Arch Capital Group Ltd. is warning that it faces between $110 million to $130 million in pretax catastrophe losses for the 2018 fourth quarter.
The Bermuda-based insurer and reinsurer blamed the likely losses on catastrophes during the quarter including Hurricane Michael, California wildfires and other smaller events. The company’s estimate is net of reinsurance recoveries and reinstatement premiums.
Arch said that the number adds to earlier loss estimate of $40 million to $60 million for the 2018 third quarter, which only included Hurricane Michael and not the wildfire and other global events.
Arch cautioned that the final number could vary somewhat due to uncertainties about the number of claims and scope of damage for these events.
Source: Arch Capital Group Ltd.