Hurricane Dorian could cost insurers several billions of dollars: Munich Re

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Hurricane Dorian could cost insurers several billions of dollars: Munich Re

On Sunday, the 8th of September 2019, Munich-based German reinsurance company, Munich Re said that the insured losses stemmed of Hurricane Dorian, a powerful extratropical cyclone currency affecting Canada after rampaging the coasts of Bahama and Florida later this weekend, could cost several billions of dollars, while Swiss Investment lender, UBS said the insurance costs could reach as much as $25 billion.

On top of that, a board member of Munich-based Munich Re, world’s one of the leading reinsurers, Torsen Jeworrek had been quoted saying at an industry conference that the preliminary estimate was a rough guess as damages were yet to be checked out and tallied.

In point of fact, Hurricane Dorian, which was expected to be a category 5 Hurricane at the beginning, made landfall into the Bahamas after getting weakened, nonetheless, Dorian still left a symphony of destruction and death before ravaging parts of North Carolina and shifting its path towards Canada.

Meanwhile, followed by an en masse rampage at the coasts of Bahamas, which forced hundreds of thousands of people to seek shelter in Florida, Munich Re’s Jeworrek said on Sunday (September 8th), “A clear expectation is a further stabilization and price increases,” while echoing the leads of Munich Re, Swiss Re, a major competitor in the reinsurance industry had been quoted saying that the company was expecting a rate hike for the areas whiplashed with heavy losses.