PartnerRe Oil Platform Disaster Loss Estimates Put at $60-$70 Million

Bermuda-based PartnerRe Ltd. announced preliminary estimates of expected claims, relating to the recent explosion of the Deepwater Horizon Drilling Platform in the Gulf of Mexico, as in “the range of $60-$70 million.”

The bulletin added that these “losses are expected to be contained primarily within the Global Specialty and PARIS RE sub-segments.”

PartnerRe cautioned, however, that “the ultimate insured loss for this event is unclear given the multiple parties involved and the on-going situation regarding control of the oil spill.

“The Company estimates that insured losses from the explosion have the potential to exceed $1 billion. PartnerRe’s loss estimate is pre-tax, net of reinstatement premiums, assumed and ceded, and net of retrocession. This estimate is preliminary, given the on-going nature of the event, and the significant uncertainty regarding liability exposure, primarily related to pollution.”

Source: PartnerRe