Thailand floods could cost insurers at least $5 billion
Flooding has inundated much of Thailand for three full months and record levels of floodwater have entered the capital of Bangkok. The flooding has impacted 64 of Thailand’s 77 provinces, affecting more than 9.9 million people with at least 427 reported dead. In its latest Monthly Cat Recap report published by Impact Forecasting, Aon Benfield, the global reinsurance intermediary and capital advisor of Aon Corporation said preliminary economic losses have been listed at THB300 billion (USD $9.8 billion), with insured losses already estimated at more than THB140 billion (USD $4.6 billion). Assessments remain ongoing as approximately 3.3 million homes and nearly 15,000 manufacturing and industrial plants have sustained various levels of inundation.
“Elsewhere in Southeast Asia, flooding persisted in parts of Laos, Cambodia and Vietnam, killing at least 342 people,” said Aon Benfield. “More than 480,000 homes were destroyed or severely damaged as extensive flooding caused substantial inundation to crops. Total combined economic losses are expected to be over USD766 million.
Meanwhile, the remnants of Tropical Storm 02B brought excessive rains to Myanmar, resulting in flash flooding and overflowing rivers that killed at least 215 people.”
Steve Jakubowski, President of Impact Forecasting, said: “Asia continues to suffer the consequences of extreme natural disaster events in 2011, and the recovery efforts for the ongoing flood crisis in Thailand particularly will be protracted and extensive. Until the floods fully begin to recede, there will remain some uncertainty as to the overall economic impact felt throughout the country. Regardless, early indications suggest this is a historic event in Thailand. The prolonged, extensive flooding is another natural disaster event for a country which has dealt with many over the years, particularly the 2004 tsunami.”
To view the full October Cat Recap report, click here. (PDF)
