Reinsurers may emerge from the L.A. fires “virtually unscathed,” the Financial Times reported, citing a trend in recent years in the reinsurance industry to reduce financial exposure to natural disasters.
However, insurance broker Oscar Seikaly heard a different story from executives at a half-dozen insurance companies with significant exposure to claims for property damage caused by the L.A. wildfires.
“They’re big names. They’re names you’re familiar with,” said Seikaly. These insurance companies expect to cover wildfire claims up to the maximum amounts that trigger reinsurance coverage, and these maximums range from $250 million to $500 million, he said.
Read the full Commercial Observer article here.
