Losses from Hurricane Maria and other recent 2017 natural catastrophes—including hurricanes Irma and Harvey, the Mexico City earthquakes, and other events—have led global insurers and reinsurers to issue profit warnings.
Below are statements from insurers and reinsurers in the wake of the catastrophes (in alphabetical order):
- ALLSTATE. Allstate Corp, the second-largest U.S. homeowners insurer based on premiums collected, estimated pre-tax catastrophe losses of $593 million, net of reinsurance recoveries, for August.
- BEAZLEY. Lloyd’s of London insurer Beazley said losses from hurricanes Harvey, Irma and Maria and a series of earthquakes in Mexico would reduce its 2017 earnings by about $150 million.
- CHUBB. U.S. property and casualty insurer Chubb Ltd estimated after-tax losses of up to $1.28 billion from hurricanes Harvey and Irma. It expects insured losses of about $520 million from Harvey and $640 million to $760 million from Irma after tax.
- HANNOVER RE.German reinsurer Hannover Re said it could miss its 2017 profit target because of claims from the natural disasters, its first such warning since the 2008 financial crisis.
- THE HARTFORD.The Hartford said it expects pre-tax losses of about $325 million to $375 million for Q3 2017 catastrophe losses, or $210 million to $245 million after tax. Of that number, Hurricane Harvey is responsible for between $210 million to $225 million before tax, and Hurricane Irma caused $125 million to $175 million before tax. Both storms affected commercial lines more than personal lines. Hurricane Maria and other Q3 2017 catastrophe losses are relatively low, the insurer said.
- HCI GROUP. HCI Group’s principal operating subsidiary, Homeowners Choice Property & Casualty Insurance, a provider of home insurance in Florida, issued a preliminary estimate indicating its losses related to Hurricane Irma would be $100-$300 million.
- HISCOX. Lloyd’s of London underwriter Hiscox Ltd estimated it would face net claims totaling about $225 million from Harvey and Irma.
- LLOYD’S OF LONDON. Lloyd’s of London expects net losses of $4.5 billion from hurricanes Harvey and Irma, which analysts said would eat into the insurer’s capital and hit its profitability. Lloyd’s 80-plus syndicates have already paid out more than $160 million in claims from Harvey and more than $240 million from Irma.
- MAIDEN HOLDINGS. Maiden Holdings Ltd said it expected a net impact from Harvey on its third-quarter results of $6-$18 million and $2-$13 million from Irma.
- MAPFRE. Spain’s Mapfre SA said the size and frequency of hurricanes in the Caribbean and earthquake in Mexico would imply a net cost of 150-200 million euros on its attributable result for the year.
- MUNICH RE. Germany’s Munich Re warned it could miss its profit target this year, the first major reinsurer to flag a hit to earnings from damage caused by hurricanes Harvey and Irma.
- RLI CORP. Specialty insurer RLI Corp said it expects third-quarter pre-tax losses of $30-$40 million from Harvey and Irma, net of reinsurance.
- RSA INSURANCE. British motor and home insurer RSA said its UK business would see catastrophe losses from the U.S., Caribbean and Mexico impacting September results in the marine and international portfolios.
- SCOR. French reinsurer Scor said hurricanes Harvey and Irma are expected to represent an earnings event rather than a capital event in the third quarter.
- TALANX. German insurer Talanx warned it may miss its profit target for 2017 as its reinsurer Hannover Re is being hit by major claims from a series of hurricanes and an earthquake in Mexico.
(Compiled by Noor Zainab Hussain in Bengaluru; Editing by Alexander Smith and Mark Potter) Editor’s note: Carrier Management added catastrophe insured loss data from The Hartford to this story.