NASSAU, Bahamas, Friday October 7, 2011 – Insurance claims from Hurricane Irene, which caused widespread damage in The Bahamas less than two months ago, are now likely to reach US$ 40 million.
Prime Minister Hubert Ingraham said up to 3000 claims are expected from homes and businesses damaged by the category three system.
“The industry now projects that overall market loss, for local property and casualty companies domiciled in The Bahamas will range from $35 million to $40 million across all lines of business, principally, personal and commercial properties, buildings under construction, automobiles and marine exposures,” he said.
“The funding of these claims is ultimately going to be shared between the local companies and reinsures, with an estimated $6-8 million being funded locally, and the balance by way of reinsurance recoveries.”
The prime minister was at the time delivering a status report on the country’s programme of recovery and reconstruction following the passage of the hurricane between August 24 and 25.
Houses were demolished, roofs blown off and infrastructure damaged including in New Providence and the Family Islands as the system moved through the island chain.
The National Emergency Management Agency (NEMA) received $ 861,100 in cash donations to assist with relief and reconstruction, the prime minister said.
He insisted that, “no monies from the Donations Account are expended on the restoration of any public infrastructure or Government buildings whether administrative, schools or clinics.”
Government recently signed a US$200,000 technical cooperation agreement with the Inter American Development Bank for the provision of humanitarian assistance to the most severely affected residents.