Marked by devastating hurricanes and cold snaps in the United States, 2021 proved the second-most costly year on record for the world's insurers, Munich Re said on Monday, warning that extreme weather was more likely with climate change.

Insured losses from natural catastrophes totalled around $120 billion last year, second only to the $146 billion in damages during the hurricane-ridden year of 2017.

The annual tally by Munich Re, the world's largest reinsurer, is higher than...