Travelers CEO: Spring Storm Losses Exceeded Katrina's
The Travelers Companies Inc., one of the largest property casualty companies in the United States, posted $1.09 billion in after-tax catastrophe losses in second-quarter results released July 21.
Tornadoes and hail storms that battered several southern states caused greater losses for Travelers than did Hurricane Katrina, the company's chief executive said July 21. The Travelers Companies Inc., one of the largest property casualty companies in the United States, posted $1.09 billion in after-tax catastrophe losses ($1.67 billion pre tax) in second-quarter results.
"Our second quarter loss was due to the extraordinary tornadoes and hail storms that caused devastation across significant portions of the United States," said Jay Fishman, chairman and CEO. "To put this in perspective, these losses for us were larger than those we incurred from Hurricane Katrina in 2005 and the equivalent of losses we would expect from a 1-in-100-year hurricane. The human impact of these storms was extraordinary, including significant loss of life. Our thoughts are very much with those who have been affected personally. We were pleased that, notwithstanding the highly unusual frequency and severity of these events, the company's capital remained generally unchanged, reflecting our underlying earnings strength and thoughtful capital management strategy. We also appreciate the responsibility these events have placed on our entire claim organization and are proud of the speed and dedication with which they are responding."
Total revenues in the quarter were $6.388 billion, a $209 million (3 percent) increase from the same quarter of 2010.