XL Group Ltd. expects to report $250 million in net catastrophe losses for the fourth quarter, with most of the claims resulting from wildfires in California, the insurer and reinsurer announced Thursday.
About $200 million of the losses, which are pretax and net of reinsurance, are related to reinsurance claims from wildfires in California during October, XL said in a statement.
XL is one of several large insurers and reinsurers that have pre-announced catastrophe losses for the fourth quarter. Late last month, Chubb Ltd. said it expects to report $320 million in pretax catastrophe losses for the fourth quarter, of which $280 million relates to California wildfire claims. During its third-quarter results call in early November, American International Group Inc. said its early estimate for California wildfire losses is $500 million.
On Wednesday, the California Department of Insurance said that insured losses for the October wildfires in the state have topped $9.4 billion.
American International Group Inc. President and CEO Brian Duperreault promised more action to improve the insurer’s performance as AIG reported another big quarterly loss and added significant funds to reserves for 2016 business.