The wildfires that tore across the oil-producing region of Canada this year will cost insurers about C$3.58 billion ($2.8 billion) in claims, the most costly insured natural disaster in the country’s history, an industry group said.
The fires led to 27,000 personal-property claims averaging C$81,000 each, and 12,000 auto claims averaging C$15,000, the Insurance Bureau of Canada said Thursday in a statement. More than 5,000 commercial claims averaged over C$250,000 and included costs from work stoppages. The estimates come from insurer surveys collected by Catastrophe Indices and Quantification Inc.
The wildfires raged across Northern Alberta and forced the evacuation of about 88,000 people in May, damaging Fort McMurray neighborhoods, oil-production facilities and businesses. The blazes forced oil companies including Suncor Energy Inc. to curb output and evacuate staff.
“This wildfire, and the damage it caused, is more alarming evidence that extreme weather events have increased in both frequency and severity in Canada,” Don Forgeron, IBC’s president, said in the statement.
The previous costliest natural disaster on record was a 2013 Southern Alberta flood, which cost C$1.7 billion in insurance claims, IBC said.
Related:
- Alberta Wildfires Could Cost $7B with Minimal Insurer Credit Hit: Ratings Agencies
- Alberta Wildfires Spread North, Threatening Oil Sands Facilities, Workers’ Camps
- Alberta Wildfires Could Hit Canada Economy Harder than Hurricane Katrina in US
- Costly Alberta Wildfires to Hit Q2 Results; Insurers Are Resilient: Ratings Reports
- Alberta Wildfires Set to Veer from Oil Sands Operations, Spreading More Slowly
- Drones Will Be Used to Investigate Cause of Alberta Wildfires
- Alberta Wildfire Insured Losses Could Total $7.3B, Covering Area Bigger Than NYC
- Alberta Wildfire Could Become Canada’s Costliest Natural Catastrophe
- Update: Canadian Wildfire Rages, Leading to Evacuation of 80,000 People
Topics Catastrophe Natural Disasters Carriers Wildfire Canada
Was this article valuable?
Here are more articles you may enjoy.
Hacking Group Claims Major Hack of Novo Nordisk and Attempted $25M Extortion 
Ship Owner Seeks Dismissal of Economic Loss Claims From Baltimore Bridge Collapse 
Wrong-Way AI Trade Costs Florida Stock-Picker $50 Billion 
Read 14-Point Draft Memorandum of Understanding Between the US and Iran 
