Ratings agency A.M. Best said it expects a significant share of the loss from Hurricane Maria to pass on to the global reinsurers evenly.
The agency said it expects the loss would remain within the overall risk tolerance of most affected reinsurers.
However, the reinsurers’ earnings will be hurt and for some, the impact could be significant, A.M. Best said on Wednesday.
Maria roared ashore Puerto Rico last Wednesday as the most powerful hurricane to strike the island in nearly a century, knocking out the territory’s entire electrical grid, unleashing severe flooding and causing widespread heavy damage to homes and infrastructure.
The storm has claimed more than 30 lives across the Caribbean, including at least 16 in Puerto Rico.
It was the third major hurricane to hit the United States in less than a month, following Harvey in Texas and Irma in the Caribbean and Florida.
(Reporting by Roopal Verma in Bengaluru; editing by Maju Samuel)
Related:
- Mounting Catastrophe Claims Could Weaken Re/Insurers’ Capital Reserves: Fitch
- Insured Losses in Caribbean from Hurricane Maria Estimated at $40B-$85B: AIR
- A.M. Best Warns on Hurricane Maria Impact on Caribbean/Puerto Rican Insurers
Topics Catastrophe Natural Disasters Claims AM Best Hurricane Reinsurance
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