Hurricane Aileen Seriously Injured American Insurance Industry

Did you buy insurance? This is the problem we most care about after Hurricane Aileen. When the house falls down, the tree is uprooted to the front door, which is the insurance company's compensation. As tropical storm Aileen arrived in the US and Canada on the evening of August 28th and further weakened into extratropical cyclones, the US National Hurricane Research Center announced the lifting of the tropical storm warning on the east coast of the United States. Nevertheless, insurance companies are not relieved. Americans with high insurance awareness have greeted the insurance companies before the storm came.

Calculation loss Too early

At the time of the deadline, "Aileen" has caused 21 deaths and 4 million 500 thousand power outages, which is expected to last several weeks. BBC warned the president of the United States, Obama, that because of strong winds and torrential rains, the impact of hurricanes will continue for some time. It will take some time to fully recover. Local time August 29th, New York's public transport has not yet fully recovered, which will cause inconvenience to this week's business activities, and the cancelled 9000 flights were resumed on the same day.

USA Today reported that the economic losses caused by power cuts, waterlogging and tourism were estimated to be as high as 10 billion dollars from Florida to Connecticut. The disaster has hit the state government more seriously, and the economic downturn and local debt have left them helpless. The business losses after the disaster will definitely affect the tax revenue, and how to achieve a new task as soon as possible after the disaster.

At the same time, the insurance industry in the United States has also been under heavy pressure. Bloomberg estimates that the insurance company's claims can be reduced to $2 billion 600 million due to the unexpected impact of the hurricane on New York. Earlier, Bloomberg reported that the loss of "Aileen" could result in an insurance loss of up to 13 billion 900 million dollars. If the combined factors such as the loss of working hours and shipping interruption were combined, the losses caused by "Aileen" could amount to US $20 billion. Pilk, a professor at University of Colorado, has studied the losses caused by previous storms similar to the "Aileen" route and found that the adjusted losses may be between $4 billion 900 million and $46 billion 200 million based on inflation. Some economists commented that it is too early to estimate losses because residents and insurance companies are in the process of statistics.

　　 insurance industry Change or change

The US interest science website reported that the surveillance and early warning of "Aileen" is the largest in the United States in ten years, ranging from North Carolina to Maine. This hurricane is the tenth disaster in the United States that has lost more than US $1 billion this year. In the past ten years, the losses caused by natural disasters seem to be increasing every year, according to US media. The reason is not that the number of landings has increased or is stronger, but because of the increase in population, the increase in coastal areas and the expansion of the scale of the economy, the damage caused by the storm is even greater.

Whether natural or man-made disasters, the insurance companies are afraid. An internationally renowned rating agency specializing in assessing the financial strength of the insurance industry, Beth Rating firm, surveyed 80% of the insurance companies in the United States, and found that this year's natural disasters are unprecedentedly frequent. American insurance companies' compensation for disasters related to disasters will far exceed that of 2010. It is estimated that as of June 30th, insurance claims due to natural disasters had exceeded $27 billion, compared with $11 billion 900 million in the same period last year, and the compensation for last year was only $19 billion 600 million.

Rating agencies said last year that natural disasters only hurt the "spirit" of insurance companies, but did not cause panic. This year's situation is quite different, and the disaster has exhausted the insurance giants. Moodie investment service company said that although the real estate insurance claims did not let the insurance institutions suffer from "catastrophe", the profits of these financial institutions had greatly shrunk, and large insurance companies in the Midwest and southeast of the United States had varying degrees of "loss of profits".

Disasters will change the business of insurance companies. Some economists predict that some small insurance companies may gradually abolish the real estate natural disaster insurance. But, like this, disaster It's a blessing in disguise for construction workers who have been out of work for a long time. They can work for those who can't afford insurance.