Helene death toll grows as US braces for multibillion-dollar insurance costs - FT中文网
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Helene death toll grows as US braces for multibillion-dollar insurance costs

Millions left without power as storm sweeps through south-eastern states from Florida

Hurricane Helene has caused the deaths of more than 50 people and left millions of homes and businesses without power as it swept through the US south-east, leaving analysts expecting that it could cause insurance losses of tens of billions of dollars.

Helene was downgraded from a category four hurricane — the second-strongest measure — to a post-tropical cyclone after hitting Florida’s Gulf coast late on Thursday with winds of up to 140mph.

By midday Saturday it had resulted in at least 52 deaths in five states, according to the Associated Press. Deadly storm surges, high winds and torrential rain left more than 3mn homes and businesses without electricity, AP reported.

Moody’s Analytics said it expected $15-26bn in property damage and a $5-8bn reduction in output, resulting in a total cost of $20-34bn.

“A third straight year in which a severe hurricane has slammed Florida’s Gulf Coast reinforces growing concerns about long-term impacts,” said Adam Kamins, senior director of economic research at Moody’s Analytics.

“Although climate hazards alone tend not to compel residents to move out of an area, further increases in insurance premiums might. Significant changes in the next year or two are improbable, but the corrosive impact on housing affordability in the Sunshine State looks like an ever-growing risk,” he said.

The storm made landfall in Florida’s north-west Big Bend region just after 11pm on Thursday before passing through the state’s Panhandle region and into Georgia at about 1am on Friday, according to the US National Hurricane Center.

Videos posted on social media showed extensive damage in Florida, with high waves hitting the coast and homes and streets flooded.

The hurricane centre noted on Friday that Helene was “weakening as it moves quickly north-northeastward” through Georgia, while also cautioning that the threat from storm surges, high winds and heavy rains remained critical. It was expected to sweep over the Tennessee Valley on Saturday and Sunday, the centre said.

It earlier sounded the alarm about a “deadly” storm surge along the Florida coast, with destructive waves as high as 20ft above ground level.

The US National Weather Service told residents to expect “catastrophic and life-threatening flash and urban flooding, including numerous significant landslides” across parts of the southern Appalachian mountains on Friday.

US President Joe Biden said he was “deeply saddened by the loss of life and devastation” caused by the storm, and that his administration was liaising with state and local officials.

“As we turn toward recovery efforts, we will make certain that no resource is spared to ensure that families, businesses, schools, hospitals, and entire communities can quickly begin their road to rebuilding,” he said on Saturday.

Additional reporting by Ian Smith

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