Hurricane Delta could end up costing insurers close to $1.25 billion, according to a new report from catastrophe risk modeling firm Karen Clark & Company. The loss estimate includes $950 million in insured losses from U.S. wind and storm surge and $300 million from wind losses in Mexico.
KCC said its estimate includes privately insured wind and storm surge damage to residential, commercial and industrial properties and automobiles. However, it does not include losses covered by the National Flood Insurance Program, losses to offshore assets or any potential impacts on losses due to COVID-19.
Hurricane Delta was the 25th named storm of the 2020 North Atlantic hurricane season and the 10th to make landfall in the U.S.—the most since 1916, KCC noted.
Delta made landfall in Mexico on Oct. 7, with high winds that caused moderate damage to roofs and building facades but no widespread structural damage. Over 200,000 customers lost power across the impacted region.
In the U.S., Delta hit Louisiana on Oct. 9, just over 12 miles from where Hurricane Laura came ashore six weeks ago, and caused moderate damage in Louisiana, Mississippi and Texas. Over 700,000 customers were left without power in the affected states as a result of the storm.
Source: Karen Clark & Company