The insurance industry is following the progress of Typhoon Neoguri, the strongest typhoon to date in 2014, with interest as it roars toward the Japanese coastline.
According to catastrophe modelling firm AIR Worldwide, at about 6:30am local time today (Tuesday July 8), the typhoon had sustained winds of 180 km/hr and gusts above 250 km/h. Expected to pass west of Okinawa during the next 24 hours, Neoguri is projected to make landfall on Kyushu, Japan’s third largest island on Wednesday or Thursday.
“A large storm with the strength of a Category 3 hurricane on the Saffir-Simpson scale, Neoguri will impact a wide area and is expected to result in extremely high waves, potentially damaging storm surges, and considerable precipitation,” said Jason Butke, principal scientist at AIR Worldwide.
The Japan Meteorological Agency (JMA) is encouraging early evacuation from areas in the path of this dangerous and potentially damaging typhoon.
According to AIR, Typhoons are the most frequent cause of property loss in Japan. Winds are the predominant driver of loss, although Japan does have strict and well-enforced construction codes. Wind damage is typically automatically covered under standard fire insurance policies, but flood damage is not. Take-up rates for flood are relatively low.
AIR Worldwide, Asia-Pacific, Typhoon Neoguri