Insurers pay out €530 million in compensation for Storm Kristin
The Portuguese Association of Insurers (APS) has already settled approximately 71% of the 205,000 claims reported after the passage of the storms that hit the country between January 27 and February 13. €530 million has already been paid out of an estimated total of €1.3 billion, more than the €500 million initially calculated in February.
In a statement, the APS indicates that of the 205,000 claims reported, 145,000 have already been settled or have received advance payments, equivalent to 71% of the total.
In the case of private individuals, “who represent the vast majority of reported claims,” approximately 72% of cases are settled, including closed cases and situations with advance payments.
Regarding unresolved private claims, the APS (Portuguese Association of Insurance Companies) explains that most cases are related to “factors external to the insurers,” such as delays in repairs, lack of materials, or delays in obtaining quotes and supplementary documentation.
In the case of companies, almost two-thirds (64%) of the cases are closed—18,600 cases.
In this case, the APS points out that many of the ongoing business cases “involve complex operational losses, specialised technical assessments, lengthy reconstructions, or dependence on multiple external stakeholders.”
The insurance companies also made advance payments to 1,300 companies, representing 11% of the approximately 13,000 cases still under management, and, according to the association, they are available to continue doing so “whenever this proves necessary and appropriate to respond to situations of greater financial urgency.”
The sector estimates that it will have to pay a total of €1.3 billion in compensation due to the series of storms that hit Portugal, having already awarded compensation of €530 million.
“In the last two weeks alone, approximately €85 million has been paid, which corresponds to an average payment rate of around €6 million per day,” with around 20,000 claims settled in the same period.
Source: ECO/APS
