Wildfire

Experts agreed that investment in understanding wildfire risk had come a long way in recent years.

Large carriers with geographic spread across the continental US will have the capital and reinsurance coverage to absorb losses related to the wildfires, according to AM Best.

Homeowners’ and commercial insurance policies typically exclude floods, mudslides, debris flow and other similar disasters unless directly or indirectly caused by a recent wildfire.

Primary writers of homeowners and commercial property are exposed, while reinsurers could face wildfire losses.

The modelling agent estimated that the total number of buildings within the fire perimeter is approximately 3,500.

Tens of thousands of people have been evacuated from the island, and nearly 14,000 Maui residents remain without power.

Compelling rates are on offer for markets willing to write wildfire risk in the sunshine state.

The parties will develop climate-conditioned wildfire event catalogs to support cat modelling.

Pacific Gas and Electric Company told investors in November that it expects to recover $569mn from its insurers on a potential $1.15bn liability relating to the Dixie Fire in California.

The fundraise will support collateralised reinsurance deals with the firm initially targeting Californian wildfires.

The third wildfire cat bond for the California utility will be its largest to date

Hot and dry weather conditions increase the challenges as Dixie and Caldor near full containment.