US thunderstorm property losses as high as from hurricanes
The risk to US property from thunderstorms is as high as from hurricanes, according to a Willis Re report.
The report 'Managing Severe Thunderstorm Risk' claims that the average annual loss from severe convective storms (SCS) was $11.23 billion, compared with $11.28 billion from hurricanes for the period 2003 to 2015. Over the past ten years, SCS was the largest annual aggregated risk peril to the US insurance industry.
In addition, the report points out that SCS frequency in the US is higher following La Niña, and lower following El Niño.
"Regional variability in increased or reduced severe convective storm frequency due to the El Niño-Southern Oscillation (ENSO) phase can have a significant impact on regional and single state property insurance companies," said Prasad Gunturi, executive vice-president of Willis Re.
"In collaboration with Columbia University, we are working to develop a climate conditioned severe convective storm event set for portfolio probabilistic loss estimates. We hope the climate conditioned view of risk can help companies understand, manage and mitigate the regional and year over year variability in severe convective storm losses."
Today’s top stories
Hannover Re acquires Lloyd's syndicate
XL Catlin appoints global property chief underwriting officer
Travelers expects $62m hit from UK Ogden rate slash
No bonus, but $5m for transition given to AIG’s CEO Hancock
European cedants slow down purchase of reinsurance
Did you enjoy reading this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
Already registered?
Login to your account
If you don't have a login or your access has expired, you will need to purchase a subscription to gain access to this article, including all our online content.
For more information on individual annual subscriptions for full paid access and corporate subscription options please contact us.
To request a FREE 2-week trial subscription, please signup.
NOTE - this can take up to 48hrs to be approved.
For multi-user price options, or to check if your company has an existing subscription that we can add you to for FREE, please email Elliot Field at efield@newtonmedia.co.uk or Adrian Tapping at atapping@newtonmedia.co.uk
Editor's picks
Editor's picks
More articles
Copyright © intelligentinsurer.com 2024 | Headless Content Management with Blaze