Cyclone Niklas could cost €1.9bn

Catastrophe modelling firm AIR Worldwide has estimated that insured losses from Extratropical Cyclone Niklas will range between €1.0 billion and €1.9 billion.

The majority of losses took place in Germany, with losses also occurring in Austria, Belgium, the Czech Republic, France, Ireland, Luxembourg, the Netherlands, Poland, Switzerland, and the UK.

AIR said that due to the relatively low wind speeds (compared to hurricanes), the average claim size is expected to be low. However, the spatial extent of damaging winds is quite large for this storm and therefore claims may sum to a significant amount. In combination with the uncertainty of the wind footprint, this is a significant factor of uncertainty in potential losses,” said the catastrophe modelling firm.

“On March 29, a low pressure system (Niklas) formed and then strengthened the next day as it moved southeastward over Europe,” said Yörn Tatge, managing director of AIR Worldwide. “On March 31, Niklas developed into a strong storm centered over Denmark and the southern Baltic Sea, bringing high winds and heavy precipitation to Germany and parts of the UK.

“By the evening of March 31, Niklas’s cold front arrived in the alpine region of Germany, causing widespread intense precipitation and strong squalls. Recorded wind speeds for Niklas across Germany ranged from 119 km/h in various coastal areas and on Wasserkuppe, 151 km/h on Feldberg in the Black Forest, up to the maximum reported measurement of 192 km/h on Zugspitze, which is Germany’s highest mountain.”