Hurricane Debby losses pegged at $1bn-$2bn: Gallagher Re

Insured losses from Hurricane Debby are expected to fall within a range of between $1bn and $2bn, according to an estimate from Gallagher Re, which said the size of the loss is “very manageable” and lower than estimates from the first hurricane this season to make landfall, Beryl.

The estimate of losses from the storm, which made landfall in Florida and South Carolina, covers wind and water-related damage, including the US National Flood Insurance Program (NFIP). But Gallagher Re warned the estimate is subject to change, with the impact of the storm, now downgraded to a tropical storm, continuing in the southeast states.

It added that economic losses will significantly exceed insured losses, with the take-up of NFIP cover ranging between 10% and 50% in coastal areas, reducing for more inland areas.