Travelers expects $650M net loss from Superstorm Sandy
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Superstorm Sandy will result in about a $650 million net loss for Travelers Cos. Inc., the insurer said Wednesday.
Travelers said the $650 million estimate reflects a gross loss estimate — pretax and before reinsurance — of $1.14 billion.
“This preliminary estimate is based upon an analysis of claims already reported and projected to be reported, estimated values of properties in the affected areas, estimates of damage resulting from wind and other perils, including flooding to the extent covered by applicable policies, and other factors requiring considerable judgment,” said Travelers in a statement announcing the estimate.
However, the insurer cautioned that because of the storm's nature, including the scope of the storm and the number of policyholders affected, “future estimates of losses and the actual ultimate amount of losses associated with (Superstorm) Sandy may be materially different from this current estimate.”
