Verisk Inc. Wednesday estimated that insured losses to onshore property due to Hurricane Otis in Mexico will likely total between $3 billion and $6 billion.

Damage to coastal and inland exposures in and around Acapulco was catastrophic, Verisk said.

The estimate includes wind and precipitation-induced flood across the track of Otis, and most of the modeled loss is due to wind damage, Verisk said.

Losses to onshore residential, commercial and industrial properties and automobiles for building, contents and time element coverage from wind and precipitation-induced flood are included in the insured loss estimate.

Verisk’s estimate does not include losses from coastal storm surge; losses to inland marine, ocean-going marine cargo and hull, and pleasure boats/yachts; loss adjustment expenses or losses paid out by government or sovereign protection programs, among other things.

Hurricane Otis made landfall in the early morning hours of Oct. 25 near Acapulco, on Mexico’s southern Pacific coast, with maximum sustained winds of 165 miles per hour, making it a Category 5 hurricane. It intensified rapidly from a tropical storm with maximum sustained winds of 50 miles per hour at 1 a.m. local time on Oct. 24 to Category 5 status by 11 p.m. local time.

By 4 p.m. local time Oct. 25, the National Hurricane Center had downgraded Otis to a tropical depression and issued its final advisory on the storm, just 15 hours after it reached the Pacific coast of Mexico as the strongest landfalling hurricane on record in the region.

Most large apartments and condominium buildings as well as hotels on the Acapulco coastline had windows blown out, and roof damage was also noted on many properties near the coast, Verisk said.

Smaller commercial and residential properties in Acapulco also saw major damage, with cladding tossed from walls, roofs torn off and debris scattered. Significant damage was also observed to the north and west of Acapulco.

Insurance takeup for residential risks is quite low in Mexico. It’s a bit higher for commercial risks, with residential takeup likely higher in Acapulco than across the rest of the state of Guerrero, Verisk said.