UK EARTHQUAKE LOSSES ESTIMATED AT £15M TO £30M

Last week’s minor earthquake in the England’s East Midlands is likely to cause losses of between £15m and £30m, according to estimates from Risk Management Solutions (RMS). Most of the damage was sustained in the Lincolnshire town of Gainsborough, some 18 miles from the earthquake’s epicentre. RMS said that the concentration of damage in the southern area of the town was likely to be the result of poor soil conditions and weaknesses in the buildings. Andrew Sorby, manager for Europe earthquake at RMS, said that the damage caused was largely a reflection of building construction. “Had the same event occurred in an area like California, where earthquake risk is high and properties are built to withstand ground-shaking, the damage would have been minimal”.