Italy quake could cost insurers up to €200m - EQECAT

Sunday’s magnitude 6 earthquake in northern Italy will cost insurers €100m (£81m), according to estimates from risk modelling firm EQECAT.

However, the company added that there is a great deal of uncertainty associated with the event, and insured losses could be up to €200m.

EQECAT said insured losses were unlikely to exceed the €200m experienced in the M6.3 L’Aquila earthquake in 2009 because of the new quake’s lower magnitude and smaller affected population.

However, it added that due to the greater level of commercial activity in the vicinity of Sunday’s event, the €200m figure represents a “credible upper bound” for insured losses from this latest quake.

EQECAT noted that Sunday’s quake has been followed by a large number of smaller but significant aftershocks. Several fatalities and the evacuation of thousands of local residents have been reported.

The earthquake occurred about 4km from the small town of Camposanto and approximately 35km north of the city of Bologna, at a depth of 5km.