S&P 500
7,588.60
+0.51%
Dow Jones
52,758.90
+0.47%
Nasdaq 100
29,885.70
+0.46%
Russell 2000
2,982.51
-0.27%
FTSE 100
10,543.60
+0.61%
Nikkei 225
69,317.20
+0.42%

Banking, finance, and taxes

Insurers Bracing and Prepping for Hurricane Sandy

Photo of Jon C. Ogg
By Jon C. Ogg Updated Published

Invalid Image
If Hurricane Sandy remains a Category 1 hurricane, property and casualty insurers may end up be on the hook for damages more than the reinsurers. We have seen an estimate of damages from the storm exceeding $3 billion for the insurers, but until this actually hits and the damage occurs, it will be very difficult to tally up. Wind damage and flood damage are assessed differently, so we will lay off any real expectations with U.S. markets closed for trading.

Reinsurance stocks are trading lower in Europe, with Swiss Re shares down 2.6% and MunichRe is down almost 2%. As a reminder, Berkshire Hathaway Inc. (NYSE: BRK-A) has exposure to reinsurance claims.

Chubb Corp. (NYSE: CB) has not really traded overseas, and Allstate Corp. (NYSE: ALL) looks as though it was indicated down between 1% and 2% in very thin overseas trading indications. Until the NYSE reopens for trading this week, these two insurers may be very hard to assess as far as stocks are concerned.

Another issue to watch is Crawford & Co. (NYSE: CRD-B), as it provides claims management solutions to insurance companies and self-insured entities. We think of it almost as an army of individuals as insurance claims adjusters.

JON C. OGG

Contact [email protected] for any questions or corrections.

Follow 24/7 Wall St. on Google
Photo of Jon C. Ogg
About the Author Jon C. Ogg →

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

Continue Reading

Jon C. Ogg |

The Awful Financial Impact From Japan’s 8.9-Quake (EWJ, JEQ, JOF, DXJ, SNE, TM, HMC, BRK-B, SNDK, MU)

It is hard to focus solely on the economic impact of tragedy and catastrophe when you read headlines such as…

Jon C. Ogg |

The Most and Least Exposed Insurance Earnings Risk from Hurricane Sandy

flickr / gsfcEarlier today we outlined some of the risks which were seen in overseas trading of the Property &…

Jon C. Ogg |

Counter-Intuitive: Insurance Stocks Rising After Hurricane (ALL, TRV, CB, HIG, BRK-B, RE, PRE, CRD-B)

Any time a hurricane hits, it can cause billions of dollars in damage to homes, cars, businesses, and other properties. …

Jon C. Ogg |

After Hurricane Irene, Tropical Storm Katia Poses Next Threat (ALL, TRV, CB, ALL, BRK-B, RE, PRE, CRD-B, LOW, HD)

The worst part about hurricane season is that one bad hurricane has no impact on whether or not another hurricane,…

Jon C. Ogg |

Insurers with Largest and Least Earnings Risk from Hurricane Sandy

The preliminary estimates for the damage of Hurricane Sandy seem to be coming in the $5 billion to $10 billion range.…

Insurers Bracing for Hurricane Florence, More Storm Threats Coming
Jon C. Ogg |

Insurers Bracing for Hurricane Florence, More Storm Threats Coming

The property and casualty insurers often see their shares trade lower ahead of and into major storms because the losses…

Could Hurricane Irma Cause $125 Billion in Insured Damages?
Jon C. Ogg |

Could Hurricane Irma Cause $125 Billion in Insured Damages?

Credit Suisse has issued some initial views on what to expect from damages on the insurance side of the equation…

Paul Ausick |

European Markets Falling on Effects of Sandy

Major European equities markets are trading lower today as investors are waiting to see the impact of Hurricane Sandy on…

Chris Lange |

Why Jefferies Sees 5 Big Winners From This Hurricane Season

A few companies dealing in the areas affected by Hurricanes Harvey and Irma stand to win handily from this hurricane…

Top Gaining Stocks

Meta
META • Vol: 40,760,422
CarMax
KMX • Vol: 2,288,021
Weyerhaeuser
WY • Vol: 6,523,553
SBA Communications
SBAC • Vol: 1,443,801
NVIDIA
NVDA • Vol: 148,249,982

Top Losing Stocks

Moderna
MRNA • Vol: 9,176,778
Coterra Energy
CTRA • Vol: 73,319,495
CrowdStrike
CRWD • Vol: 9,269,567
Datadog
DDOG • Vol: 5,135,556
EPAM Systems
EPAM • Vol: 1,164,561