Insurer Universal estimates nearly $1 billion loss from Hurricane Ian

Universal Insurance Holdings

11/10/2022 22:18

Oct 11 (Reuters) - Florida-based Universal Insurance
Holdings Inc  UVE.N  on Tuesday forecast a gross loss of nearly
$1 billion from Hurricane Ian, some of which will be covered by
its reinsurance program.
    "To date, we've received approximately 18,000 claims,
roughly half the number of Hurricane Irma claims received at
this point," the company said in a statement.  
    Shares of the property and casualty insurer were up nearly
2% in extended trading after it said the loss was well below its
$3 billion overall reinsurance cover.    
    According to U.S. property data and analytics company
CoreLogic, insurers are bracing for what could be the costliest
Florida storm since Hurricane Andrew in 1992, with impact
estimated to be between $28 billion and $47 billion.
    "Hurricane Ian will forever change the real estate industry
and city infrastructure. Insurers will go into bankruptcy,
homeowners will be forced into delinquency and insurance will
become less accessible in regions like Florida," said Tom
Larsen, associate vice president, Hazard & Risk Management,
CoreLogic.
    Risk modeling firm Verisk says insurers could take a hit of
up to $57 billion due to wind, storm surge and inland flood
losses resulting from Ian's landfalls. 
    As of Oct. 2, at least 85 storm-related deaths have been
confirmed since Ian crashed ashore Florida's Gulf Coast with
catastrophic force in late September, while embattled residents
in Florida and the Carolinas face a recovery expected to cost
tens of billions of dollars.
 (Reporting by Bhanvi Satija in Bengaluru; Editing by Krishna
Chandra Eluri)
 ((Bhanvi.Satija@thomsonreuters.com; Outside U.S. +91
9873062788;))