Typhoons Hato and Pakhar which hit Hong Kong, Macau and Guangdong in southern China last week are estimated to lead to insurance payouts of at least HK$1 billion (US$130 million) from Hong Kong insurers. The figure includes physical damage and business interruption claims.
The estimated total damage of HK$1 billion would be a record high for a typhoon, reported South China Morning Post.
“The damage in Hong Kong wasn’t too big, but there was major property damage in Macau, the claims on which are likely to be settled by Hong Kong-based insurers,” said Haywood Cheung, chairman of Target Insurance (Holdings), a Hong Kong-listed motor insurance company.
The extent of the combined destruction wrought by Tyhoons Hato and Pakhar, has not been seen since 1999 when Typhoon York resulted in insurance claim payouts of HK$290 million.
In Guangdong Province, the total claim amount certified as payable up to 30 August was CNY1.42 billion (US$216.5 million). Of this total, at least CNY370 million had been paid out involving 40,000 claims. The catastrophe modelling firm AIR Worldwide estimates that insured losses in mainland China from Typhoon Hato will be between US$129.3 million and US$223.8 million.
In Macau, Mr Jiang Yidao, President of the Macau Insurers Association and Managing Director of China Taiping Insurance (Macau) said that the city had lost over MOP1 billion (US$124 million) due to Hato. In Hong Kong, economic losses could exceed US$1 billion.