Mexico Earthquake Loss Estimate Around $100M

NU Online News Service, March 21, 1:54 p.m. EDT

An earthquake that struck Oaxaca, Mexico damaged hundreds of homes and caused an estimated insured loss of around $100 million, but no fatalities were reported.

Yesterday, the magnitude 7.4 earthquake struck Oaxaca along the border with the state of Guerrero, Mexico at 2:02 p.m. EDT. The 

epicenter of the quake was 200 miles south-southeast of Mexico City.


Catastrophe-modeler Eqecat estimates that insured losses of less than $100 million.

The quake and its aftershocks were felt as far north as the nation’s capital, Mexico City.

See Slideshow

 

Catastrophe-modeler AIR-Worldwide says buildings swayed for roughly 60 seconds in Mexico City and tourists and residents about 124 miles south of the epicenter in Acapulco say they felt the quake, but no major damage was reported in either location. However, around 500 homes were reported damaged southwest of the town of Ometepec in the state of Guerrero.

Eqecat notes that yesterday’s earthquake was centered 248 miles southeast of the 1985 magnitude 8 Michoacan earthquake that affected Mexico City.

According the U.S. Geological Survey, that earthquake took close to 9,500 lives and injured 30,000 leaving more than 100,000 people homeless. The USGS says more than 412 buildings collapsed over 3,000 were seriously damaged.

The economic loss was between $3 and $4 billion.

AIR notes that buildings in Mexico City today are well built, made of high-quality masonry materials.

Building codes in the capital are very comprehensive, but in the rest of the country’s 2,400 municipalities, building codes are determined locally and vary widely in application and enforcement, AIR says.

Comments

Resource Center

View All »

Contractors General Liability Coverage 102

What is a prior work exclusion? Which option is right for my client? Why do...

Sign up today to get a 50% matching credit -...

Insurance marketing sometimes seems like it's a game of swings and misses, but we're here...

Guide: 5 Steps to Selling Cyber

Cyber risk and data security is on the agenda of every business owner and executive....

Citation Correlation

Do rigger and signalperson qualifications correlate with the cause of crane and rigging accidents? ...

Complete Guide to Electronic Signatures in Property & Casualty Insurance...

In property and casualty insurance, closing new business quickly is key. Learn how to leverage...

INSTANT ACCESS: Complimentary Sales Closer Questionnaires

Help property owners or managers compare your commercial residential property insurance coverage vs. the competition....

Determining Vacant Property Perils and Valuations

Are your clients fully covered for Vacant Properties? In this economic climate, your insureds may...

Risk Management for Law Firms

This package of 3 concise risk management articles offers straightforward content and practical suggestions law...

Guide: Top 15 E&O Risks-And How To Avoid Them

Accidents happen. But when it's an errors and omissions oversight, that accident can open your...

We'll Show You How to Reach Your Sales Goals

Whether you work alone or have a team of agents working for you, we can...

Claims Connection eNewsletter

Breaking news on disasters, fraud, legal trends, technology, and CE initiatives for the P&C claim professional – FREE. Sign Up Now!

Claims-Handling Guidelines

Claims Magazine is providing the following free guidelines and regulations in order to help adjusting professionals stay abreast of each state’s unique property and casualty claim-handling requirements.

View our State Guidelines »

Advertisement. Closing in 15 seconds.