Fort McMurray wildfire could

Alberta Insurance rates


FP0514_10_costly_disasters_C_FMA report released Friday by credit ratings agency Standard and Poor’s predicted that insurance rates in Alberta would increase following the fire, in part because there are more catastrophic losses claimed in Alberta from natural disasters than in other provinces.

The agency released a list of the 10 most expensive catastrophes in Canadian history, and events in Alberta make up seven spots on the list.

“The (Fort McMurray fire), in our opinion, would likely continue to reinforce the trend of rate increases, particularly for insured risks in Alberta more than other provinces, ” Standard and Poor’s analyst Hardeep Manku wrote in a report published Friday.

The agency also predicted that the fire in Fort McMurray would be the most expensive insurance event in Canadian history, but insurance companies would be able to absorb the losses and make money in the long run, even though claims from the inferno would likely surpass the total bill for the Calgary and area flooding in 2013 and the Quebec ice storm of 1998.

Those two events were the most expensive catastrophes in Canadian history, the agency’s report said. The flooding resulted in .8 billion of losses and the ice storm in Quebec resulted in .5 billion in losses in 1998 – though that figure was not adjusted for inflation.

Standard and Poor’s did not provide an estimate for the total insurance cost of the fire that destroyed 2, 400 homes and businesses in Fort McMurray. Another report, from ratings agency DBRS released Friday, pegs possible insurance claim totals at between $2 billion and $6 billion.

DBRS predicted the fire would be an “earnings event, ” or an event that would generate money for banks, even though some of those banks own insurance companies as subsidiaries.

“While losses within the insurance business are expected to be higher relative to loan exposures, DBRS expects any liabilities to be easily absorbable through earnings, ” the firm’s analysts said in their report.

Eventually, rebuilding Fort McMurray could generate opportunities for banks, according to DBRS. The agency’s report said “once insurance claims start being paid, they will likely be deposited at banks, bolstering deposit balances. Additionally, banks will finance the rebuilding efforts leading to loan growth.”



Share this article




FAQ


avatar
Car insurance: Progressive vs. State Farm? | Yahoo Answers

I'm currently with Progressive and have been very pleased with their service: I was in an accident in August and the entire process was very smooth and took little effort on my part. I worked with one local agent, dropped my car off at the Progressive repair center where they had my rental waiting for me, and returned the rental there when I came to pick my car up. Plus I never have to wait long to talk to someone when I call.
However, I'm newly married and have found we would save a considerable amount by moving my two cars to my husbands policy with State Farm as opposed to moving h…


The only way to buy insurance is to get as many quotes as you can stand and then pick the best quote/agent/company for you in your particular situation. The best for one may be the worst for another.
Insurance companies are rated. You can look at the ratings by looking at J.D. Powers or A.M. Best websites. There may be others but I am aware of these two.

avatar
Do state farm agents see my credit Report? | Yahoo Answers

I just got a car insurance quote and with state farm they send it off and i sure hear by friday if everything checks out. My BF dad is the agent and i don't like the fact he could have access to my personal information such as credit. On their site they say they do not but researching online i have seen other things. So do State Farm agents see my credit?


The only way to buy insurance is to get as many quotes as you can stand and then pick the best quote/agent/company for you in your particular situation. The best for one may be the worst for another.
Insurance companies are rated. You can look at the ratings by looking at J.D. Powers or A.M. Best websites. There may be others but I am aware of these two.




Related Posts


Allstate Insurance rates
Allstate Insurance rates

Latest Posts
Online Insurance quote Canada
Online Insurance…
Just like people, cars need to be loved…
Auto Insurance in Toronto
Auto Insurance…
Using the family car to drive for Uber…
Insurance Logos
Insurance Logos
Bird Insurance Agency, P.C. “I thought…
Allstate bill pay
Allstate bill…
Tips for Choosing Homeowners Insurance…
Can I Rent a car in Canada?
Can I Rent a…
Know your rights and responsibilities…
Search
Featured posts
  • Temporary car Insurance Alberta
  • Allstate Insurance rates
  • Allstate car Insurance rates
  • Lowest Insurance rates Ontario
  • Average car Insurance rates Ontario
  • Ontario auto Insurance rates
  • Best auto Insurance rates Ontario
  • Alberta Insurance Quotes
  • Allstate Insurance MN
Copyright © 2017 l www.getfreeinsurancequotes.net. All rights reserved.