Insurers Get Bad News for '06
Max Mayfield, the director of the National Hurricane Center, delivered some bad news to insurers and adjusters at the 7th Annual Windstorm Insurance Conference this week: The 2006 hurricane season is likely to be a repeat performance of hurricane seasons '04 and '05.
According to the Insurance Journal, Mayfield, a.k.a., Bearer of Bad News, also suggested to attendees of the conference that due to the "El Nino" effect, there could be more hurricanes in 2006 than there were in 2005. Futhermore, Mayfield stressed the importance of making even minor repairs before the next hurricane season.
"What seem like small items, a loose shingle for instance, will be weaknesses if another hurricane comes through, and could result in major damage if not repaired now."
Mayfield also went onto remind insurers that hurricanes are not just coastal events, citing the heavy rain and tornadoes that often accompany hurricanes once they make landfall.
While Mayfield's news may have been a gut check for insurers and adjusters, he went onto stress the importance of hurricane education and evacuation, and reminded city building officials to prepare for future hurricanes by beefing up building codes. Better building codes, Mayfield said, will reduce the number of structures destroyed by hurricanes, thereby reducing the number of claims filed.
According to the Insurance Journal, the Windstorm Insurance Conference continues Feb. 10 and 11 with various workshops and general sessions on the topics of catastrophic loss and the importance of insurance adjusters and experts.
The National Hurricane Center is set to participate in National Hurricane Preparedness Week, May 21-27. The Insurance Journal reports that a hotline is already in place, as well as a "hurricane liaison team" to brief local emergency center regarding hurricane preparation.
[Check the Insurance Journal's complete article here.]
