The ratings impact of the Kyrill winter storm will be minimal, according to Fitch Ratings.
The agency has indicated that the storm is likely to cost between €4bn and €8bn, with Germany and the UK most affected.
Chris Waterman, managing director of Fitch's insurance team, said: "While Kyrill has had a regionally destructive effect on infrastructure and properties, it does not constitute a major catastrophic event in terms of insured losses as occurred with Hurricane Katrina with $45bn or Hurricane Andrew at $22bn.”
Closest comparisons are likely to be winter storms "Lothar" or "Daria" (both approximately €5bn), and claims to the insurance sector in Fitch's view will not be substantial enough to threaten the financial stability of either primary insurers or reinsurers. This is in spite of the storm having affected some of the most densely populated areas in Europe, with a very high concentration of insured property.
Although material, the impact of Kyrill in the UK was less significant than in Germany. In addition to the storm's impact on motor and property lines, marine insurance is also affected, with the situation on the UK coast still developing following an oil spill, which has the potential to result in environmental damage.
