Insurance and reinsurance firm Amlin estimates its losses from hurricane Sandy, net of estimated reinsurance recoveries and inward reinstatement premiums, at 145m pounds.
Approximately 80% of this is derived from reinsurance classes where the upper end of all known cedents' estimates of their recoveries under catastrophe reinsurance treaties has been assumed, Amlin explained.
The group noted that Sandy's estimate was more complex than for a typical windstorm and cautioned that any estimate at this stage should be viewed with caution.
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"Prior to Hurricane Sandy, 2012 had experienced a low level of major catastrophe losses and the reinsurance books in both London and Bermuda (with 2012 anticipated net written premium of approximately £540m, excluding internal reinsurance arrangements) are still expected to return healthy profits after estimated losses from Sandy are taken into account," it said in a statement.
Chief Executive Charles Philipps commented: "While Sandy is a major loss for Amlin, we expect to be only modestly above our catastrophe budget for the year."
CJ
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