Insurance outfit Lancashire Holdings has estimated the impact Hurricane Sandy on the business will be in the region of 40m to 60m dollars.
However, it added there was considerable uncertainty around this total and it could be revised.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The figure accounts for potential reinsurance recoveries and reinstatement premiums, but does not currently include any benefit from industry loss warranties that the company has in place.
Lancashire has $40m of industry loss warranty cover, attaching at an insured market loss of $20m as reported by Property Claims Services.
"Given the limited and preliminary nature of the data available, there is substantial uncertainty associated with the loss estimate, which therefore may be subject to revision," the firm warned.
The announcement came as rival insurance firm Amlin put its losses from the US superstorm at £145m, most of which comes from reinsurance claims.
The group also 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.
-
UK inflation expected to rise to 3.8% tomorrowInflation is expected to jump again when July’s report is published tomorrow. Rising food prices and summer spending could be partly responsible.
-
Rachel Reeves ‘considers replacing stamp duty with property sale tax’Chancellor Rachel Reeves is rumoured to be considering replacing stamp duty land tax with a new levy on the sale of properties worth more than £500,000
