Joplin tornado could cost insurers as much as $2 billion, say regulators

Several months have passed since a devastating tornado struck the city of Joplin, Missouri. The tornado was classified as an F-5, the highest classification of tornado, causing an unprecedented level of damage to the small city. The natural disaster struck a heavy blow against the insurance industry which has, to date, paid out more than $1 billion in claims. This number, however, is expected to double by the time insurers settle all outstanding claims, according to the Missouri Insurance Department. The Joplin tornado was one of the worst natural disasters…

Read More
Consumers shopping around for bette...
➡️ WATCH TOP INSURANCE NEWS STORIES IN: ENGLISH & SPANISH

Insurers will make over $2.2 billion in payments for Joplin claims

To date, insurers have made more than $2 billion in payments to cover claims relating to the tornados in Joplin. According to the organization that assembles catastrophe insurance loss predictions, Property Claims Services, the total payouts for the Joplin disaster should pass the $2.2 billion mark. Insurance Information Institute spokesperson, Robert Hartwig, said that this amount is where the numbers from the payments are headed, and it is what insurers are expecting to have to pay. This includes “actual dollars disbursed, plus the dollars insurers have earmarked or put in…

Read More

Missouri Department of Insurance says Joplin disaster will be the most costly insurance payout in state history

Joplin Tornado

In late May, a small town in Missouri known as Joplin was ravaged by a powerful tornado. The damage caused to the town left many without homes or work and proved to be the most costly disaster in the state’s history. Federal agencies, insurance companies and emergency services rallied together to help those in need and steer the city toward recovery, but the road is long and the costs of recovery continue to mount. Officials with the Missouri Department of Insurance now say that the disaster is responsible for the…

Read More

Massachusetts tornado outbreak caused $90 million in damages just for homes

Last week, Massachusetts fell victim to an outbreak of violent tornados, causing $90 million in damage, according to Barbara Anthony, undersecretary of the Office of Consumer Affairs and Business Regulations. The tornados were focused in the Western region of the state, causing damage on an enormous scale. These recent figures, says Anthony, accounts only for the damage done to homes and does not factor auto and business claims. To date, more than 5,000 insurance claims have been filed, many coming from residential areas. More claims come in on a daily basis.…

Read More

Missouri insurance rates expected to go up

The past month has been trying for residents of Missouri. Storms late in April sent the Mississippi River on a rampage. Miles of farmland were inundated with water, causing billions in damage and displacing the state’s farmers. Those same storms were accompanied by an outbreak of tornados that tore through much of the region. The now infamous Joplin tornado – the most deadly and destructive tornado in six decades – that sundered a town and left hundreds without homes was the last of the environmental onslaught. Together, these disasters will…

Read More

Joplin tornado auto claims reach an estimated 18,000 so far

The devastating tornado that recently hit Joplin, Missouri not only destroyed hundreds of homes, but also took thousands of vehicles leaving residents in destitute. Springfield News-Leader reported that as of the 1st day of June, insurance claims for lost vehicles in Joplin have reached 9,000. This is indeed an enormous figure showing the devastation left by the tornado that recently wrecked havoc in this part of Missouri.  The number of victims trying to cope with the devastation brought by the tornado is increasing day by day in terms of transportation.…

Read More

Joplin tornado outbreak one of the most violent ever seen

Joplin, Missouri, is still reeling from a massive tornado that touched down late Sunday evening. The tornado is the deadliest since 1947, claiming 123 lives. That number is expected to rise, however, as rescue workers continue to sift through the wreckage. The insurance industry has responded well to the disaster, coming off the heels of April’s calamitous storms. EQECAT, a catastrophe modeling firm, has released their initial estimates of how much the disaster will cost insurers: $3 billion. Joplin stood directly in the path of the tornado, which first formed…

Read More