Year-end U.S. catastrophes expected to top $1.5 billion in insured losses

Submerged roads and houses are seen in Union, Missouri on Dec. 29, 2015, after several days of heavy rain led to flooding. A storm system that triggered deadly tornadoes and flooding in the U.S. Midwe/ REUTERS

Insured losses from a series of tornadoes, floods and heavy snow and ice in the central and eastern United States during the last days of December are expected to exceed $1.5 billion, according to a report released Wednesday by Aon P.L.C.'s Aon Benfield Impact Forecasting team.

The December 2015 “Global Catastrophe Recap” said that the most substantial tornado damage occurred in the greater Dallas area. Flooding affected parts of the Midwest and Mississippi River valley while severe winter weather slammed parts of the country from the Rockies to the Northeast. The report noted the Austin, Texas-based Insurance Council of Texas reported $1.2 billion alone of the expected insured damages in excess of $1.5 billion.

In addition, the report said various sources said that extensive flooding in the United Kingdom in December would result in excess of £1.5 billion ($2.22 billion) in insured damage.

In Australia, wildfires in the state of Victoria destroyed at least 116 homes, with preliminary insured losses listed at AU$53 million ($38.2 million).