Insurance and reinsurance market losses from hurricane Fiona’s impacts in Canada are estimated at C$660 million by Catastrophe Indices and Quantification Inc. (CatIQ).
Reported by the Insurance Bureau of Canada (IBC), the organisation says that hurricane Fiona has become the most expensive extreme weather event ever in Atlantic Canada, the region where the storm made landfall on September 24th.
In fact, hurricane Fiona has now become the tenth largest catastrophe loss event in Canada in terms of insured damages.
Hurricane Fiona brought maximum wind gusts exceeding 100 km/h to Atlantic Canada and Eastern Quebec, resulting in loss of life, as well as violent winds, torrential rainfall, large waves, storm surge, downed trees and widespread power outages.
However, despite the relatively high industry loss for a Canadian weather event, the overwhelming majority of costs from hurricane Fiona will be borne by the government, because many affected residents were located in high-risk flood areas and floodplains where residential flood insurance coverage is not available.
“As we begin to see the extent of damages caused by Hurricane Fiona, it is clear that much more needs to be done to enhance our resilience to extreme weather events and build a culture of preparedness moving forward,” commented Amanda Dean, Vice-President, Atlantic, Insurance Bureau of Canada (IBC). “Climate change is real, and the fatalities, emotional turmoil and financial consequences we’ve witnessed must be a call to action – we must prioritize the protection of all Canadians from the impacts of climate change.”
The IBC said that insurance claims from severe weather have more than quadrupled across Canada since 2008, with the new normal for insured catastrophe losses in Canada now $2 billion annually.
CatIQ broke down the industry loss from hurricane Fiona by province:
- Nova Scotia – Over $385 million in insured damages.
- Prince Edward Island – Over $220 million in insured damages.
- New Brunswick – Over $30 million in insured damages.
- Quebec – Over $11 million in insured damages.
- Newfoundland and Labrador – Over $7 million in insured damages.