In most parts of the world, the most vulnerable people, communities and countries are grappling with multiple climate-related hazards simultaneously and incurring a spectrum of loss and damage, both economic and non-economic in nature. These include both extreme weather events that manifest rapidly and slow onset climatic processes, the impacts of which emerge over time but which can be even more severe in nature.

Extreme weather events like cyclones cause damage to housing and infrastructure and result in the loss of livestock and crops. They can also result in the loss of lives, profoundly disrupt livelihoods and displace households and communities, which results in both economic and non-economic loss and damage. Non-economic loss and damage includes, but is not limited to, the loss of culture and biodiversity, as well as repercussions for both physical and mental health.