Wednesday, October 29, 2025

"Melissa insured impacts in the billions. Jamaica cat bond full loss most likely...."

From Artemis, October 29:

The global insurance and reinsurance industry is facing losses in the billions of dollars after major hurricane Melissa’s devastating landfall and passage across Jamaica, while the country’s $150 million IBRD CAR Jamaica 2024 parametric catastrophe bond is likely to face a full loss, ILS investment manager Twelve Securis has said. 

In a post-event report, specialist catastrophe bond and insurance-linked securities manager Twelve Securis explained that hurricane Melissa was the strongest storm ever to make landfall in Jamaica and one of only seven in the Atlantic to have reached a central pressure below 900mb.

Twelve Securis said on the landfall, “While Melissa’s landfall as a Category 5 hurricane resulted in catastrophic destruction for communities near landfall, as well as impacts across all of Jamaica from both wind and torrential rainfall, the landfall has occurred farther west than initially forecast, with Kingston (the capital city of Jamaica) spared the worst of the impacts. In comparison, Hurricane Gilbert in 1988, the last major Hurricane to impact Jamaica, made landfall directly south of Kingston (with direct impacts on the key concentration of population and exposure in the capital), before tracking east to west across the south of Jamaica.”

Commenting on the insurance industry impacts, the manager stated, “Initial commentary, and modelling by Twelve Securis, suggest that the insured loss impacts from Melissa could reach into the billions of US dollars with the total economic impact to Jamaica significantly higher.”....

....MUCH MORE 

A very powerful storm:
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