10th Mar 2025 18:14
(Alliance News) - Insurance market Lloyd's of London on Monday said it had taken a financial hit totalling about USD2.3 billion from the Los Angeles wildfires earlier this year.
"We are still assessing the full impact" of the January fires that will affect 2025 results, Chief Financial Officer Burkhard Keese said in a statement.
The fires around the US' second city burned for three weeks, forcing thousands of residents to evacuate their homes.
They destroyed thousands of structures, devastating the affluent Pacific Palisades neighbourhood of Los Angeles, Malibu and the community of Altadena in the wider county.
Private meteorological firm AccuWeather has estimated the total damage and economic loss at between USD250 billion and USD275 billion.
Lloyd's of London published financial results on Monday showing pretax profit of USD11.4 billion for 2024, slightly less than the previous year.
The loss from the fires compares with an estimated hit of some EUR1.2 billion announced by reinsurance titan Munich Re AG last month.
At the time it called them the "the most substantial wildfire losses in the history of the insurance industry".
Munich Re said it was well-prepared to absorb the costs from such natural catastrophes and it would continue to cover wildfires as long as the compensation was appropriate.
source: AFP
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