The
Insurance Bureau of Canada (IBC) believes the windstorm event that ravaged parts of Newfoundland and Labrador has caused “catastrophic” levels of damage, anticipating insured damages arising from the weather condition to reach millions of dollars.
With so many residents and businesses in the affected region submitting claims, IBC vice-president Amanda Dean is expecting the windstorm to be declared a “catastrophic event”. The total claims of a weather event have to exceed $25 million to be considered catastrophic by the industry, and Dean believes that the Saturday storm easily caused as much – if not more – damage.
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Weather in the region was so severe that power lines were disrupted, affecting up to 70,000 customers during the initial power outage. Despite efforts to restore the lost power, more than 40,000 affected residents spent Saturday evening without lights or radiators.
Elsewhere in the region, St. John’s is looking at a $150,000 bill to repair and/or replace its street lights which were damaged by the windstorm.
Dean advised that in most cases, residents will be covered for damage to their homes related to the strong winds. Wind-related damage to automobiles, however, is another matter altogether, as wind damage is an add-on through comprehensive insurance.
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