Gone in a Flash: Claims Cash
Tuscaloosa tornado victim phones home insurer
Just like the homes and businesses damaged or destroyed by April 2011 tornado outbreaks, most of the reserves Alabama insurers hold to pay for losses was spent in a week.
Of the $3.2 billion paid by insurers in 2011, $3 billion was paid for claims from damage between April 22 and 28.
The Insurance Journal quotes Robert Hartwig, president of the Insurance Information Institute: “These natural disasters were not only the deadliest in Alabama’s history, they were also the costliest in terms of the property damage and business interruption claims these severe weather events generated.”
Of the 133,000 claims filed, the Journal says, more than half were for damage to residential property, just under 40 percent for damage to businesses and the remaining 5 percent for storm damage to automobiles.