Sandy Insurance Claims More Than 90 Percent Settled [AUDIO]
Insurance companies in New Jersey and New York have settled 93 percent of Superstorm Sandy-related claims, according to the Insurance Information Institute.
Of the 1.5 million claims filed for damage to homes, vehicles, boats and businesses, more than half came from New Jersey and New York, the two states hit hardest by the storm.
“Sandy is going to go down as probably the third-costliest natural disaster in U.S. history, in terms of insurance claims and the cost of them,” said the Institute’s Michael Barry.
An estimated $18.8 billion will be paid out by insurance companies in all states, a far cry from the $48.7 billion payout after Hurricane Katrina in 2005 and $25.6 billion in payments made following Hurricane Andrew in 1992 (inflation-adjusted amounts).
Barry noted that seven percent of New Jersey and New York claimants are still waiting for settlements. He said this could be due to disputed claims or folks moving through a state mediation program.
New Jersey and New York had the largest amount of Sandy-related flood damages. However, the Institute’s numbers do not reflect claims for flood damage insured under the federal government’s National Flood Insurance Program.
According to the Institute, the damage caused by Sandy generated nearly 1.1 million claims from homeowners, a quarter million from vehicle owners and more than 200,000 claims from business owners.