AIR Worldwide and KCC reveal Hurricane Zeta insured loss estimates

Insured losses to onshore property resulting from Hurricane Zeta’s winds and storm surge will range from $1.5 billion to $3.5 billion, according to catastrophe risk modeling firm AIR Worldwide, while Karen Clark and Company (KCC) expects losses to be close to $4.4 billion.

Zeta, a Category 2 storm, made landfall on October 28 and impacted nine US states, with the highest losses in Louisiana, Mississippi, and Georgia. Zeta impacted Mexico's Yucatan Peninsula October 24 as a Category 1 storm.

Zeta was the fifth named storm and the third hurricane to make landfall in Louisiana this season. It made landfall just three weeks after Hurricane Delta and about nine weeks after Hurricane Laura.

AIR's estimate includes losses to onshore residential, commercial, and industrial properties and automobiles for their building, contents, and time element coverage.

Risk modeller KCC's estimate includes $4.3 billion wind and storm surge losses in the US and $80 million wind losses in Mexico. It comprises privately insured wind and storm surge damage to residential, commercial, and industrial properties and automobiles, but does not include NFIP losses or losses to offshore assets. The estimate also does not include any potential impacts due to COVID-19.