Louisiana Insurance

As much as 80 percent of New Orleans was under water after Hurricane Katrina’s toben on the Gulf coast that killed all 100 people and caused $ 25 billion in damage in three countries.

From oil and fuel prices have increased by books, with which consumers $ 3 per gallon at the pump, as the storm destroyed at sea drilling platforms and pipelines in the region, which produces one third of oil and gas from a fifth of USA said that the government, it you press its deliveries to alleviate the sufferings of inadequacy.

Washed-out roads and bridges, hampering rescue efforts, given that more than 1.5 million customers remained without power in Louisiana, Mississippi and Alabama. The first estimates of the insurance industry would damage Katrina natural disaster of the most expensive in the history of USA.

“ This is a big impact for a number of weeks,”Ben Bernanke, a former governor and chairman of the Federal Reserve’s chairman of the Council of Economic Advisers, said in an interview. “ It is large enough to show up in national statistics.”

Flood waters are still rising in New Orleans as violations of the city Dam system allows the Mississippi River to overflow in the city, some of whom are also much more than 20 metres below sea level.

Drop sandbag

The engineers are trying to block the two biggest violations today airdropping five tons of sandbags, serious gaps in the, Colonel Richard Wagenaar, commander’s circle of the U.S. Army Corps of Engineers, said today Today in a telephone interview from Baton Rouge, LA 76 km west of the capital. If it fails, he said, “ major highways are in Barrieren”gesenkt

The body can on the site, either by boat or Earth, are also required to ensure there are opportunities to return the water decreases in the sewer canals of the city.

“ This is a considerable logistical nightmare,’’said Wagenaar. “ We must ensure that water down, so that we can have access to the pumping stations and repair.”

Officials of New Orleans announced plans for evacuation of about 23000 refugees, mainly in the Superdome stadium, with the bus to the Houston Astrodome 328 miles (508 km).

“ We want human beings, because the water was polluted,”Frank Coates, a spokesman for the Louisiana State Police, said in an interview. “ First stranded on the roofs of people on their security is a priority”

Shooting, looting, leaving

Coates said there were at least one meeting in New Orleans, some looting and that a dawn dawn curfew was imposed.

President George W. Bush aboard Air Force One returning to Washington today to oversee the recovery efforts. He wants to visit the region later in the week, either on Friday or Saturday, White House spokesman Scott McClellan said.

Homeland Security Secretary Michael Chertoff declared the hurricane an “ incident of national significance,”triggering for the first time a national emergency plan with which the division of a better coordination of agencies, in response to the disaster , Said McClellan.

Oil data exceeded a rate of $ 70 a barrel and gasoline futures rose after the storm met two days and output in the Gulf region.

The federal government will continue its emergency oil reserves contribute to the restoration provides. Minister of Energy Samuel Bodman said in an interview today in Washington, the Strategic Petroleum Reserve can provide 5 million barrels per day, more than three times higher than the amount lost in the Gulf region.

Weeks of unrest

It may take weeks or more before the return of persons are allowed to certain sectors of New Orleans, said Lieutenant Kevin Cowan, a spokesman for the Louisiana Office of Homeland Security and Emergency Preparedness. He said ,”“ of thousands of people in and around New Orleans remains to save.

“ The infrastructure damage is so bad that we have completely transformed,”Cowan said in a telephone interview from Baton Rouge. “ Down buildings, parts of roads have been washed away and utilities have disappeared. There is no food, no water, no food, which is more and more, there are no services in the area of New Orleans, so that people are poor.”

Main offences

There are essentially two violations of the city system dam, “said Colonel Wagenaar, commander of the circle. It is a 300 feet (91 meters) in the fraction 17th Street Canal floodwall’s, and part of the London Avenue Canal can be as wide as 400 feet.

The water level seems to have compensated in the 17th Street Canal and engineers are assessing damage, said Wagenaar.

“ There are reports that the level increases in some sectors,’’said Wagenaar. “ We are trying to determine if this is the redistribution of water selbst”in across the city.

Infringements in the Canal Inner Harbor Navigational Analysis are no longer affected water, water and drainage cuts in the flow of defenses in Bayou Although Villeneuve on the eastern edge of the city, he said.

