The earthquake that struck California’s central coast on Dec. 22 could generate insurance claims of between $40 million and $60 million. The initial shockwave, registering 6.5 on the Richter scale, was followed by nine aftershocks of at least 4.0 in the following three hours, according to the U.S. Geological Survey.
While no claims data was reported as of Dec. 23, the Newark, Calif.-based Risk Management Solutions said insurers would feel a “moderate” impact from the claim. That hit could translate into mid-eight figure claims totals, according to RMS, which pointed out that levels of insurance and underinsurance in areas where the quake hit, primarily agricultural centers, were hard to predict.
Researchers reported that 41-60 buildings in the downtown Paso Robles area, located 24 miles from the quake’s epicenter, were damaged or destroyed.
Topics Profit Loss
Was this article valuable?
Here are more articles you may enjoy.
Viewpoint: Why Florida Property Insurance Rates Might (and Might Not) Keep Falling 
Viewpoint: Boom in Hyperscale Data Centers Puts Re/Insurers to the Test 
Florida’s Unemployment Rate Is Surging Even as High-Profile Companies Move In 
North Carolina Becomes First State to Pass Outright Ban on Litigation Financing 
