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European storms may cost billions

Insured losses from Windstorm Christian in Europe will be between €1.5 billion and €2.3 billion ($2.12 billion-$3.26 billion), according to catastrophe modeller AIR Worldwide.

“While the size of individual claims is expected to be relatively low, the overall volume of claims is expected to be significant due to the size of the affected area,” it said.

Two low-pressure systems hit the UK, northern France, Belgium, the Netherlands, Denmark and northern Germany from October 27-29, killing at least 15 people, disrupting travel and knocking out power.

AIR Worldwide expects insured losses will be highest in Denmark, followed by Germany, the Netherlands, France and the UK.

Willis Re’s insured loss estimate is lower at €800 million to €1.3 billion ($1.13 million-$1.6 billion).

“While definitely not one of the largest windstorms to have affected Europe, it is the largest in Europe since the 2010 loss, when Windstorm Xynthia cost the industry about €1.3 billion,” Executive Director John Alarcon said.

Willis Re says the UK was hardest hit, with initial insured losses of up to £500 million ($850 million), but higher costs possible.

Next was Germany at up to €400 million ($567.25 million) and Denmark at €325 million ($461 million), it says.

UK insurers expect to handle 105,000 claims and pay out £130 million ($221.16 million), according to initial estimates from the Association of British Insurers.