Catastrophe & Restoration

Due to the earthquake and tsunami in Japan, Munich Re says it will not reach its profit target for 2011 after reporting an expected loss of more $2 billion from the event.

The disaster following the tsunami that hit the Fukushima Daiichi nuclear power plant in Japan should not create a reduction in insurance capacity for such plants, but it is too early to know if the incident will result in increased pricing, according to JLT Global Nuclear Practice Group.

U.S. Senators Barbara Boxer and Dianne Feinstein have introduced a bill that would authorize the U.S. Department of the Treasury to guarantee up to $5 billion in bonds available to certified public entities like the California Earthquake Authority following a "mega-catastrophe."

Commercial property and casualty insurers could take the biggest hit both in losses and credit worthiness from the earthquake in Japan, according to a Moody's report.

Swiss Re said it expects $1.2 billion in claims from the Japan earthquake and tsunami on March 11, and warned that the estimate is subject to a high degree of uncertainty.

Japan may need five years to rebuild from the catastrophic earthquake and tsunami that has caused up to $235 billion of damage, the World Bank said Monday.