Shares in several US insurers saw a positive turn after a tough start to the week, as the impact of Hurricane Milton was not as bad as expected. AccuWeather’s preliminary estimates suggest that the total damage and economic losses from the hurricane will range between $160 billion and $180 billion.
Despite the initial fears, the S&P 500 Insurance Index showed signs of improvement by Thursday, with a 1.23% decline for the week. This rebound comes as a relief to investors and insurers who were bracing for a more severe impact from the hurricane.
Hurricane Milton made landfall around 8:30 p.m. on October 9 at Siesta, causing some damage but not as catastrophic as anticipated. This news has brought a sense of optimism to the insurance industry, with many companies seeing their shares recover from the downturn earlier in the week.
While the exact extent of the damage caused by Hurricane Milton is still being assessed, the fact that it was not as devastating as initially predicted is a positive sign for insurers. This turnaround in the market reflects a more optimistic outlook on the overall impact of the hurricane on the economy.
Insurance companies are now focusing on assessing the claims and losses resulting from the hurricane, but the initial estimates suggest that the damage may be less severe than anticipated. This news has helped boost investor confidence and contributed to the rebound in shares of US insurers.
Overall, the resilience shown by the insurance industry in the face of Hurricane Milton’s impact is a testament to their ability to weather such storms. While challenges remain in the aftermath of the hurricane, the optimism seen in the market indicates a belief that the industry will be able to recover and continue to thrive in the future.
