The FINANCIAL -- Zurich Insurance Group (Zurich) on October 19 announced that it currently estimates aggregate claims in the third quarter of 2017 related to hurricanes Harvey, Irma and Maria, for the Group’s Property & Casualty business, to be approximately USD 700 million net of reinsurance and before tax.
Final loss assessment will take time to complete due to the nature of the events. After tax, the losses are expected to be around USD 620 million.
The Group does not expect to incur any reinstatement costs for reinsurance in relation to the third-quarter events.
In addition, the third quarter also saw a number of other smaller events, while Farmers Re is expected to incur a loss in relation to the three hurricanes of USD 17 million net of reinsurance and before tax, according to Zurich.
The losses are not expected to have a material impact on the Group’s overall financial strength and capital flexibility.
“While significant, these events have demonstrated the effectiveness of our underwriting and the improvements made in our reinsurance programs over the past year, which have ensured that the overall losses remain well within our overall risk tolerance,” said Group Chief Executive Officer Mario Greco. “Our thoughts and best wishes go out to those affected by these tragic events.”