Universal Insurance Holdings, the Florida headquartered and expansive primary insurance carrier, has announced Q3 2020 estimated catastrophe losses resulting in “full retention events” for Hurricane Isaias and Hurricane Sally.
An announcement from the insurer on its catastrophe losses for the third-quarter related to the two hurricanes, suggests the firm has called on its reinsurance protection for both events.
According to Universal, Hurricane Isaias is estimated to have resulted in a full retention event, which translates into a $15 million (pre-tax) loss, with the storm qualifying under its Other States reinsurance program.
At the same time, Hurricane Sally is estimated to have resulted in a full retention event for Universal in Q3, which translates into a $43 million (pre-tax) loss, with the event coming under its All States reinsurance program.
Combined, these two events resulted in a net impact of roughly $58 million, pre-tax, or approximately $44 million, after-tax.
The fact that these two storms used up the full retention suggests that in both cases, the company’s losses exceeded those levels and the remainder of the gross losses are set to be picked up by Universal’s reinsurers.