Hurricane Sandy: 5-year anniversary report

When Superstorm Sandy made landfall as a post-tropical cyclone on the East Coast of the US on October 29, 2012, it was the deadliest windstorm to have occurred in the Northeastern United States in 40 years. Total economic losses totaled over $70bn.

Five years later, the 2017 hurricane season is quickly becoming one of the most active seasons on record. To date, three Category 4 hurricanes have made US landfall in a little less than a month, causing billions of dollars in damage and likely leading to the retirement of the names Harvey, Irma and Maria from use in future hurricane seasons.

Reviewing the lessons learned from Sandy five years later and evaluating the recent hurricane season, our North American risk consulting, claims and underwriting experts urge – more than ever before – businesses to prepare for the “new normal” of weather events.

In this report:

  • Explore what made Superstorm Sandy unique
  • Review the 2017 Atlantic hurricane season
  • Learn about the "new normal" of extreme weather events
  • Discover how Allianz can help clients prepare for and recover from storms

Storms are a global peril causing billions in losses, accounting for 40% of natural hazard insurance claims. They are the fifth top cause of loss for businesses, analysis shows1. The 2017 hurricane season is quickly becoming one of the most active seasons on record – and it may not be over yet. Today, more than ever before, businesses need to prepare for the “new normal” of weather events. This can be a laborious process. In light of lessons learned from Sandy and the recent hurricane season, Allianz has developed many tools to help our clients better prepare.

Some of the destructive weather totals since Sandy:

  • Total economic losses from Sandy grew to $70bn
  • Sandy ranked between Hurricanes Katrina ($160bn) and Andrew ($48bn) as the second costliest US hurricane, but has since been dwarfed by Hurricane Harvey ($70-108bn).2
  • Total economic losses are still unfolding for Hurricanes Irma and Maria

SOURCES

1. Allianz Global Corporate & Specialty, Global Claims Review, 2014.

2. Business Insider, September 8, 2017, “Mapped: The 10 costliest hurricanes in US history”, Umair Irfan.

Information in this paper is current as of 10-24-2017

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