The current Arctic blast and series of winter storms are likely to cost multiple billion dollars in damages and will require a “prolonged period of damage assessment to property and agriculture across several states,” according to Steve Bowen, head of Catastrophe Insight at Aon.
“The impact the winter weather is having on the infrastructure grid and business interruption in the state of Texas is comparable to what has been seen historically to hurricane landfalls in the state,” according to Bowen.
He warns that there are still significant impacts yet to come, “as temperatures start to warm in Texas, it is expected that we will see more instances of pipes bursting…we aren’t quite at the point yet to be talking about damage in the past tense.”
The last US winter storm to cause multiple billion dollars in damages came from a series of nor’easters impacting the East Coast in March 2018, with $2.3 billion in economic loss.
This week’s winter weather could top the $3.3 billion economic loss from the February 2015 cold wave and winter storm that left Boston under feet of snow and clogged Northeast transportation corridors.