January Winter Weather Could Cause over $1.5B in Insured Losses

Insurers could see over $1.5 billion in losses stemming from “no fewer than four separate stretches of winter weather” in the U.S. in January, Aon Benfield says in its monthly wrap-up of global catastrophes.

Roughly $1.4 billion in insured losses stems from one particular stretch of winter weather during the second week of the month, when the central and eastern U.S. dealt with the coldest temperatures in two decades. The Great Lakes and Ohio Valley saw more than 20 inches of snow during that week while the Northeast and Mid-Atlantic contended with freezing rain. The event caused over 150,000 claims.

Other winter-weather events earlier and later in the month caused thousands more claims and more than $500 million in economic damages.

Elsewhere around the world, Europe saw a continuation of an active windstorm season, with storms Anne and Christina hitting the western and northern sections of the continent.

New Zealand’s lower North Island was struck by a 6.2 magnitude earthquake, causing just under 3,000 claims, which are expected to result in millions of dollars in payouts.

Brushfires swept through multiple Australian states, the worst of which occurred in Western Australia’s Perth Hills region where insured losses are expected to top $13 million.