Florida’s Office of Insurance Regulation (OIR) reported $2.34 bn in insured losses from Hurricane Milton, with 189,858 claims filed and 8.4% closed.
Residential property accounted for $2.0 bn across 154,323 claims. Commercial property losses reached $107.7 mn from 4,820 claims. Homeowners insurance claims totaled 123,410, amounting to $1.61 bn in losses.
Private passenger auto insurance had 25,644 claims, but the loss amount was not determined. The claims closure rate for auto insurance stood at 16.4%, the only double-digit figure. Private flood insurance saw 1,200 claims, with losses of $13.3 mn.
Florida faces its second major hurricane, with predictions of record-breaking storm surges and flooding. Private flood insurance premiums in the state have almost tripled over the last five years, according to BestWire.
Hurricane Helene primarily caused inland flooding and storm surges in late September. Hurricane Milton is now expected to hit Florida’s central west coast this week.
A new report from Morningstar DBRS predicts that Hurricane Milton will lead to insured losses nearing $100 bn. This could reverse the stabilization of reinsurance prices observed during mid-year renewals, pushing them back on an upward path.
The insured loss estimates include damages covered by the National Flood Insurance Program (NFIP), as private insurers typically don’t cover flood damage.
In comparison, data from Hurricane Helene as of Oct. 17 showed $1.33 bn in losses with 121,689 claims, 30.1% of which were closed. Residential property contributed $575.9 mn in losses from 55,207 claims, with homeowners accounting for 43,460 claims and $449.7 mn. Residential claims saw 36.7% closure, while homeowners reached 38.3%.
Commercial property claims for Helene totaled 3,084, with $52 mn in losses. Private flood insurance claims amounted to 3,681, with $79.7 mn in losses.
Private passenger auto claims numbered 54,422, with an undetermined loss value, and 27.1% of those claims were closed.
Florida insurers closed 59.4% of claims from other lines, which include fire, marine, auto physical damage, crop insurance, and more. Commercial property saw lower closure rates, with 24.5% of 593 claims closed. Private flood claims closed at 14.5%, and none of the five business interruption claims had been resolved.
by Yana Keller
