Brought to you by:

Insurers face large bill following Asia disasters

A cyclone that struck India last month and a string of other natural disasters across Asia will cost millions in claims, according to Aon Benfield-owned catastrophe modeller Impact Forecasting.

Cyclone Hudhud made landfall in Andhra Pradesh state, causing heavy flooding and structural damage to properties as it moved inland.

Impact’s catastrophe report for last month says insurance claims from the cyclone are estimated at more than $US650 million ($759 million), with economic losses at $US11 billion ($12.8 billion).

Japan was hit by super typhoons Phanfone and Vongfong, which caused economic losses of at least $US200 million ($234 million).

“Insurers in Asia are coping with a series of cyclones that have led to considerable damage… most notably in India and Japan,” Impact Associate Director Steve Bowen said. “The past two years of cyclone landfalls in Asia… have shown that tropical cyclones are becoming an increasingly costly peril for insurers with exposures outside the US.”

A magnitude-6 earthquake in China’s Yunnan province injured 325 people and damaged almost 51,000 homes, with total economic losses of $US278 million ($325 million).

Economic losses from monsoon rains in Sri Lanka are not yet known, but they have claimed at least 38 lives.