Global property information, analytics and data-enabled service provider, CoreLogic, has announced a preliminary total economic loss estimate for the impacts of hurricane Irma, of between $42.5 billion and $65 billion, and an insured property loss of up to $27 billion.
Of the overall loss, CoreLogic estimates flood damage to residential properties of between $25 billion and $38 billion, which includes storm surge, inland and flash flooding that occurred in Florida, Alabama, Georgia, North Carolina and South Carolina. CoreLogic estimates that between $5 billion and $8 billion of the residential flood loss is insured, with between $20 billion and $30 billion being uninsured.
“As a result, an estimated 80 percent of flood damage to residential properties from Hurricane Irma is not covered by any flood insurance,” says CoreLogic, which highlights the huge protection gap that exists in developed markets around the world.
CoreLogic estimates that the insured residential flood loss that’s protected by the National Flood Insurance Program (NFIP) is between $5 billion and $8 billion, which is around 25% of damaged homes, and includes storm surge flooding, inland, and flash flooding.
The insured commercial flood loss, according to CoreLogic, is estimated at between $4 billion and $8 billion, with data for uninsured commercial flood loss unavailable.
CoreLogic estimates an insured loss as a result of wind damage for both residential and commercial properties of between $13.5 billion and $19 billion from the impacts of Irma.
$11 billion to $15 billion of the overall wind damage represents residential loss, says CoreLogic, with the majority of the hurricane wind typically being covered by the private insurance sector.
$2.5 billion to $4 billion of the total wind damage represents commercial loss, according to CoreLogic’s analysis.