July 1, 2020 (MLN): Insurers will be paying a whopping $107 billion on claims related to COVID-19 – but it’s unlikely that the payouts will end with that, says Lloyd’s the underwriter in a report.
According to a new update from Lloyd’s, the underwriter, the global insurance industry has simultaneously seen a $96 billion drop in value of its assets, and “together making it the industry’s largest ever loss.”
It further stated that the true extent of the COVID-19 led damages will never be known, most businesses operated without cover for any interruption from communicable diseases prior to this pandemic
In comparison, 2005’s Hurricane Katrina, leading to claims of $116 billion was a less devastating shock, while the earthquake and tsunami that hit Japan in 2011 led to payouts of $40 billion.
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