Costs From Isidore and Lili Higher Than Expected

Damage from Tropical Storm Isidore and Hurricane Lili will cost insurers in Louisiana nearly $600 million, an amount much higher than originally estimated, according to Acting Insurance Commissioner Robert Wooley.

Industry loss data indicates $105 million in total insured losses for Tropical Storm Isidore in Louisiana, and $471 million in total insured losses for Hurricane Lili, for a combined $576 million in insured losses with approximately 166,200 claims filed for the two storms. Wooley says these estimates include flood insurance claims.

The insurance department originally estimated that insured losses from Lili would be around $170 million and those from Isidore around $70 million.

A breakout of storm figures shows that Isidore generated about $71 million in homeowners losses, $24 million in private passenger auto losses and $10 million in commercial property losses. Lili generated about $400 million in homeowners losses, $22 million in private passenger auto losses and $49 million in commercial property losses. Flood insurance losses alone will total $52 million for Isidore and $32 million for Lili.

“These figures are the actual dollar amounts that insurance companies have paid or will pay out,” says Wooley. “Although a number of claims have not been finalized, the vast majority have been settled, and totals for the ones remaining can be closely estimated based on experience with past storms.”

Hurricane Andrew, which hit the Gulf Coast in 1992, generated an estimated $500 million in insured losses in Louisiana.

Consumers with insurance-related questions or possible claims problems can call the department at either (800) 259-5300 or (225) 342-1258, or by e-mailing the agency at public@ldi.state.la.us.

Topics Profit Loss Louisiana