Chubb reports disaster losses up to $475 million in 3Q
The insurer of posh homes and corporate properties, Chubb Corp, has calculated $400 to $475 million in damages led by the most recent Hurricane Irene which struck the nation last month.
The indemnification against storm-led losses will cost the Chubb Corp, $1.07 a share, after tax, declared company sources through PR Newswire. For the quarter losses, the company would have to bear Irene-specific losses between $300 million to $375 million added company data.
Nevertheless, Chubb’s shares strengthened up by 0.7% to remain at $59.35 in after-hours trading.
In July, Chubb reported operating revenues from its second quarter to have been eaten up by 19 percent owing to this catastrophe.
Storm swayed homes and businesses in millions
Last month’s hurricane Irene was the first to swing out nation after 2008.
The storm whaled the East Coast, knocking down trees and flooding homes and literally pouring down the states of North Carolina and New York.
The storm has saddened the profits of Warren, New Jersey-based Company, a renowned property-and-casualty insurer.
Along with Chubb Corp, other insurers like Northbrook had also faced huge losses in their second quarter owing to the storm.
Chubb, nation’s 10th biggest insurer
Chubb has confirmed it will make public its all-inclusive third quarter reports on Oct. 20 after 4 p.m., N.Y time. However, the company has asked investors to firm up for the pretax loss count from $400 to $475 million, on account of Hurricane Irene.
Despite heavy losses bore by property-and-casualty insurers, the top rating agencies still place the few insuring companies in higher ratings. Although it can not be denied that recent catastrophes, coupled with prolong credit and financial crises have given serious set back to the nation’s insuring industry.
Based on the underwritten premiums, Standard & Poor's Ratings Services puts Chubb amongst the 10th biggest insurance companies in states slapped by Hurricane Irene.