Hurricane Karl’s damage in Mexico may cost insurers as much as $200 million, according to catastrophe modeling firm AIR Worldwide.
The storm will probably cost at least $100 million based on estimates of wind and flood damage, the Boston-based firm said today in an e-mailed statement.
Karl hit Mexico for the second time Sept. 17 as a Category 3 storm on the five-step Saffir-Simpson scale. The storm caused flooding in parts of the state of Veracruz and a landslide in Nexticapan.
“Economic losses are likely to be significant,” and exceed the cost to the insurance industry because many property owners didn’t have coverage, AIR said.