HCI Group, Inc. announced estimated losses attributable to Hurricanes Debby, Helene, and Milton, with total expected payouts to policyholders ranging from $600 million to $750 million. Net retained losses from Hurricanes Debby and Helene are projected to result in a net expense of approximately $60 million for the third quarter of 2024. Despite these losses, the company expects to report a pre-tax profit for the third quarter.
For the fourth quarter of 2024, net retained losses from Hurricane Milton are estimated to be approximately $125 million. HCI's Chairman and CEO, Paresh Patel, stated that the company is able to absorb these losses due to its strong balance sheet, conservative reinsurance program with over $2 billion of occurrence reinsurance limit, and over $3 billion of aggregate reinsurance limit.
The company also confirmed its continued participation in Citizens' Depopulation Program in the fourth quarter, noting strong early indications of policy adoption. This indicates ongoing growth initiatives despite the recent catastrophe events.
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