Explosions to become one of Asia’s largest insured man-made losses, says reinsurance broker
The explosions that hit Tianjin Port in China on 12 August could cause losses of between $1.6bn and $3.3bn (between £1bn and £2.2bn), according to Guy Carpenter.
This is larger than the $1.5bn estimate issued by ratings agency Fitch last month.
The reinsurance broker said the catastrophe to be one of Asia’s largest insured man-made losses.
The fireball and shockwave from the explosions blasted shipping containers, incinerated vehicles in the port and on an adjacent highway overpass, destroyed warehouses, production facilities and dormitories; impacted the nearby Donghai Road Railway Station and blew out windows within residential structures for several kilometers.
Chief executive of Guy Carpenter’s Asia-Pacific operations James Nash said: “The explosions that occurred in Tianjin, China are likely to constitute one of the largest insured man-made losses to date in Asia and will certainly be considered one of the most complex insurance and reinsurance losses in recent history.”