Property

The exit in London comes at a time of wider market discussion around the adequacy of cat pricing.

The deductibles bill passed by the Senate and signed into law during the summer has raised concerns among underwriters and brokers.

With loss exposure reduced, FM Global is doling out premium offsets of up to 15% on renewals to policyholders.

“Certainly, I'm concerned about solvency, but I'm extremely confident that we will come out of this with as robust and competitive a property insurance market based on these small regional carriers,” Donelon told this publication.

The cat modeller’s estimate follows a $950mn projection from Karen Clark and Company.

“We can't lose sight of the fact that we are in the business of actually mitigating risk,” the executive said in an interview with Inside P&C.

“When you deploy property aggregate, the return you need on that is meaningful in light of the risk that you’re assuming,” Zaffino said Thursday. “I’m not sure if a plus mid-single digit [rate increase] gets you there in light of the [loss activity] we’re looking at.”

The updated loss estimates come on top of the $14bn to $19bn industry loss range the analytics firm provided last week.

The quake caused building damage and downed power lines, leaving at least one person dead.

The reinsurer warns that climate risks could increase average weather-related property cat losses in advanced markets by more than 60%.

Casinos and ski resorts have shut down, and hotels are housing firefighters in usually buzzing holiday destinations near South Lake Tahoe, California.

The estimate includes damage to residential, commercial and industrial property and vehicles.