Florida-only insurers have the most to lose to Idalia
According to Moody's, 44% of the state's homeowners business belongs to the top 10 Florida-only insurers.
On Wednesday morning, now-tropical storm Idalia made landfall near Keaton Beach, Florida as a Category 3 hurricane with 125 mph winds. According to NPR, Idalia remained a hurricane with 90 mph winds as it moved into Georgia before weakening to a tropical storm as it hit South Carolina.
No fatalities have been reported because of the storm, but between storm surge and the substantial amount of rain dumped by Idalia, many areas are dealing with flooding and power outages.
On Thursday, Florida Governor Ron DeSantis announced that all state bridges in areas that were impacted by the hurricane had been cleared by the Department of Transportation. This should allow better access for first responders and linemen to reach the affected areas.
While it’s still too early to know exactly how much damage from the storm will cost, based on high-resolution models Karen Clark & Company estimates privately insured losses from Hurricane Idalia will be near $2.2 billion – with less than $5 million from wind damage in the Caribbean, and the rest from wind and storm surge in the United States.
A preliminary report from Moody’s Investors Service warned Florida-only insurers (those with at least 80% of their homeowners and commercial property premiums written in Florida) were most vulnerable to Idalia – with 44% of the state’s homeowners business written by the top ten Florida-only insurers.
An NOAA bulletin issued Thursday afternoon stated Idalia was losing its tropical characteristics – moving eastward at about 20 mph – but strong winds and storm surge were continuing along the North Carolina coast. They expect Idalia will continue to move away from North Carolina before approaching Bermuda sometime during the weekend.