Daily Insurance Industry News
Daily Insurance Industry News
Sunday 18th of November 2018
October 30, 2008

Hurricanes wipe $600m off Zurich balance sheet

by David Masters

Story link: Hurricanes wipe $600m off Zurich balance sheet

Hurricanes wipe $600m off Zurich balance sheet

Switzerland-based Zurich Financial Services Group has estimated its pre-tax aggregate claims payouts from hurricanes Gustav and Ike at $600 million (€466.1 million).

The figure, to be included in Zurich’s nine month interim results, is net of reinsurance recoverables, and includes reinsurance reinstatement premiums.

The vast majority of the payouts, $545 million, relate to Ike, whilst $55 million relates to Gustav.

Hurricanes Gustav and Ike hit the Gulf Coast of the US last month, causing widespread damage in Texas, Louisiana, and parts of the Midwest.

Zurich’s chief financial officer, Dieter Wemmer, said the company’s proactive management of exposures to natural catastrophes in the US has limited its losses from the recent hurricanes to a ‘very manageable level’.

Wemmer added that the losses will be absorbed by the company, which will maintain a healthy solvency position.

Zurich’s 2008 nine month interim results will be released on 13th November.


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