Hiscox Japan losses capped at $150m

Lloyd’s insurer Hiscox has placed its estimated losses from the dual catastrophes in Japan at up to $150m (£94m).

It is estimated that based on a $24bn loss to the global insurance industry from the earthquake and tsunami two weeks ago, it would bear losses of $60-150m, with a likely average loss of $100m.

"Twice a year Hiscox publishes its expected losses for modelled catastrophes, including exposure to a Japanese earthquake. According to the latest published model, from an insured market loss of approximately $24bn, Hiscox could incur net claims of between $60m and $150m with a mean loss of $100m," it said in a statement.

Risk modelling agency AIR last week revised its estimate of the industry loss from the disasters to $20-30bn.

Hiscox also said it would take a £60m loss from the floods that devastated Queensland and Brisbane in Australia in January this year, while the February earthquake to destroy large areas of Christchurch in New Zealand would cost it £15m.

It is the first Lloyd’s managing agent to provide an estimate of claims from the Japan crisis.