With the Atlantic hurricane season returning next month, East Coast brokers take on the role of first-responders to cope with the slew of claims that will inevitably come pouring in from clients.
“When a storm is in the forecast, we have a CAT (catastrophe) team at the ready in the Atlantic Region,” says Joan Morgan, director of regional claims – Atlantic, Johnson Insurance. “We will staff-up as required to provide service around the clock, handling claims calls and providing customer support to ensure those affected get the service they need. We maintain that increased level of presence for as long as our customers need the support.”
As hurricane season is fast becoming a fact of life for East Coast brokers, with at least one tropical storm predicted to hit Nova Scotia or Newfoundland next month – and the ensuing rise in storm claims from clients.
“When significant storms hit, they typically result in property damage, downed trees, and power outages, and therefore an increase in property claims,” Morgan told InsuranceBusiness.ca. “We are prepared at this time of year for hurricanes and tropical storms, and we have a proactive plan in place to respond accordingly.”
According to a recent report released by AccuWeather.com, Nova Scotia or Newfoundland could see at least one tropical cyclone from September into early October, as sea surface temperatures of the northwest Atlantic remain well above normal, notes the report authored by Brett Anderson, a senior meteorologist for AccuWeather.com.
The National Oceanic and Atmospheric Administration in the United States released its outlook for the 2013 Atlantic hurricane season in June and updated its outlook this month. The updated outlook slightly reduced NOAA’s initial forecast, but still predicts an above-normal number of storms.
“Significant activity is expected for the remainder of the season, with an additional 9 to 15 named storms likely, of which 6 to 9 are expected to become hurricanes with 3 to 5 reaching major hurricane status,” the agency reports.
Morgan agrees with that assessment.
“There is no doubt that weather-related claims have increased over the last decade,” says Morgan. “The weather is unpredictable and it is very difficult to anticipate the number and severity of storms that the region will get this year. Severe weather events seem to be occurring more frequently in recent years, and forecasters have predicted another active hurricane and tropical storm season in the Atlantic region this year.”
The Canadian Hurricane Centre responds to four or five tropical cyclone events each year, with one or two of those affecting Canadian soil, and another two or three threatening the offshore waters.
Hurricane season runs from June through November when the waters of the Atlantic Ocean are warm enough to produce a tropical cyclone. Hurricanes typically start to become more of a concern in Canadian waters a bit later in the season.
When hurricanes are expected, what may be more crucial than the increased staffing and claims response vehicles is making sure that brokers contact clients to warn and educate them on what they need to do to protect themselves and their property from the coming storm, says Morgan.
“We communicate with customers in advance of severe weather, to remind them of what they can do before, during and after a storm to protect themselves, their families and their properties,” she says.
