Profits of insurers at risk due to December U.K. floods

Posted On: Dec. 30, 2015 12:00 AM CST

Profits of U.K. insurers are likely to be affected by the recent flooding events in the country, reported News.Markets.

The country has been hit by storm Eva over the Christmas weekend and storm Desmond in early December.

Damage from these storms and any further damage by additional rain "will impact relevant insurers' year-end profitability," said a PricewaterhouseCoopers L.L.P. official.

"We would give a very initial estimate of economic losses of between £900 million ($1.33 billion) and £1.3 billion" for the floods, added the official.