Property and casualty insurance holding company, 1347 Property Insurance Holdings, Inc., has announced that it expects pre-tax losses from hurricane Harvey, net of reinsurance, to come in below $5 million.
Photo from the Guardian
Based on its own analysis, the company has announced that it expects the overall losses to exceed the $5 million per occurrence retention of its catastrophe excess of loss reinsurance program, but to fall well within its $195 million per occurrence limit. This means that net of reinsurance, with the company expecting to call on its reinsurance providers, the firm is anticipating to experience pre-tax losses from Harvey of less than $5 million.
1347 Property Insurance Holdings provides specialty insurance to both individual and commercial clients across Louisiana and Texas, via its wholly-owned subsidiary, Maison Insurance Company.
Primarily, Harvey impacted Maison’s Texas policyholders, with just a small portion of claims expected to come from its Louisiana policyholders. And, the firm explains that its Texas insurance solutions do not cover flood, so it expects most of the claims to come from South Texas, where wind damage has been reported owing to strong winds at landfall.
However, the company does state that it has a lot of policies in the greater Houston area where it is unable to assess losses on site owing to widespread and unprecedented flooding, suggesting the loss estimates could rise.
Chief Executive Officer (CEO), Doug Raucy, commented; “Our business exists to support our customers when they need us in exactly this type of situation. We are well-capitalized to handle these claims and have a very solid reinsurance program in place which will limit our net losses resulting from this storm.
“Our claims team is well prepared and is doing an outstanding job of providing timely and fair assistance to our customers. We are saddened by the suffering so many are experiencing and doing everything we can to help our customers to resume and rebuild their lives.”
