PEMBROKE, Bermuda--(BUSINESS WIRE)--Dec. 20, 2012--
RenaissanceRe Holdings Ltd. (NYSE: RNR) (“RenaissanceRe” or the
“Company”) today announced its initial estimated net negative impact
from Storm Sandy, which occurred in late October 2012 and resulted in
widespread damage to personal and commercial property in the Northeast
and Mid-Atlantic states. The Company currently expects that losses from
Storm Sandy will have a net negative impact of approximately $130.0
million on its fourth quarter 2012 results of operations.
The net negative impact includes the sum of estimates of net claims and
claim expenses incurred, earned reinstatement premiums assumed and
ceded, lost profit commissions, redeemable noncontrolling interest –
DaVinciRe, and other income in respect of ceded reinsurance contracts
accounted for at fair value. The Company’s estimates are based on a
review of its potential exposures, preliminary discussions with certain
counterparties and catastrophe modeling techniques. Given the magnitude
and recent occurrence of Storm Sandy, relatively limited claims data
received to date, the contingent nature of business interruption and
other exposures, the unusual complexity of the coverage and legal issues
relating to Storm Sandy, and the other uncertainties inherent in loss
estimation, meaningful additional uncertainty remains regarding total
covered losses for the insurance industry from Storm Sandy and
accordingly, the Company’s estimate is subject to change as new or
revised data is received from the Company’s counterparties, and other
factors. Accordingly, the Company's actual net negative impact from
Storm Sandy will vary from this preliminary estimate, perhaps materially
so. Changes in this estimate will be recorded in the period in which it
occurs.
RenaissanceRe Holdings Ltd. is a global provider of reinsurance and
insurance. The Company’s business consists of three segments: (1)
Reinsurance, which includes catastrophe reinsurance, specialty
reinsurance and certain property catastrophe and specialty joint
ventures, (2) Lloyd’s, which includes reinsurance and insurance business
written through RenaissanceRe Syndicate 1458, and (3) Insurance, which
principally includes the Company’s Bermuda-based insurance operations.
Cautionary Statement under “Safe Harbor” Provisions of the Private
Securities Litigation Reform Act of 1995: Statements made in this
release contain information about the Company’s future business
prospects. These statements may be considered “forward-looking.” These
statements are subject to risks and uncertainties that could cause
actual results to differ materially from those set forth in or implied
by such forward-looking statements. For further information regarding
cautionary statements and factors affecting future results, please refer
to the Company’s filings with the Securities and Exchange Commission,
including its Annual Reports on Form 10-K and its quarterly reports on
Form 10-Q.
Source: RenaissanceRe Holdings Ltd.
Investors:
RenaissanceRe Holdings Ltd.
Rohan Pai, 441-295-4513
Director
of Investor Relations
or
Media:
Kekst and Company
Peter
Hill or Dawn Dover, 212-521-4800