Catastrophe Indices and Quantification Inc. (CatIQ) has released its fourth industry loss estimate for the August 5, 2024, hailstorm that impacted Calgary, Alberta.
The updated estimate now stands at $3.253 billion, reflecting an increase from the previous estimate of $2.948 billion issued 90 days after the event.
The loss estimate includes claims related to both residential and commercial properties, as well as motor vehicle damages. It also accounts for additional loss adjustment expenses. CatIQ’s latest report provides a breakdown of losses across different regions, detailed meteorological data, and visual documentation of the damage.
According to CatIQ, the storm developed under unstable atmospheric conditions in southern Alberta before tracking eastward. Large hail, in some instances reaching the size of baseballs, caused widespread damage in northern Calgary and the nearby town of Strathmore. Homes and businesses suffered broken windows, punctured vinyl siding, and severely damaged roofs, including sections of the Calgary International Airport.
Calgary has experienced multiple severe hailstorms in recent years, including major events in 2020 and 2021, which collectively resulted in nearly C$2 billion in insured losses. Unlike those storms, which affected different areas of the city, the 2024 storm primarily impacted northern Calgary.
Laura Twidle, president and CEO of CatIQ, emphasized the storm’s impact. “While the storm itself was not unusually severe for the region, the extent of the damage and the scale of the industry loss total reflect how the distance of a few kilometres in the track can result in tremendous loss differences when it comes to severe convective storm,” Twidle said. “There was nothing apparent about the storm from a meteorological standpoint to suggest it would result in one of the costliest events in Canadian history.”
The Calgary hailstorm contributed to a record year for insured losses in Canada. Twidle noted that while four major events in July and August accounted for most of the year’s losses, hailstorms represented a significant portion of the total claims. Over the past five years, CatIQ has recorded 30 catastrophic hail events, with industry losses exceeding C$8 billion.
CatIQ plans to issue a fifth and final industry loss estimate for the August 5, 2024, hailstorm on August 5, 2025, marking one year since the event.
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