Arch Capital Group has warned that its 2021 first quarter results will be negatively impacted by the effects of North American winter storms Uri and Viola.
Arch Capital predicted its pretax catastrophe losses for Q1 will amount to between $180 million and $190 million, across its property casualty re/insurance segments, net of reinsurance recoveries and reinstatement premiums.
Included in these estimates is a de minimis amount for ongoing exposure to COVID-19 global pandemic claims in the current accident quarter.
The initial estimates for winter storms Uri and Viola are based on a range of industry insured losses of $14 billion to $16 billion. Around 80 percent of the loss is expected to come in the reinsurance business.