Last month RMS (Risk Management Solutions) estimated how much Hurricane Irene will cost the Property and Casualty industry.  The California based company estimates that the insured loss for the United States will be between $2 billion and $4.5 billion, which do not include inland flood losses and all National Flood Insurance Program losses from surge and rains.  Another company, AIR Worldwide estimates the losses to fall between $3 billion to $6 billion.  In addition to the US losses, RMS estimates that the losses in the Caribbean due to a Hurricane Irene being a Category 3 to be about $500,000 million to $1 billion

"Our estimate range reflects some uncertainty, including the definition of hurricane versus non-hurricane deductibles for individual states, and the uncertainty surrounding losses from damage caused by tropical storm winds," said Michael Kistler, director of Model Solutions at RMS. "During Irene, a large swath of tropical-force and low hurricane-force winds swept across a large area of exposure causing widespread, low-levels of damage."

Hurricane Irene made landfall on August 27, 2011 as a category 1 hurricane near Cape Lookout, NC and then made landfall again near Little Egg Inlet, New Jersey on August 28.  The hurricane became a post tropical storm and continued over the United States east coast and up into Canada.  Losses from wind, storm surges and inland flooding were observed in the northern portions of the Caribbean and along the east coast from North Carolina to Vermont.

With downed power lines, Hurricane Irene caused a widespread of power outages in the area.  The damage caused in the Mid-Atlantic and Northeast area include reports of total roof detachment but most of the non-flooding damage was less severe with damage to roofs, windows, siding and cars  caused by downed trees and branches.

With the possibility of Hurricane Irene making landfall along the East Coast the White House is urging people to be prepared for the possible impact which could pose a threat to people living on its path.  Don’t wait until the last minute to get prepared.  Start now so that you may keep yourself and your loved ones safe.

It is important to make a Disaster Supply Kit. The following is a list of supplies you should have in the kit:

• Water-  at least one gallon daily per person for 3 to 7 days
• Food- enough for 3 to 7 days
• non perishable packaged or canned food;
• food for infants or  the elderly
• Manual can opener
• Utensils and paper plates
•  Blankets, Sleeping Bags  and Pillows
• Clothing
• Long and short sleeve shirts
• Pants and shorts
• Sturdy shoes
• Rain gear
• First aid Kit/Prescriptions
• Flashlight- battery operated (extra batteries)
• Pet supplies including food, immunization records, leash
• Toiletries
• Cell phone- charged and extra battery
• Cash and credits cards
• Keys to house and car
• Games, toys and books
• Important documents including insurance, bank accounts, medical records, etc
• Wrench and pliers to turn off utilities
• Radio- so you can listen to news in case of no power

Prior to any disaster you should meet with your family and have a family plan.  This plan should include

• Discuss the type of hazards that can affect your family such as storm surges, flooding, wind
• Locate the safest room in your home or community for each hurricane hazard.
• Determine escape routes from your home and places to meet.
• Have an out of state family member or friend that is a single point of contacts for all members of your family
• Have a plan for what to do with you pets in case of evacuation
• Make sure your children have all emergency numbers and know how to call these numbers.  Post numbers near phones
• Take First Aid, CPR and disaster preparedness classes

In the event that you are evacuated the following guidelines will help you to evacuate safely:

• Keep a full tank of gas in your car.  Gas stations may be closed or not have power to allow you to pump gas
• Make transportation arrangements with friends or government agencies if you do not have a car
• Gather disaster supply kit
• Listen to a battery operated radio and follow evacuation instructions
• Gather your family and follow evacuation instructions
• Leave early enough so that you avoid being trapped by severe weather
• Follow evacuation routes.  Do not take shortcuts as they may be blocked
• Be alert for washed out roads and bridges.  Avoid all flooded areas
• Stay away from downed power lines

If time permits:

• Make sure you are wearing sturdy shoes and clothing that protects you from the rain and bad weather conditions such as long pants, long- sleeved shirts and a hat
• Secure your home by locking and closing windows
• Unplug electrical equipment in your home and garage. Leave refrigerators and freezers plugged in unless there is a risk of flooding
• Let others know you are evacuating

Once you are safely away from the evacuation area and you find yourself displaced from your home due to a hurricane, please contact Temporary Housing Directory (THD) for hotel and temporary housing assistance at 800-817-3220 or www.temporaryhousingdirectory.com.

A hurricane is a type of tropical cyclone, the generic term for a low pressure system that generally forms in the tropics. A typical cyclone is accompanied by thunderstorms, and in the Northern Hemisphere, a counterclockwise circulation of winds near the earth’s surface.

