Hurricane Isaias insured losses estimated at up to $4bn; Fitch sees earnings event

Insured losses from Hurricane Isaias are expected to reach $1 billion to $4 billion, according to preliminary estimates. The storm made landfall near Destin, Florida, on October 9 as a Category 2, with maximum sustained winds of 105mph.

Verisk put onshore property losses at $1 billion to $2 billion. The estimate covers insured wind and storm-surge damage to residential, commercial and industrial property plus automobiles, with wind expected to account for most losses.

Cotality estimated wind and storm-surge losses at $2 billion to $3 billion, concentrated in the Florida Panhandle and southern Alabama.

Euler ILS Partners estimated total industry losses at $2 billion to $4 billion, Artemis.bm reported. The firm noted the storm could add to losses under aggregate reinsurance structures.

Fitch Ratings said insured losses could reach the mid-single-digit billions but described the storm as an earnings event for affected companies rather than a threat to credit standing. The agency expects a wide range of Gulf Coast-exposed re/insurers to report losses in the fourth quarter and for the full year, without affecting the credit profiles of rated property catastrophe re/insurers.