Entergy Corp., Southern Co. and Cleco Corporation, owner of electricity supply facilities along the Gulf coast to the USA, said nearly 1.6 million customers in the Florida Panhandle to Louisiana, remain without power in the wake of Katrina ” . Utilities concerned say the damage caused by the hurricane, the worst in its history.

Stamford, Conn. - (BUSINESS WIRE) - Re Life Corporation (NYSE: LRE) announced today that it has concluded an agreement to acquire 100% of the shares of Eagan Holding Company, a subsidiary of Loewen Group International hunderprozentige , Inc. Parent Company of the First Capital Life Insurance Company of Louisiana, for a purchase price of approximately U.S. $ 24 million.

The agreement, which, under certain conditions, including insurance administrative approval, aims at a date during the third quarter of 1998.

First Capital Life specializes in the sale of life insurance policies in the amounts needed to finance schemes funeral.

Mary Salassi rocks on the veranda impetus to his son Henry’s house, as he and his brother borrowed a kayak wade to three feet of water in the West Livingston Place. Scuba pallet wood to stir the pot of boiling crawfish, the direction of the line Salassi’s Town House flooded several blocks

I do not mind, “she says.” You can not go back and look what happened. You have to move forward. As I said, I have my children and grandchildren: You have your family. ”

Salassi turned 66 a week ago, the day Hurricane Katrina demolished a large part of southern Louisiana and Mississippi. “You all said, ‘You’re never forget the anniversary,” she muses. “My life on the head, but I will come back.”

The Salassis were among the first evacuees can return to the suburbs west and south of New Orleans, Monday, after taking all the end of the road to Houston Sunday. Until Thursday, Jefferson Parish, the opening 12-hour window - 6 am to 6 pm CT - for hundreds of thousands to visit their neighborhoods Storm-cast, assess the damage and fell a few personal belongings.

So the residents of Jefferson, whose 435000 inhabitants of the town’s second LA to New Orleans, must leave. Synchronizes “Citizens in exile” of the presidency of the parish end Aaron Broussard, they are not allowed to go home electricity, water and other important services are restored. This could week. What is better than the month it is perhaps in some parts of New Orleans to side.

Most of withstanding several kilometres of bumper to bumper Transport, Jefferson Parish, Monday morning that the neighborhoods were verwehtes wind and geschreddert, but only dry or wet, water was high.

But in Old Metairie, an enclave amid the elegant gnarled oaks on the west side of the door of New Orleans, disorder, wastewater colored soup five metres deep in places.

“We are the highest point, which means Metairie Ridge. We are in a flood, “explains Newell Normand, the town is vice-director of the Sheriff. Ago was now a famous dam at the 17th Street Canal, which stretches over Jefferson Orleans-border, and hour after Katrina passed.

“I said that the 17th Street Canal pump is today, but I said a lot in recent weeks, not control,” said Normand, was established in case of emergency The command remains without Diffuser.

Old Metairie limits of the canal, whose breach inundated much of New Orleans and East Jefferson Parish. He has a natural presence of very bad weather in the worst disaster in the history of USA.

“He is a man made a mistake not hurricane,” Salassi said.

Regardless of debt, people rieseln in the vicinity to chainsaws, boats, generators and rental truck. Those who do not leave the city to drift on a relief centre at the Sam’s Club parking off Airline Highway. National Guard troops in camouflage green has been associated with Sheriff’s deputies direct transport and remain silent on major junctions.

Despite countless fallen trees and thousands of downed power lines, most returnees are able, at home. Others have to wade or palette.

David Jackson, an Allstate Insurance agent, Laplace, La, to provide clothing, documents and photos of marriage formally a house with two feet of water.

“I came here in a pair of shorts and sandals, and my son’s track coach lent me a pair of boots and a boat,” said Jackson, 43, it looks down on the green shoes and Rubber has a double. “Two left boots!” He laughs. “But now, they are the best in the city of boots.”

After three rounds in a flat on the ground called Cajun dugout canoe, Jackson invites and encourages his abduction. “It’s all about rescue, what we can today,” he says. “My family was the main priority. Starting from tomorrow, it is probably more than 10 - 12 hours a day minimum for me,” as the order in the insurance fees for its customers.

