Spain's deadly floods: first loss estimates

According to Standard & Poors (S&P), the deadly floods that swept through Valencia and other Spanish cities in October 2024 may have a limited impact on private insurers and reinsurers, with the Insurance Compensation Consortium (CCS) handling the majority of claims.

The agency relies on forecasts by the CCS, a public body attached to the Ministry of Economy, Trade and Business, which estimates insured losses at 3.5 billion EUR (3.7 billion USD). This cost is mostly due to damage to homes and vehicles.

For its part, Gallagher Re estimates insured losses at 1.5 to 2.5 billion EUR (1.6 to 2.7 billion USD).

It is worth recalling that 223 people lost their lives in the floods that occurred on 29 October 2024, which were the worst to have hit Spain in decades.

In a bid to help those affected, the Spanish Government has released a new aid package worth 3.8 billion EUR (4 billion USD), including 200 million EUR (212.5 million USD) for farmers and 500 million EUR (531.3 million USD) to finance the removal of mud and debris from the stricken areas.

This comes in addition to an initial relief package worth 10.6 billion EUR (11.3 billion USD) for SMEs, self-employed workers and households that have suffered death, disability and damage to property or homes.