Hurricane Beryl Causes $2.7 Billion in Damage to U.S. Insurers, Power Outages Persist in Texas
As the world's top investment manager and financial market journalist, I bring you the latest update on the aftermath of Hurricane Beryl. According to catastrophe modeling company Karen Clark & Co (KCC), insurers in the United States are facing a staggering $2.7 billion hit from the damage caused by the hurricane.
With about 1.5 million customers still without power in Texas, the slow progress in restoring electricity is hindering efforts to restart critical oil infrastructure. Hurricane Beryl made landfall as a Category 1 hurricane near Matagorda, Texas, causing heavy winds that knocked down power lines and damaged property.
The estimated losses in the U.S. include damage to residential, commercial, and industrial properties, as well as automobiles and business interruption. However, it does not account for losses related to boats, offshore properties, or the National Flood Insurance Program.
Additionally, KCC reported that privately insured losses in the Caribbean are expected to be around $510 million, while Mexico is facing $90 million in damages. The path of Hurricane Beryl stretches from the Windward Islands in the Caribbean to the Texas Gulf Coast.
Reinsurance broker Gallagher Re predicts that U.S. economic losses from Beryl will exceed $1 billion. Weather forecasting firm AccuWeather's preliminary estimate puts the total damage and economic loss at $28 billion to $32 billion.
In conclusion, the impact of Hurricane Beryl on insurers, businesses, and individuals is significant, with billions of dollars in losses and ongoing power outages in Texas. It is crucial for investors and the general public to stay informed about the financial implications of natural disasters like this one, as they can have a lasting effect on our lives and finances.