Japan snowstorms raise February winter weather insurance payouts to more than $1bn globally, according to Impact Forecasting catastrophe report
CHICAGO, March 6, 2014 /PRNewswire/ -- Impact Forecasting, the catastrophe model development center of excellence at Aon Benfield, today releases the latest edition of its monthly Global Catastrophe Recap report, which reviews the natural disaster perils that occurred worldwide during February 2014. Aon Benfield is the global reinsurance intermediary and capital advisor of Aon plc (NYSE: AON).
The report reveals that regions of Japan experienced record snowfall during the month, which killed 37 people and injured more than 2,750 others, mostly as a result of traffic-related accidents. Insurers forecast total claims payouts of around JPY60 billion (USD585 million), while economic losses were estimated to approach JPY120 billion (USD1.2 billion).
In the United States a strong winter storm crossed the country mid-month, killing at least 25 people and damaging more than 50,000 structures. Total economic losses were estimated at USD500 million, while insurers cited losses in excess of USD250 million.
Earlier in February, a separate winter storm killed at least nine people across the eastern U.S., generating total economic losses of around USD250 million and insurance losses above USD150 million.
Severe winter weather in China killed at least 10 people and damaged or destroyed nearly 35,000 structures, according to data from the Ministry of Civil Affairs (MCA). Total economic losses were estimated at CNY5.7 billion (USD930 million).
Adam Podlaha, Head of Impact Forecasting, said: "February was characterized by a wide spectrum of events, ranging from well-modelled windstorms affecting vast areas of Europe at the end of its winter season, to largely non-modelled floods affecting parts of South America and Asia. From time to time, a non-modelled peril such as the recent volcanic activity in Indonesia reminds us of the array of risks present around the globe. Increasing exposure in fast growing countries marks the need for future model development and is the major force behind the continually expanding suite of Impact Forecasting models for new territories. In addition, the need to understand relatively well-modelled perils remains high on our list of priorities."
In western and central Europe, Windstorms Nadja, Petra, Tini, and Ulla all brought high winds and heavy rains during February. The most significant event was Windstorm Tini, which caused extensive damage across Ireland and the United Kingdom. The storm prompted winds in excess of 160 kph (100 mph) as well as flooding across England, Wales and Ireland. Total insured losses were estimated at EUR500 million (USD685 million), with overall economic damages forecast at EUR730 million (USD1.0 billion).
Windstorms also impacted areas of France, Spain, Slovenia, Serbia, Croatia, and Scandinavia during the month.
Mount Kelud erupted on Indonesia's Java Island, killing at least seven people and resulting in the evacuation of 200,000 local residents. Economic damages were estimated at IDR1.2 trillion (USD103 million).
A spring-like storm system caused a severe weather outbreak across parts of the eastern U.S., killing at least one person and injuring several others. The Storm Prediction Center (SPC) cited nearly 500 reports of tornado touchdowns, damaging winds, and hail, with total economic losses estimated in the hundreds of millions of dollars (USD).
Flooding continued to inundate much of Bolivia during February, killing 46 people over a two-month period. Total economic damages across multiple regions were listed in excess of BOB690 million (USD100 million).
Additional flood events were recorded in areas of Indonesia, Zimbabwe, Burundi, Philippines, and Fiji.
To view the full Impact Forecasting February 2014 Global Catastrophe Recap report, please follow the link below: http://bit.ly/1lB7dmn
To access the Catastrophe Insight website, please visit: www.aonbenfield.com/catastropheinsight
About Aon Benfield
Aon Benfield, a division of Aon plc (NYSE: AON), is the world's leading reinsurance intermediary and full-service capital advisor. We empower our clients to better understand, manage and transfer risk through innovative solutions and personalized access to all forms of global reinsurance capital across treaty, facultative and capital markets. As a trusted advocate, we deliver local reach to the world's markets, an unparalleled investment in innovative analytics, including catastrophe management, actuarial and rating agency advisory. Through our professionals' expertise and experience, we advise clients in making optimal capital choices that will empower results and improve operational effectiveness for their business. With more than 80 offices in 50 countries, our worldwide client base has access to the broadest portfolio of integrated capital solutions and services. To learn how Aon Benfield helps empower results, please visit aonbenfield.com.
About Impact Forecasting® LLC
Impact Forecasting is a catastrophe modeling center of excellence whose seismologists, meteorologists, engineers, mathematicians, finance risk management and insurance professionals analyze the financial implications of natural and man-made catastrophes around the world. Impact Forecasting's experts develop software tools and models that help clients understand risks from hurricanes, tornadoes, earthquakes, wildfires and terrorist attacks on property, casualty and crop insurers and reinsurers. To find out more about Impact Forecasting® LLC, visit www.impactforecasting.com.
SOURCE Aon plc