Canadian Underwriter
Feature

The Costly Future of Claims


January 26, 2018   by David Gambrill, Editor-in-Chief


Print this page

Oops, the industry did it again.

In 2017, Canada’s property and casualty insurance industry paid out a total of $1.33 billion in insured losses following catastrophic events primarily related to climate change. It’s the fifth time over the past seven years that the industry has paid out more than $1 billion annually in catastrophe claims.

This year, the industry did it without benefit of a single whopper claims event such as the Fort McMurray wildfires (which cost the industry about $3.8 billion).

“There are so many factors to relate to it,” said Laura Twidle, director of catastrophic loss analysis at Catastrophe Indices and Quantification Inc. (CatIQ).

“People have more [flood] coverage, and more events are occurring over populated centres. This summer, the cat season, we had a lot of hail events and thunderstorms throughout the Prairie provinces. It’s not that hard to hit the $25-million [cat] threshold when golf-ball-sized hail goes over a town like Red Deer [Alta.].”

Read the full article in the Digital Edition of the February 2018 Canadian Underwriter.

Click here to subscribe to Canadian Underwriter, available free to qualified industry professionals.


Print this page

Related


1 Comment » for The Costly Future of Claims
  1. Art Lem says:

    It appears you are confused about the difference between “weather “ and “climate “. Storms are weather. Severity and frequency has varied up and down over years, millennia

Have your say:

Your email address will not be published. Required fields are marked *

*