Florida Hurricane Insurance: Fact File

MAY 2013

LEADING WRITERS OF HOMEOWNERS INSURANCE IN FLORIDA BY DIRECT PREMIUMS WRITTEN, 2012 (1)
Rank Group Direct premiums written ($000) Market share
1 Citizens Property Insurance Corp. $1,637,389 19.5%
2 State Farm Mutual Automobile Insurance 727,507 8.7
3 Universal Insurance Holdings 706,072 8.4
4 Tower Hill Group 554,607 6.6
5 USAA Insurance Group 400,707 4.8
6 St. Johns Insurance Co. 256,554 3.1
7 ARX Holding Corp. 253,004 3.0
8 Florida Peninsula Holdings LLC 244,288 2.9
9 Allstate Corp. 232,327 2.8
10 United P&C Insurance Co. 209,074 2.5

(1) Before reinsurance transactions.

Source: SNL Financial LC.

LEADING WRITERS OF COMMERCIAL INSURANCE IN FLORIDA BY DIRECT PREMIUMS WRITTEN, 2012 (1)
Rank Group Direct premiums written ($000) Market share
1 Citizens Property Insurance Corp. $1,543,366 8.9%
2 American International Group 928,610 5.4
3 Liberty Mutual 889,193 5.2
4 Assurant Inc. 770,654 4.5
5 Zurich Insurance Group Ltd. 740,920 4.3
6 Travelers Companies Inc. 671,011 3.9
7 QBE Insurance Group Ltd. 563,497 3.3
8 ACE Ltd. 515,793 3.0
9 CNA Financial Corp. 486,645 2.8
10 Nationwide Mutual Group 421,357 2.4

(1) Before reinsurance transactions.

Source: SNL Financial LC.

LEADING WRITERS OF PRIVATE PASSENGER AUTO INSURANCE IN FLORIDA BY DIRECT PREMIUMS WRITTEN, 2012 (1)
Rank Company/Group Direct premiums written ($000) Market share
1 State Farm Mutual Automobile Insurance $2,563,843 20.8%
2 Berkshire Hathaway Inc. 2,000,345 16.2
3 Allstate Corp. 1,837,451 14.9
4 Progressive Corp. 1,342,504 10.9
5 USAA Insurance Group 692,168 5.6
6 Liberty Mutual 411,717 3.3
7 Farmers Insurance Group of Cos. 348,176 2.8
8 Travelers Companies Inc. 321,143 2.6
9 Hartford Financial Services 269,714 2.2
10 Nationwide Mutual Group 267,930 2.2

(1) Before reinsurance transactions.

Source: SNL Financial LC.

THE TEN MOST COSTLY HURRICANES IN THE UNITED STATES (1)
($ millions)
        Estimated insured loss (2)
Rank Date Location Hurricane Dollars when
occurred
In 2012
dollars (3)
1 Aug. 25-30, 2005 AL, FL, GA, LA, MS, TN Hurricane Katrina $41,100 $47,424
2 Aug. 24-26, 1992 FL, LA Hurricane Andrew 15,500 23,349
3 Oct. 28-31, 2012 CT, DC, DE, MA, MD, ME, NC, NH,
NJ, NY, OH, PA, RI, VA, VT, WV
Hurricane Sandy 18,750 18,750
4 Sep. 12-14, 2008 AR, IL, IN, KY, LA, MO, OH, PA, TX Hurricane Ike 12,500 13,283
5 Oct. 24, 2005 FL Hurricane Wilma 10,300 11,885
6 Aug. 13-14, 2004 FL, NC, SC Hurricane Charley 7,475 8,912
7 Sep. 15-21, 2004 AL, DE, FL, GA, LA, MD, MS, NC, NJ, NY, OH, PA, TN, VA, WV Hurricane Ivan 7,110 8,476
8 Sep. 17-22, 1989 GA, NC, PR, SC, U.S. Virgin Islands, VA Hurricane Hugo 4,195 6,957
9 Sep. 20-26, 2005 AL, AR, FL, LA, MS, TN, TX Hurricane Rita 5,627 6,493
10 Sep. 3-9, 2004 FL, GA, NC, NY, SC Hurricane Frances 4,595 5,478

(1) Includes hurricanes occurring through 2012.
(2) Property coverage only. Excludes flood damage covered by the federally administered National Flood Insurance Program.
(3) Adjusted for inflation through 2012 by ISO using the GDP implicit price deflator.

Source: The Property Claim Services (PCS) unit of ISO, a Verisk Analytics company.

TOP THREE STATES BY INFLATION-ADJUSTED INSURED CATASTROPHE LOSSES, 1983-2012 (1)
(2012 $ billions)
TOP THREE STATES BY INFLATION-ADJUSTED INSURED CATASTROPHE LOSSES, 1983-2012 (1)

(1) Adjusted for inflation through 2012 by ISO using the GDP implicit price deflator. Excludes catastrophes causing direct losses less than $25 million in 1997 dollars. Excludes flood damage covered by the federally administered National Flood Insurance Program.
(2) Includes the other 47 states plus Washington, D.C., Puerto Rico, and the U.S. Virgin Islands.

Source: The Property Claim Services (PCS) unit of ISO, a Verisk Analytics company.

ESTIMATED INSURED LOSSES FOR THE TOP TEN HISTORICAL HURRICANES BASED ON CURRENT EXPOSURES (1)
($ billions)
Rank Date Event Category Insured loss
(current exposures)
1 Sep. 18, 1926 Miami Hurricane 4 $125
2 Aug. 24, 1992 Hurricane Andrew 5 57
3 Sep. 17, 1947 1947 Fort Lauderdale Hurricane 4 53
4 Sep. 17, 1928 Great Okeechobee Hurricane 5 51
5 Aug. 29, 2005 Hurricane Katrina 3 (2) 45
6 Sep. 9, 1965 Hurricane Betsy 3 45
7 Sep. 9, 1900 Galveston Hurricane of 1900 4 41
8 Sep. 10, 1960 Hurricane Donna 4 35
9 Sep. 21, 1938 The Great New England Hurricane 3 33
10 Sep. 15, 1950 Hurricane Easy 3 23

(1) Modeled loss to property, contents, and business interruption and additional living expenses for residential, mobile home, commercial, and auto exposures as of December 31, 2011. Losses include demand surge.
(2) Refers to Katrina’s second landfall in Louisiana.

Source: AIR Worldwide Corporation.

Other Resources

Florida Citizens: Financial Statements

I.I.I. Issues Updates: Hurricane and Windstorm Deductibles (See sections on Florida.)

I.I.I. Issues Updates: Residual Markets (See sections on Florida.)

White Paper: Hurricane Andrew and Insurance: The Enduring Impact of an Historic Storm

FEMA Regional Flood Fact Sheet: http://www.floodsmart.gov/floodsmart/pdfs/Region_4_Hurricane_fact_sheet_FINAL_for_web.pdf