October storms slam US insurers, Aon says
Insurance companies face hundreds of millions of dollars in claims after multiple storm systems struck American regions between Oct. 10 and Oct. 14. A nor’easter flooded communities from the Carolinas through New England, while Typhoon Halong damaged more than 600 buildings in western Alaska. Wind and water destruction extended across Arizona, New Mexico, and Colorado as coastal areas in New Jersey and New York reported vehicle and property losses.
The National Flood Insurance Program stopped issuing new policies due to the federal budget impasse but continues processing existing claims. Private insurers may gain customers who cannot renew government coverage or prefer commercial options when operations resume. Aon analysts expect the October events will raise catastrophe ratios for carriers and reinsurers before January contract renewals.
The storms contributed to 2025 disaster costs that exceeded the decade average across North America, Europe, and Asia. Companies will review regional pricing and exposure limits for flood zones where coverage gaps remain between public and private markets. Weather patterns outside traditional hurricane areas created unexpected volatility for property underwriters throughout the year.
