By Elliott Laudeman, vice president, InsuranceUnderwriters Ltd.

Although it was only a Category 3 storm when it made landfalland didn't directly hit New Orleans, Hurricane Katrina turned theBig Easy into a living hell. It was at 3 a.m. on Aug. 29, 2005 thatNew Orleans changed–forever.

This is a reflection of the insurance loss suffered by theSugarBowl, some four months before the 71st annual football game wasplayed. The events leading up to that game provide textbookmaterial for insurance scholars on how to handle catastrophicclaims.

Read on for a slideshow on how we went from disaster to gameday.

Camped out in the Superdome after Katrina, August 2005
(Photo by Mario Tama/Getty Images)

First, the facts:

1. The Sugar Bowl football game is played each year in theSuperdome.
2. The Sugar Bowl office is located in the Superdome.
3. Vandalism and water, not wind, did most of the damage to theSuperdome.

The story begins with New Orleans' order for mandatoryevacuation on Sunday, Aug. 28, 2005. In spite of this, almost20,000 residents did not leave and were “housed” in the Superdomeas a “refuge of last resort.” This created a big problem for theSugar Bowl offices, which were broken into by temporary residentslooking for food, water and items of value.

Read related: “Claims Visitors Eye Katrina'sAftermath.”

Interior office damage

I personally visited the Superdome within a day or two after theArmy evacuated the building. It looked like a war zone: watereverywhere, human waste on the floor, toilets overflowing, holes inthe roof, vandalism throughout and a smell that wasindescribable.

I realized we had a multifaceted claim on our hands. I firsttried to reach the office staffers, who had evacuated and wereliterally scattered across the U.S. Within a few weeks, however,they set up a temporary Sugar Bowl office in Houston and I begancommunicating with employees who could help with the adjusters andthe settlement of the various claims.

Read related: “After Court Battles, La. Citizens Seeksto Settle Thousands of Katrina Claims.”

Interior office damage to the “trophy room” included vintagephotos and memorabilia

Communications were difficult with the insured in Houston andoverworked adjusters and contractors. The situation in New Orleanswas even more difficult with the lingering water, lack ofelectricity and limited phone and computer service. Access to theSuperdome was also restricted, which made loss assessment moredifficult. I set up a temporary office and home in Baton Rouge, amove that allowed me to continue operations. (Thank God for cellphones and text messages!)

In the wake of Katrina, the Superdome was untenable and the bigquestion was whether it should be torn down or renovated. Whilethis discussion was underway, the Superdome's major tenants,Tulane University Football and the New Orleans Saints, arrangedto play their 2005 home games outside of New Orleans. It wasfinally decided to repair the Superdome and the repairs andrenovations quickly began.

Read related: “More Costly Weather Disasters on theWay, Climate Scientists Warn.”

Paul Hoolahan, Sugar Bowl CEO (right), outside office duringcleanup

Ultimately, the Saints announced they would be returning to NewOrleans and over a year later, they played their first home gameagainst the Atlanta Falcons on Monday Night Football on Sept.25, 2006. The Saints won an electrifying game 23 to 3, before apacked house and record TV audience.

Fortunately, K&KInsurance, the Superdome's broker, had an experienced adjusterassigned to the vandalism (betterments and improvements pluscontents) claim. Because no contractors were readilyavailable, Scott Archer of Axis Adjusters itemized thereplacement cost and issued checks based on his estimate, subjectto future adjustments.

Sugar Bowl Director of Business Operations Kathy Garpardoutside office during cleanup

By this time, the Sugar Bowl headquarters had moved from BatonRouge to Houston and were operating with a makeshift staff andoffices.

Sometime in September 2005, Sugar Bowl management decided toplay the 2006 game which was part of the Bowl Championship Series,choosing theGeorgia Dome as the site. This entailed moving the Sugar Bowl'soffice and staff to Atlanta for what turned out to be about asix-month period. In addition, two general membership meetings hadto be held on site in November and December to familiarize thevolunteer membership with the “lay of the land.” Management alsohad to make arrangements for members for seven days during gameweek. This included air transportation, hotels and meals for 79active volunteer members.

In addition, team and official party hotels, entertainment,practice facilities and transportation to Atlanta had to bearranged and purchased.

Jan. 2, 2006: Game day! (AP Photo/Rob Carr)

As you can imagine, the extra expense was one of the firstchecks received by the Sugar Bowl. The full amount, about $250,000,was distributed in December and helped to defray the relocationcosts.

In addition to the extra expense coverage, the Sugar Bowl alsocarried a game cancellation policy, written through Lloyd's ofLondon. This policy, written through HCC Specialty Underwriters Inc., paid approximately $600,000and included loss of income and/or costs necessary to relocate thegame. The proceeds of this policy plus the extra expense coveragereimbursed the insured for most all of the relocation expenses.

Final score: West Virginia 38, Georgia 35 (AP Photo/JohnBazemore)

After many days and months of planning, travel and hard work,the two teams were chosen for the 71st annual Sugar Bowl game: WestVirginia vs. Georgia. It was an exciting game and West Virginiaupset the home standing Bulldogs, 38 to 35. ESPN ranked the 2006Sugar Bowl game as No. 6 on its list of the best Bowl games of theBCS era.

With adequate insurance and a hard-working staff, the Sugar Bowltradition was carried forward one more year. “It was just anotherday at the office,” said Paul Hoolahan, the Sugar Bowl CEO, as thefinal whistle blew.