Hurricane Chantal buffets insurers’ claims frequencies

Insurance companies have reported increased claims frequencies and costs in Newfoundland and Labrador as a result of tropical storm Chantal in late July.

The storm blasted the eastern third of the province with high winds and approximately 150 mm of rain earlier this week, washing out roads and causing extensive damage.

IBC’s estimates of insured losses were not available as of press time, but the bureau said it was tracking results. “While overland flooding won’t be covered, we expect to see many wind and auto claims,” an IBC representative said.

The IBC issued a statement reminding policyholders that some damage from flooding may be the result of a sewer back-up. Don Forgeron, vice president Atlantic IBC, noted that coverage for this type of damage is available as an add-on to a homeowner’s policy.