Massive blizzards that have crippled much of the East Coast in the past few days is likely to cause “multi-billion” dollar economic losses to businesses in the region. Reinsurance broker, Aon Benfield revealed today.
“Given the physical damage to homes, businesses and other structures and automobiles, plus the high costs incurred due to business interruption, it is expected that this will end up being a multi-billion-dollar economic cost,” Aon Benfield said in a note.
Although Its way too soon to calculate insured losses, Aon Benfield said, adding a similar storm system in January 1996 caused an estimated economic loss of $4.6 billion and insured loss of $920 million in current dollar terms.
However, the financial loss might not be the major loss this year. As 20 fatalities have already been recorded as a result of the blizzard this year.