The world's five most expensive natural disasters
Hurricane Gustav, dubbed the "mother of all storms", is causing havoc in the southern states of America. Almost two million people in New Orleans and the surrounding region have been forced to flee their homes as the storm heads inland.
Gustav has already caused widespread damage in the Caribbean islands of Haiti, the Dominican Republic, Jamaica and Cuba. The American authorities and insurance companies are bracing themselves to have to pay out for billions of pounds of losses.
However, the damage will have to be severe if Gustav is to be the most expensive natural disaster of all time. Here are the most costly ever seen, in terms of insured losses*.
1. Kobe earthquake, Japan, 1995
Cost: more than £83billion
The 7.2-magnitude earthquake devastated the city of Kobe, southern Japan on January 17, 1995. The huge shock caused building, apartment blocks and the elevated Hanshin expressway to collapse killing more than 5,000 and injuring tens of thousands. Restoring the Japanese city took almost seven years.
2. Hurricane Katrina, US, 2005
Cost: £24 billion
The most expensive natural disaster to hit America, the devastation caused by Katrina, took the authorities by surprise, making them look hopelessly lax and explains the panicked reaction to the approach of Gustav.
The storm, which slammed into the Gulf coast, flooded New Orleans and sent an 8.5-metre high storm surge into Mississippi and Alabama. The cost: $43 billion according to the Insurance Information Institute.
3. Hurricane Andrew, US, 1992
Cost: £12 billion
The second most destructive hurricane in US history and the first hurricane of the 1992 season, Andrew struck the Bahamas, southern Florida and Louisiana and resulted in crippling claims for some insurance companies. The cost of repairing the damage ($22 billion) saw the bankruptcy of 12 American insurance companies and pushed many of the syndicates at Lloyd's close to financial collapse.
4. Northridge earthquake, US, 1994
Cost: £11 billion
The earthquake, measuring 6.7 on the Richter scale, struck the outskirts of Los Angeles, toppled elevated Los Angeles motorways and killed 57, injuring thousands more. It cost $19 billion, according to Swiss Re, the reinsurer.
5. Hurricane Ivan, US, 2004
Cost: £8 billion
Ivan tore roofs off homes, ripped up trees and caused power cuts as it followed its destructive path across the Carribbean, before battering America’s southern coast. Much of the $13 billion losses were the result of damage to oil platforms in the Gulf of Mexico.
*Based on conversion of losses from US dollars to pounds sterling on September 1, 2008
Compiled by David Budworth. Sources: Swiss Re and Insurance Information Institute
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10 most this, 10 most that. Reminds me of typical stupid titles of articles in Cracked Magazine, Digg and shows on Discovery channel
Posted by: stalepie | 11 Sep 2008 11:02:00