Isabel Loss $500 M-$2 B: RMS

Isabel Loss $500 M-$2 B: RMS

NU Online News Service, Sept. 17, 5:17 p.m. EST--Newark, Calif.?based Risk Management Solutions said today that it estimates that insured losses from Isabel could fall in the $500 million-to-$2 billion range.

The provider of products and services for the management of catastrophe risk projected that insured losses approaching the lower figure--roughly $500 million?could be realized if the storm continues on its current track toward Cape Lookout in North Carolina.

If the storm makes landfall further north, with a more direct strike on Norfolk, Virginia Beach, and the Chesapeake Bay region, insured losses could be as high as $2 billion, RMS said.

Hurricane Isabel is currently a borderline Category 2-to-3 storm, and is expected to make landfall on Thursday afternoon (local time).

"There is continuing uncertainty around Hurricane Isabel's intensity at landfall and its track," commented Brian Owens, meteorologist and director of technical marketing at RMS, in a statement. "But the meteorological factors that have been guiding Isabel's track, including a high-pressure system over the Northeast, are expected to remain stable, steering Isabel away from the areas of higher exposure further to the north."

RMS will continue to monitor the hurricane as it approaches land. Wind speeds at landfall are currently forecast to be in the range of 100-to-110 m.p.h., making the storm a strong Category 2 hurricane based on wind speed.

Losses related to storm surge could extend into Chesapeake Bay, particularly if the storm makes landfall further to the north, RMS said.