CNA expects $143 million in catastrophe losses, led by Hurricane Helene
CNA expects $143 million in catastrophe losses, led by Hurricane Helene | Insurance Business America
Catastrophe & Flood
CNA expects $143 million in catastrophe losses, led by Hurricane Helene
Hurricane Helene and other events drive pretax net catastrophe losses
Catastrophe & Flood
By
Kenneth Araullo
CNA Financial Corporation announced it expects to report pretax net catastrophe losses of $143 million for the third quarter of 2024.
Approximately 75% of these losses are attributed to four major events, including $55 million from Hurricane Helene. The remaining $35 million in losses is spread across several other events from the quarter.
The catastrophe losses consist of $127 million in the commercial segment and $16 million in the international segment. CNA stated that the combined ratio impact of these catastrophe losses aligns with its third-quarter average over the past five years.
In addition, CNA expects to report pretax net catastrophe losses related to Hurricane Milton, estimated between $25 million and $55 million, in its fourth-quarter 2024 results.
CNA’s chairman and CEO, Dino E. Robusto (pictured above), expressed concern for those affected by the recent hurricanes and other catastrophic events during the third quarter.
“We are all saddened by the devastation and destruction from Hurricanes Helene and Milton as well as other catastrophic events during the third quarter. Our thoughts are with those that lost loved ones, homes, and businesses and everyone suffering and working to recover,” Robusto said.
CNA is scheduled to report its full third-quarter 2024 results on Nov. 4, before the market opens.
Preliminary figures for the first three quarters of 2024 show global economic losses from natural catastrophes at $280 billion, with insured losses reaching $108 billion, according to Gallagher Re.
While overall losses remain slightly below the recent 10-year average of $309 billion, insured losses have exceeded the decadal average of $102 billion by 5%, primarily driven by a higher frequency of low-to-mid-size events with losses of $2 billion or less.
Gallagher Re notes that much of the insured losses have been attributed to “non-peak” perils such as thunderstorms, floods, and wildfires, which have accounted for 68% of overall economic losses and 76% of insured losses.
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