NU Online News Service, March 5, 1:18 p.m. EDT
Validus Holdings, Ltd. said its initial maximum estimate of losses from the recent earthquake in Chile and European Windstorm Xynthia was $300 million.
The Bermuda-headquartered reinsurance and insurance provider said that, based on total Chile earthquake insured industry losses between $4 billion and $8 billion, it expects its loss to be in the range of $170 million to $270 million, net of reinstatement premiums and reinsurance, retrocessional, and other recoveries.
Ed Noonan, Validus chairman and chief executive officer, said in a statement, “Based on current estimates, the Chilean Earthquake is one of the largest non-US events in the history of the global reinsurance market. As one of the world’s leading catastrophe reinsurers, Validus is committed to supporting our clients in Chile and around the world in the aftermath of this devastating event.”
The company said an initial estimate of losses from European Windstorm Xynthia is in the range of $20 million to $30 million, net of reinstatement premiums and reinsurance, retrocessional, and other recoveries.
The company said its estimates are based on a current evaluation of impacted contracts and information provided by customers and intermediaries. Validus’ actual losses from these events may vary materially from these estimates due to the uncertainties inherent in this preliminary information, the firm cautioned.
Validus Holdings, Ltd. provides reinsurance and insurance through its subsidiaries, Validus Reinsurance, Ltd. and Talbot Holdings Ltd. Talbot Holdings is the Bermuda parent of the specialty insurance group primarily operating within the Lloyd’s insurance market through Syndicate 1183.