Insured Losses From Irene Pegged at $2.82B

Catastrophe modeling firm Risk Management Solutions (RMS) has issued a final Paradex index value of $2.82 billion in insured losses attributable to Hurricane Irene. Used to price catastrophe risk in the insurance linked securities market, the Paradex procedure is designed to calculate a single objective ‘loss’ figure and includes losses from the automobile-, commercial- and residential-modeled lines of business. For Irene, RMS says 85 percent of the $2.82 billion is attributed to residential losses.