Hurricane Beryl industry insured US wind losses $2bn to $3bn: Verisk

The latest estimate of insurance market losses in the United States after hurricane Beryl comes from the Extreme Event Solutions group at Verisk, who put US onshore wind-only losses from the hurricane at between $2 billion and $3 billion.

We can compare the estimate from Verisk with the one from Moody’s RMS, who put US private market insurance industry losses at $2.3 billion to $4.2 billion from wind including coverage leakage.

Other estimates to compare with include CoreLogic that pegged hurricane Beryl wind losses in the US at between $2.5 billion and $3.5 billion and one from Karen Clark & Company that said hurricane Beryl is estimated to have caused insurance industry losses of $2.7 billion in the United States.

These aren’t the straightest of comparisons though given Verisk’s estimate excludes a lot of potential inputs.

Verisk said its hurricane Beryl insurance industry loss estimate does not include:

• Excess impacts due to power failures which may not be implicitly modeled
• Losses from storm surge
• Losses paid out by the National Flood Insurance Program
• Losses exacerbated by litigation, fraudulent assignment of benefits, or social inflation
• Storm surge leakage losses paid on wind only policies due to government intervention
• Losses from precipitation-induced flooding
• Losses to inland marine, ocean-going marine cargo and hull, and pleasure boats
• Losses to uninsured properties
• Losses to infrastructure
• Losses from extra-contractual obligations
• Losses from hazardous waste cleanup, vandalism, or civil commotion, whether directly or indirectly caused by the event
• Losses resulting from the compromise of existing defenses (e.g., natural and man-made levees)
• Loss adjustment expenses
• Other non-modeled losses, including those resulting from tornadoes spawned by the storm
• Losses for U.S. offshore assets and non-U.S. property