istock-663910420_imagedepotpro-3-1
17 July 2019Insurance

Hurricane Barry insurance losses at least $300 million, says risk modeller KCC

Insured losses from storm system Barry, which was briefly a hurricane, will be close to $300 million, according to Karen Clark & Company (KCC).

However, this estimate covers privately insured wind and storm surge damage to residential, commercial and industrial properties, and automobiles but not losses covered by the US government’s National Flood Insurance program.

The estimates are based on the KCC high resolution US Hurricane Reference Model, which monitored Barry as it came ashore near Intracoastal City, Louisiana, as a Category 1 hurricane on July 13.

Insured losses are made up of an accumulation of small losses over a large area, with isolated instances of damage caused by fallen trees across southern Louisiana, the catastrophe risk modelling firm said. Additional damage occurred close to where the hurricane made landfall, including damage to the roofs of residential buildings and significant damage to small structures.

The weather system reached a peak intensity of 75 mph just before making landfall, after which it weakened and was downgraded to a tropical storm, later downgraded further to a tropical depression.

Around 150,000 homes and businesses lost power in Louisiana and Mississippi, while intense rain caused of between three and six inches caused flooding. Forecasts of between 20 and 25 inches of rain did not occur, which meant major levees along the Mississippi River were not breached in New Orleans.

But some localised areas did experience significantly greater amounts of rainfall and as a result levees in less densely populated areas south of New Orleans, including in Plaquemines and Terrebonne Parishes, did overtop. KCC confirmed there was isolated flash flooding where downpours of three inches an hour occurred. It warned that additional flooding may happen on July 17 with heavy rain bands continuing north through Arkansas and Tennessee.

Get all the latest re/insurance industry news with our daily newsletter -  sign up here.

More of today's news

Markel agrees deal with former CatCo CEOs over ‘wrongful termination’ claims
The claims centred on the sudden departure of two execs found to be in an ‘undisclosed personal relationship’.

Moody's goes negative on most Argentine insurers and financial guarantors
Allianz Argentina Compania de Seguros, Chubb Seguros Argentina, and QBE Seguros La Buenos Aires are among the 19 entities whose outlook has been revised.

Broker Risk Strategies buys trucking and transportation specialist Winter Group
The move adds transportation sector expertise to its insurance brokerage operations in the US.

ProSight Global looks to raise $150 million in initial public offering
The IPO price is currently expected to be between $16 and $18 per share.

Blockchain insurance initiative B3i appoints CEO
The executive has overseen the delivery of B3i's first product, having served as interim CEO since March 2019.

Allianz unveils new leader of AGCS Canadian business
Its chief agent of Canada Ulrich Kadow has moved into a new global marine leadership role.

Save £600 with the Intelligent InsurTECH Europe Super Early-Bird rate:  Book now

Already registered?

Login to your account

To request a FREE 2-week trial subscription, please signup.
NOTE - this can take up to 48hrs to be approved.

Two Weeks Free Trial

For multi-user price options, or to check if your company has an existing subscription that we can add you to for FREE, please email Elliot Field at efield@newtonmedia.co.uk or Adrian Tapping at atapping@newtonmedia.co.uk


More on this story

Insurance
15 July 2019   Flooding hit Louisiana and parts of Mississippi on Sunday 14 July after Hurricane Barry came ashore on Saturday 13 July bringing intense rain.
Insurance
12 July 2019   As tropical Storm Barry moves towards New Orleans, weather forecasters are predicting that it could become a hurricane and then stall over land, meaning that rain, not wind, will be the main peril.
Insurance
19 July 2019   Insured losses from Hurricane Barry, the second named storm of the 2019 North Atlantic hurricane season, will not top $500 million, global risk modeling and analytics firm RMS has said.