October 9, 2009 by Canadian Underwriter
Insured loss estimates for onshore properties in Japan as a result of Typhoon Melor range from US$850 million to US$1.5 billion, according to AIR Worldwide.
On Oct. 8, 2009 Super Typhoon Melor made landfall in central Japan’s Aichi prefecture (population 7 million) as a weak Category 1 storm with sustained winds of about 119 km-h.
Melor’s winds and heavy rains – up to 30 centimetres in some regions – flooded roads, cut off electricity to hundreds of thousands of people and blew off roof tiles.
Three days prior Melor had been a much stronger Category 5 storm. But, its interaction with cooler waters and strong wind shear weakened it considerably before landfall.
Rate cuts in the US commercial p&c market appear to be slowing, but the market is still soft, according to MarketScout’s barometer.
The average composite property and casualty rate changed from -5% in Aug. 2009 to -4% in Sept. The composite rate in Sept. 2008 was -10%.
General liability rates adjusted from -7% to -5%. Property rates were -4%.
“Rates will continue to moderate for the balance of 2009,” said Richard Kerr, CEO and founder of MarketScout in a release.
“By early 2010, we anticipate most lines of coverage will be renewed as expiring or for a slight rate increase.”