(Bloomberg) -- Hurricane Ida could cost insurers at least $15 billion, according to one of the earliest estimates, as analysts start assessing the damage from one of the most
That was the low end of a preliminary estimate by Wells Fargo & Co. insurance analysts led by Elyse Greenspan, who said damages covered by insurers could be as high as $20 billion, according to a note to clients on Sunday.
Some past storms, including Hurricane Katrina, left extensive damage that wasn’t clear until days after landfall, so early estimates are subject to major modifications. RBC Capital Markets’ Mark Dwelle said $20 billion is a good starting point, but he warned that energy losses are still unknown, there could be further inland damage and levy failure sometimes occurs awhile after the hurricane first strikes.
“The winds continue to blow and water levels continue to surge,” Dwelle said Monday in a note to clients. “It could be some time before a full picture of insured losses emerges, but, at this point, we are not expecting a ‘worst case’ loss, though we would expect a sizable total” that could affect insurance pricing.
Insurers in the region have been
