US insurance giant Progressive released financials for August that revealed a total of $80mn in reinsurance recoverables for August cat losses including hurricanes Isaias and Laura.
Teddy has become the second major hurricane of the 2020 Atlantic season and could become the second storm in a week to impact Bermuda over the weekend.
Hurricane Sally is unlikely to be a major insurance loss for the private market because it is more of a flood event covered by the National Flood Insurance Program (NFIP), but the federal backstop’s cat bonds and reinsurers are potentially exposed, AM Best has commented.
Flooding in Japan in July has led to insurance payouts of 68.4bn yen ($653.2mn), according to a provisional tally by the General Insurance Association of Japan.
Hurricane losses of $630mn represented close to two thirds of Allstate’s August pre-tax catastrophe loss bill of $985mn.
Hurricane Sally’s unexpected strengthening prior to landfall will likely mean another billion-dollar insurance industry loss event, BMS senior meteorologist Andrew Siffert has warned.
Early damage indications suggest insured losses from Hurricane Sally may be higher than initially anticipated with widespread wind damage in and around Pensacola likely to drive up the cost of the event.
Moody’s has estimated current insured losses from wildfires in California, Oregon, Washington and other western states at between $5bn and $8bn, with the ratings agency expecting reinsurance pricing for western wildfires to continue to increase next year as a result.
French mutual Covéa and Swiss Re have appointed arbitrators over the reinsurer’s refusal to cover up to Eur1bn of non-damage business interruption claims paid out as a result of the Covid-19 pandemic, according to reports.
Hurricane Sally has made landfall this morning as a Category 2 hurricane in Gulf Shores, a resort city with a population of around 10,000 situated on the Alabama coastline.
National Security Fire & Casualty (NSFC) is facing gross losses of between $5.5mn and $6.5mn from Hurricane Laura, although its reinsurance programme will cut its net exposure to the event to some $2.25mn on a pre-tax basis.
RSA has estimated it will face a net impact of around £85mn ($110mn) related to the High Court judgment in the Financial Conduct Authority’s (FCA) test case on Covid-19 claims following this morning’s verdict.
Hurricane Sally continues to slowly track towards the US Gulf Coast this morning with the storm’s likely landfall location having shifted eastward overnight.
Five tropical systems are now active in the Atlantic with Tropical Storm Sally expected to become the latest US landfalling hurricane in the coming days.
Reinsurance giant Hannover Re expects a “mid-double-digit-million euro” loss from the August explosion at the Port of Beirut and pegged the total insured market loss at circa $1bn.
Tropical Storm Sally is expected to become a hurricane later today as it approaches the Gulf Coast, threatening the New Orleans metropolitan area with severe storm surge and hurricane-force winds.
Insurers will likely cover more than half of the $6.5bn economic damage from the severe storms which impacted the US Midwest between 8 and 12 August, according to Aon’s monthly catastrophe recap.
Century 21 has blamed its insurers after filing for Chapter 11 bankruptcy, with the iconic New York City discount designer store stating its carriers have failed to pay out on $175mn of Covid-19 related business interruption claims.