$325 Million Tornadoes Insurance Loss Seen
NU Online News Service, May 8, 1:27 p.m. EDT?Tornadoes that raked the Midwest earlier in the week could cost insurers at least $325 million?making it one of the top five costliest tornado events, according to the Insurance Information Institute in New York
The twisters tore across Arkansas, Kansas, Missouri, Nebraska, South Dakota, and Tennessee. I.I.I. said its preliminary estimate is based on survey of insurers.
According to the I.I.I., costs could rise as follow-on storm systems travel eastward. Meanwhile, insurance company disaster personnel and cat teams are at the sites of the events and continue to assess the damage.
Damage from the tornadoes, some with winds as high as 200 mph, included homes as well as businesses and motor vehicles. I.I.I. said standard business, homeowners and auto policies will cover wind damage from the tornadoes
The largest tornado-related loss in U.S. history was in May, 1999, when tornadoes and storms struck 18 states including Kansas and Oklahoma. In 2002 dollars it cost insurers $1.6 billion, I.I.I. said.
| Prior to 1999, the largest tornado-related loss was in 1974, when a 17-state, multiple tornado, event including Xenia, Ohio, caused insured losses of more than $1.5 billion in 2002 dollars. | |||
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