Validus Re estimates flood losses at $69.6m

Validus Re has said its estimated losses from the European floods in May and June of this year will total approximately $69.9 million. Validus will bear the brunt of the cost, but operating segments Talbot and Alpha Cat will also carry some losses.

The flooding affected large areas of eastern Germany, the Czech Republic, Austria, Hungary and Slovakia. Total losses for the industry as a whole are expected to be between $4 billion and $5 billion. Swiss Re, which also released a loss estimate this week, expects its losses to be around $300 million.

The flooding, which was caused by heavy rainfall, made news both for its severity and for the preventative measures that many residents took, including mobile barriers erected in Prague, to protect their homes and cities from flooding.

Matthais Weber, Swiss Re’s group chief underwriting officer, said: “Thanks to timely prevention measures, large areas have been saved from flooding. With the right prevention measures in place, insurers can offer more affordable coverage, which means that more people and businesses can benefit from insurance.”