All Atlantic and Gulf of Mexico coastal areas are subject to hurricanes or tropical storms. Parts of the Southwest United States and the Pacific Coast experience heavy rains and floods each year from hurricanes spawned off Mexico. The Atlantic hurricane season lasts from June to November, with the peak season from mid-August to late October.

Hurricanes can cause catastrophic damage to coastlines and several hundred miles inland. Winds can exceed 155 miles per hour. Hurricanes and tropical storms can also spawn tornadoes and microbursts, create storm surges along the coast, and cause extensive damage from heavy rainfall.

Hurricanes are categorized according to the strength of their winds using the Saffir-Simpson Hurricane Scale (for more information go to http://www.nhc.noaa.gov/sshws_table.shtml?large). A Category 1 storm has the lowest wind speeds, while a Category 5 hurricane has the strongest. These are relative terms, because lower category storms can sometimes inflict greater damage than higher category storms, depending on where they strike and the particular hazards they bring. In fact, tropical storms can also produce significant damage and loss of life, mainly due to flooding.

April showers bring May flowers …and Spring brings rainy weather, hail storms and tornados. A hail storm occurs most commonly in the area where Wyoming, Nebraska and Colorado meet, commonly known as “Hail Alley” but also occurs in the inner region of the United States.   For tornadoes the most destructive forces of nature are found most frequently in the United States East of the Rocky Mountains during the spring and summer months. These potential deadly funnel clouds can travel at a speed of 35 MPH, but some reach as high as 70 MPH.  In an average year over 800 tornadoes are reported nationwide can result in deaths and injuries

In order to prepare for a Tornado it is important to know the difference between a Tornado Watch and a Tornado Warning.

Tornado Watch

Tornadoes are possible. Remain alert for approaching storms. Watch the sky and stay tuned to NOAA Weather Radio, commercial radio, or television for information.

Tornado Warning

A tornado has been sighted or indicated by weather radar. Take shelter immediately.

Other tips to help you prepare for a tornado includes before during and after invent include:

Before a Tornado

Create a safety plan for your family

Know the safety plans for your school, place of business or other places you frequent often.

• Know the different shelter places in your area.
• Setup a pre-determined shelter location in your home.
• Have emergency supply kit available including battery operated radio, bottled water, flashlights and canned or packaged food.
• Make sure each family member knows how to turn off water, gas and electricity to the house.

During a Tornado Warning 

• Stay calm and use your best judgement
• Go to predesignated shelter area, remember to stay low like in a basement or, under something like a sturdy desk, or stay in center of home and avoid rooms with windows
• If you live in a mobile home, get out find more substantial shelter even if it is tied down..
• If you are outdoors or in your car find the lowest point possible like a ditch, ravine or building with the lowest floor.

After Tornado

• Beware and do not go into a damaged home or building
• Watch for broken power lines and sharp objects such as glass.
• Be alert for potential hazards.
• Listen to the radio for any updates.
• Contact you insurance carrier if there is damage to your home.

If your home is damaged due to a hail storm or tornado contact your insurance carrier immediately.  Your carrier will assess your needs and if necessary, they will coordinate with a temporary housing company to assist you in locating emergency hotel accommodations, as well as temporary housing.

THD attended the 12th annual Windstorm Conference that was held January 25-27, 2011 in Houston, TX.  This conference is the only conference dedicated to windstorm insurance situations. This event is important to THD in helping us keep abreast of current topics that are representative of our industry as well as giving us exposure to develop relationships with other claims professionals.  It is important to keep abreast of weather topics, trends, and issues while the hurricane season runs its course.

The event hosted approximately 1000 attendees.  These attendees participated in three days of professional development, continuing education, and networking opportunities. The educational workshops provided an opportunity to learn and interact with the attendees at the conference.  The workshops focused on Windstorm claims including topics such as Adjusting Siding, Roofing and Flooring Claims, Effective Trial Techniques in Windstorm Cases, How to Settle a Claim before Litigation or Appraisal, Insurance Fraud from all Perspectives, and Catastrophic Modeling and Reinsurance.

Next year’s conference will be held on
January 30 - February 2, 2012
Buena Vista Palace Hotel
Orlando, Florida

Windstorm Insurance Network, Inc. (WIND) ® is the first educational member association devoted solely to dealing with windstorm insurance claims issues. It was formed in 1999 with the goal to bring professionals together in the review and discussion of windstorm insurance claims issues.

WIND’s mission is to offer industry insight and education to individuals and groups employed or otherwise involved in all aspects of windstorm insurance claims. Their 1,000+ members come from across the United States, and represent various companies and professional interests in the property and windstorm insurance claims industry.

For more information please visit http://www.windnetwork.com