By Carolyn Cohn
LONDON (Reuters) – Lloyd’s of London is likely to pay out $3.0-4.3 billion in claims related to the coronavirus pandemic and underwriting and investment losses for the global non-life insurance sector could reach a record $203 billion, Lloyd’s said on Thursday.
Insurers across the globe have suffered losses from the virus, which has locked down economies, bringing businesses, events and travel to a halt.
Reinsurer Swiss Re <SRENH.S> said last month it took a hit of $476 million for anticipated and actual pandemic-related claims, whie German insurer Allianz <ALVG.DE> this week reported a nearly 30% drop in first-quarter profit.
In a double blow, insurers have also lost money due to falling markets, slashing the investments they use to pay out claims.
“I don’t think anyone in our industry has ever seen both happen at once,” Lloyd’s Chief Executive John Neal told Reuters.
Insured losses are likely to