U.S. industry holds on to hope for a more peaceful 2012
Following the disastrous 2011, U.S. insurers had hoped that 2012 would be a lenient year in terms of natural catastrophes. These hopes were dashed when 2012 hosted a series of unfortunate events in its early months. These disasters made headline throughout the world of insurance news and put the industry on notice. The early months brought many powerful storms that caused widespread damages, mostly in the Eastern and Southeastern U.S. In April, these storms proved particularly devastating.
Report shows that April storms brought large insured losses to the U.S.
Aon Benfield, a leading reinsurance and risk intermediary, has released the latest edition of its popular Global Catastrophe Recap report. The report makes note of the extent of natural disasters that have occurred over the past year, as well as those that have happened every recently. The report is highly regarded through the insurance industry as a reliable document that can show the challenges that insurers have had to deal with recently. This year’s report takes a look at the events that broke out in April, with a particular focus on the tornado outbreak that rocked states like Kansas and Missouri.
More than $1 billion in losses, according to Aon
According to the report, natural disasters in April alone caused more than $1 billion in insurance losses. Much of this damage was caused by a tornado outbreak. In this particular event, approximately 94 tornadoes touched down in the span of 72 hours. These tornadoes varied in strength and duration, but many made their way to cities where they caused significant damage to homes, businesses, and vehicles. The report also shows that 21 tornadoes and powerful hailstorms manifested throughout Texas. These catastrophes demolished 1,200 homes in the Dallas-Fort Worth area.
Insurers concerned with what 2012 still has in store for them
U.S. insurers have been facing a challenging year in terms of natural disasters. Some companies have reported receiving more than 100,000 claims that were spurred by the disasters of April. Some of these claims cost insurance companies over $650 million. This year is already shaping up to be a competitor with its predecessors in terms of catastrophes, a problem that many insurers are not enthusiastic about tackling once again.
