What will the economic cost of Hurricane Irene be?

Posted By on August 26, 2011

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As the east coast waits for hurricane Irene to unleash its torrent of wind, rain and surge, the financial markets are analyzing the cost to insurance companies, taxpayers and eventually insurers (in higher premiums). Some suggest that Irene could make it into the top five list due to the forecasted impact of heavily populated east coast (and high priced) real estate and the long impact path.

Projections as of today are that the cost will be between $5 and $10 Billion dollars. The high end has estimates as high as $20 Billion.

Whether Irene wreaks the $15 billion damage mark that can turn the market depends to a great degree on where it hits.

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