JERSEY CITY, NJ, July 18, 2002 — Insurers are expected to pay an estimated $120 million to home owners and businesses for insured-property losses from the Rodeo-Chediski Complex wildfire in Arizona, according to preliminary projections by the Insurance Services Office, Inc.'s (ISO) Property Claim Services (PCS) unit.
The wildfire, which raged over a vast swath of parkland during late June and early July, generated over 6,000 claims for damage to residential and commercial property and vehicles. The fire destroyed an estimated 300 dwelling structures, causing an estimated $70 million in insured-property damage, PCS reports.
ISO's PCS unit defines a catastrophe as an event within a particular territory that causes $25 million or more in insured-property losses and affects a significant number of property and casualty policyholders and insurers.
PCS estimates represent anticipated insured loss on an industrywide basis arising from catastrophes, 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.