The Insurance Council of New Zealand (ICNZ) has revealed that claims from Cyclone Fehi, which hit the country on February 1st, 2018, have already cost re/insurers almost NZ $38.5 million (US $28 million), with additional claims anticipated as more damage emerges.
Cyclone Fehi battered New Zealand’s North and South Islands with windspeeds of 140kph, causing widespread wind damage and flooding in coastal towns, with states of emergency declared in Dunedin and Buller.
Fehi made landfall less than a month after the remnants of a major January storm had receded, resulting in significant combined costs.
“We’ve had $65.2 million in insured losses from extreme weather events already this year, off the back of two storms in the first quarter of 2018, and we’re yet to receive the data for Cyclone Gita,” said Tim Grafton, Chief Executive Officer (CEO) of the ICNZ.
He added: “It’s important that we don’t lose sight of the impact cumulative extreme weather events can have. And this is the sort of thing we can expect to see with ongoing climate change – more frequent, more severe storms.”
$22.3 million was claimed in domestic losses alone after Fehi, which accounted for over 58% of total costs, with the remainder largely attributed to commercial and motor claims.
