Lahaina wildfire property loss over $3 billion

Losses to the property (re)insurance market from the Lahaina wildfire in Hawaii last week are estimated to be over $3 billion, according to catastrophe modelling firm Karen Clark & Company (KCC).

Releasing its $3.2 billion estimate, KCC said that more than 2,200 structures fall within the fire perimeter, citing an independent geospatial analysis of satellite and aerial imagery.

The majority of damaged structures were residential buildings, though many commercial buildings were affected as well, KCC said, adding that the disaster was the most destructive wildfire in Hawaii history.

The high proportion of wood frame and older construction present in the Lahaina buildings likely contributed to the damage, it said

The inferno has killed at least 106 people after moving g from grasslands outside the town into Lahaina last week.

The fire charred a 5-square-mile (13-square-km) area of town, and the latest estimate represents a significant revision from earlier estimates. Aon said last week that the extreme devastation to homes, businesses and other structures in Lahaina would likely drive economic and insured losses into the hundreds of millions of dollars, while Moody’s Investors’ Service said on Tuesday that estimated insured losses from wildfires on Maui in Hawaii would be at least $1 billion.

State Farm, Tokio Marine and Allstate all have reportedly significant exposure to Hawaii.