Mild quakes in downtown LA

[omagh]

Not significant, but worth noting...there has been a lot of blue sky talk on this board recently about portfolio moves, but we are partners in the business of insuring property and casualty.  What are the potential costs of an LA quake?

http://news.google.com/news/more?pz=1&ned=us&ncl=dmzueHlyQfc8k-MtYk2tM-7NSt5LM&topic=n

 

-O

[oldye]

A 100 billion insurable event Buffett estimated would cost them 3-4 billion dollars. Fairfax would probably be in the 600-800m range if we go by 15-20% max exposure to any individual event from the ORH conference calls.  Only about 12% of Californians have earthquake insurance, A 100 billion dollars worth of insurable residential damage would roughly equal 832 billion overall residential damage. Hope that helps.

[Uccmal]

FFH is in the commercial business so aside from the California Comp. business would they have any exposure at all? 

 

I am asking, not telling. 

[oldye]

You know I just assumed they did some California quake cover, would have been nice business over the last 15 years.

[ERICOPOLY]

FFH is in the commercial business so aside from the California Comp. business would they have any exposure at all?  

 

I am asking, not telling.  

 

 

Page 10 of the Crum&Forster 10-k states that, for the past 3 years, earthquake coverage has represented between 5.2% and 6.6% of the total property gross premiums written.

 

http://www.cfins.com/assets/downloads/financial/CFHC-10K-02272009.pdf