Chubb Corp. (CB) said it expects second-quarter catastrophe losses of approximately $200 million to $240 million before tax, primarily due to severe hail and wind storms in the U.S.The property-and-casualty insurer said the losses stem from 13 catastrophe events in the U.S.
Chubb, like many U.S. property insurers, reported mostly weaker core earnings last year as catastrophe losses ballooned following a series of massive disasters, including a rash of destructive tornadoes and damage from Hurricane Irene. Insurers' investment portfolios have also struggled to recompense the disaster costs because of doggedly low interest rates.
In April, Chubb reported its first-quarter profit edged down 0.6% amid weaker investment gains, while its core operating earnings improved sharply on stronger underwriting income.