Floods in Louisiana, limited impact on insurers

The floods that have heavily hit southern Louisiana since August 12, 2016 will have a limited impact on insurers. Louisiana is considered as one of the States where the number of flood insurance policies is the lowest. Out of a total of 2.02 million households, only 452 208 are covered by a flood policy under the National Flood Insurance Program (NFIP).

According to the broker Aon Benfield, the economic losses are estimates at1.5 billion USD to-date. The catastrophe caused the evacuation of 30 000 people and killed 13 others. We count 40 000 damaged or destroyed dwellings. As compensation, the affected persons will receive a first federal aid of 33 000 USD. This amount covers the replacement and repair fees of the damaged houses.

Read also:

• United Kingdom: floods estimated at 1.75 billion USD for insurers
• France: Floods, 1 to 1.6 billion USD for insurers