural variations and fall within the uncertainty range in current studies. Furthermore, the known omissions (ocean spray, momentum restriction, and possibly also surface to 300-hPa lapse rate changes) could all operate to mitigate the predicted intensification. A strong caveat must be placed on analysis of results from current GCM simulations of the "tropical-cyclone-like" vortices. Their realism, and hence prediction skill (and also that of "embedded" mesoscale models), is greatly limited by the coarse resolution of current GCMs and the failure to capture environmental factors that govern cyclone intensity. Little, therefore, can be said about the potential changes of the distribution of intensities as opposed to maximum achievable intensity. Current knowledge and available techniques are too rudimentary for quantitative indications of potential changes in tropical cyclone frequency. The broad geographic regions of cyclogenesis and therefore also the regions affected by tropical cyclones are not expected to change significantly. It is emphasized that the popular belief that the region of cyclogenesis will expand with the 26°C SST isotherm is a fallacy. The very modest available evidence points to an expectation of little or no change in global frequency. Regional and local frequencies could change substantially in either direction, because of the dependence of cyclone genesis and track on other phenomena (e.g., ENSO) that are not yet predictable. Greatly improved skills from coupled global ocean-atmosphere models are required before improved predictions are possible.

Flood disasters account for about a third of all natural disasters throughout the world (by number and economic losses) and are responsible for more than half of the fatalities. Trend analyses reveal that major flood disasters and the losses generated by them have increased drastically in recent years. Co-operation between the state, the affected population and the insurance industry assumes a key role with regard to the flood hazard. Scientists, engineers and insurers must work together in formulating their requirements and shaping them in such a way that politicians can derive clearly recognizable policy options (e.g. land use restrictions) from them. Another important aspect is stepping up the efforts being made towards curbing climate change, which will otherwise exacerbate the risk in the future.

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Windstorm disasters (including storm surges) account for about one-third of all natural disasters throughout the world (by number, fatalities and economic losses), but for more than two-thirds of the corresponding insured losses. Trend analyses reveal that major windstorm disasters and the losses generated by them have increased drastically in recent decades. Risk partnership between the state, the affected population and the insurance industry assumes a key role with regard to the windstorm hazard. Scientists, engineers and insurers must work together in formulating their requirements and shaping them in such a way that politicians can derive clearly recognizable policy options (e.g. land-use, restrictions, design-code adjustments) from them. Another important aspect is stepping up the efforts being made towards curbing climate change, which will, otherwise, exacerbate the risk in the future.

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