Friday, 8 May 2015

A.M. BEST BRIEFING: NEPAL EARTHQUAKE'S IMPACT TO BE MINIMAL ON GLOBAL REINSURERS, BUT SUBSTANTIAL FOR LOCAL SECTOR

HONG KONG, May 8 (Bernama) -- A.M. Best has released a new briefing that explores the impact on the insurance industry of the devastating earthquake that struck Nepal on April 25, 2015. Although the 7.8-magnitude quake has already brought significant economic and human losses, insured costs are expected to stay at a minimal fraction of total economic losses due to low insurance penetration in the area.

Looking at the effect from a global perspective, the Best’s Briefing, titled, “Nepal Earthquake’s Impact to Be Minimal on Global Reinsurers, But Substantial for Local Sector,” states this event is not expected to have a major impact on the current reinsurance market. However, on a local level, the event is expected to have an adverse impact on local or some regional players, due to the significant cost from property and motor losses.


http://mrem.bernama.com/viewsm.php?idm=24400

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