AUGUST 2016
- Rhode Island was one of over a dozen states impacted by Hurricane Sandy in October 2012. Sandy caused $18.75 billion in U.S. property losses, excluding flood insurance claims covered by the federal flood insurance program, according to estimates from ISO’s PCS unit. This would make Sandy the third most costly U.S. hurricane, after hurricanes Katrina and Andrew.
- Sandy resulted in $103 million in private insurance claims in Rhode Island. At $9.6 billion and $6.3 billion, respectively, New York and New Jersey suffered the largest private insurance losses by far from Sandy.
- Rhode Island was one of 14 states affected by August 2011’s Hurricane Irene, the first hurricane to hit the U.S. since Hurricane Ike in 2008. Irene impacted 14 states, causing a total of $4.3 billion in insured property damage, according to ISO, not including flood losses covered under the National Flood Insurance Program (NFIP). The NFIP puts its claims payouts from Irene at $1.3 billion (in all states).
- The 1938 Great New England Hurricane of 1938 was one of the costliest storms to hit the area. The hurricane, which made landfall as a Category 3 storm during high tide along Long Island, New York and the Connecticut coast, caused extensive damage to those states as well as to Rhode Island and Massachusetts. The storm caused a total of 600 deaths, 1,700 injuries and over $400 million in damages, according to the Massachusetts Executive Office of Public Safety and Security. An analysis by Karen Clark and Company estimates that the storm would have caused $35 billion in insurance damages had it occurred under present conditions.
- There were 15,103 flood insurance policies in Rhode Island in 2015. Standard homeowners policies typically do not cover flood damage. Flood insurance is covered by the National Flood Insurance Program.
- The insured value of properties in coastal areas of Rhode Island totaled $58.3 billion in 2013, according to an analysis by AIR Worldwide, accounting for 28 percent of the state’s total insured property exposure.
- Rhode Island has a residual market plan that acts as markets of last resort for residential and commercial property insurance in the state. The Rhode Island Joint Reinsurance Association (RIJRA) was formed in 1968. The RIJRA’s policy count totaled 17,628 in fiscal year 2015 up from 6,777 in 1990. Exposure to loss under the plan increased to $4.4 billion in fiscal year 2015 from $409 million in 1990.
- Population growth from 2010 to 2015 in coastal New England counties ranged from 3.6 percent in Massachusetts to 1.6 percent in New Hampshire, 0.3 percent in Rhode Island and Connecticut, and 0.4 percent in Maine, according to the U.S. Census Bureau.
Other Resources
I.I.I. Facts & Stats: Flood Insurance
I.I.I. Issues Updates: Hurricane and Windstorm Deductibles
Rhode Island Joint Reinsurance Association Website
