NEW YORK, August 30, 1999 – U.S. insurers are expected to pay an estimated $30 million to businesses and homeowners in Texas for insured-property losses from Hurricane Bret, according to preliminary estimates by Insurance Services Office, Inc.'s (ISO) Property Claim Services (PCS) unit.
Hurricane Bret, the first hurricane to strike the United States this season, made landfall on August 22 in a sparsely populated area south of Corpus Christi. As the hurricane moved inland, winds decreased, sparing southern Texas from a major catastrophe.
PCS estimates that policyholders have filed with insurers more than 13,000 claims, most resulting from interior rain damage caused by leaking roofs. Hurricane Bret dumped more than 20 inches of rain on the region.
ISO's PCS unit defines a catastrophe as an event that causes $25 million or more in insured property losses and affects a significant number of property and casualty policyholders and insurers.
The PCS estimate represents anticipated insured loss on an industry-wide basis arising from the catastrophe, reflecting the total net insurance payment for personal and commercial property lines of insurance covering fixed property, personal property, vehicles, boats, related property items, and business-interruption losses. The estimates exclude loss-adjustment expenses.