JONAS INSURED LOSSES NOT EXPECTED TO TOP $1BN – FITCH

Insured losses from US winter storm Jonas are not expected to exceed $1bn, Fitch Ratings’ director Chris Grimes has estimated. Speaking to Insurance Day, Grimes said business interruption losses from the storm have been kept to a minimum as the storm battered the eastern seaboard over a weekend rather than during the working week. The majority of losses will be homeowners claims as well as some commercial losses, Grimes said. The economic impact of the storm will likely be significantly higher - Aon Benfield recently estimated the storm could be a multi-billion dollar economic loss event. The storm, known as Jonas, impacted 20 states in the eastern US from January 22 to 24, delivered record-breaking snow totals and produced hurricane-force wind gusts. However, AM Best said it does not expect the storm to impact ratings. "While the magnitude and size of the event was significant, generally speaking it is expected that company-specific losses should be within risk management tolerances," the rating agency said.