Insurers Zurich, Beazley estimate Superstorm Sandy losses
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Zurich Insurance Co. Ltd. said Monday its net claims from Superstorm Sandy will be about $700 million, while Beazley P.L.C. has estimated it's loss from Sandy will be about $90 million.
Zurich said its estimate included about $40 million related to Farmers Re which provides reinsurance to Los Angeles-based Farmers Exchanges, which underwrites U.S. personal lines and small commercial lines business. Farmers Exchanges is managed but not owned by Zurich's Farmers Group Inc. subsidiary.
Zurich-based Zurich Insurance also said that it estimated about $58 million of reinstatement premiums due on reinsurance coverages.
The estimate, which is pretax and net of reinsurance, will be recorded in the insurer's fourth-quarter results, which will be published on Feb. 14, 2013.
“This storm has shown us once again how powerful natural forces can be and what risks they pose,” said Zurich CEO Martin Senn in a statement. “I am proud of how Zurich's employees have been helping our customers both before and after storm Sandy,” he said.
Beazley on Friday said its estimated loss of $90 million was based on an estimated market loss of $20 billion.
The Dublin-based insurer and reinsurer said in a statement that it expects its combined ratio for 2012 to be in the low 90s.
Beazley manages five syndicates at Lloyd's of London as well as insurance operations in the United States, Europe, Asia and Australia.