Michael Norton, a computer consulting in Austin and found two feet of water, and a tree collapsed. “I had a contract to take the Pecan tree in my back yard,” said Norton, 38 “Too late.” And he missed his house. Other houses were not so lucky.

Slung on Norton is a rifle shoulder. His friend, Dan Sanders, 38, packs a pistol in his belt. “We had hoped that the worst,” says Sanders, notes on violence to overthrow the reports of New Orleans. After half the Oakwood Shopping Mall, in the municipality of the West Bank, was ransacked and torched last week, has given the tensions in the suburbs. A jet of characters painted West Jordan in a country neighbourhood warns: “U loot - U.S. shoot.”

But the Sheriff’s Office, said the return of residents is quite smooth. “We have not had too many problems - yet,” said Normand.

Given that electricity was restored sporadically, a few old houses were severely damaged by fire, probably from old or faulty wiring, he said. More sinister: reports of poisoning of carbon monoxide deaths in families, up from Katrina and fire to gas generators of losing power. “The water surrounding houses, and they expressed their portable generators inside,” said Normand.

A donors’ conference “clear break with the past,” Republican Bobby Jindal according to the Louisiana Governor’s 55 Monday, promising to help the Storm-ramponierte state shells its reputation and shadow to take advantage of opportunities to change the ‘Hurricane Katrina.

“We are fortunate - born of the tragedy, but hugs always the same - because of the failure of several decades in government,” Jindal said in his inaugural speech.

Jindal choice resolutely presents a new public face of government in Louisiana, often stereotyped as a haven for backslapping good ‘ol boys, these offices for decades. 36 years, son of Indian immigrants, Jindal of the nation is the first elected Indo-American governor of Louisiana the first nonwhite governor since Reconstruction. He is the youngest nation reunion governor, and several of its top administrators are again in the halls of the Louisiana Capitol.

“We come to the Capitol to a clear break with the past,” said the new governor an audience of about 3000 people gathered, and near the State Capitol, where the steps Jindal has adopted his oath of État’s Supreme Court Chief Justice Pascal Calogero.

Furthermore, he took office Monday, six other national elected officials: Lt. Dir Rieu Mitch Landrieu, Secretary of State Jay Dardenne, Attorney General James “Buddy” Caldwell, John Kennedy, Treasurer, Commissioner of Agriculture Mike stretching and Insurance Commissioner Jim Donelon. The 144 members sworn law was earlier in the day, with more than 60 new faces, because notion borders extinguished several years legislator.

The inauguration ceremony, the slogan “Believe in Louisiana,” began with music and a 19-cannon of Health, included a number of prayers and religious blessings, and ends with a fly-over of four F - 15s and singing “God Bless America. “Bordée American flags streets to celebrate the event on a picture perfect day with blue skies and clear and the sun.

Jindal, a second-term member of Congress, as he was elected, said he would be the government of a special meeting in early February 10 on the fight against the centre of his campaign for the protection of the country Captain: strengthening of Louisiana’s ethics laws.

“We can be an LA, where our guide and our people the highest standards and hold each member of our government accountable, Louisiana, where incompetence is not a synonym for government, in Louisiana, where corruption does not take us backwards, “he said.

He did, however, no details on the types of proposals, it will seek to legislators to adopt at the first session. It also provides a second special session in order to reduce corporation tax. Then he said, he wondered about the legislators of the state, improving the work programmes of bodybuilding.

A conservative Republican, adopted a series of High-profile positions, given that item expansionist state in the department of health aged 24, Jindal won 54 percent of the vote in October on the first line of choice in a area of a dozen candidates.

It performs the tasks Democrat Kathleen Blanco, had defeated four years ago before, but whose image was beaten by governments face of Hurricane Katrina and Rita, both in 2005. You do not try to re-election.

Blanco, attended the opening ceremony of the event with three other former governors of Louisiana. The State is only other living things, is the ex-governor Edwin Edwards, can not participate, because it serves a federal prison sentence against corruption.

While Jindal has thanked the former President of the national central banks for their service, he tries to get rid of the politics of the past. Standing Louisiana from many political veterans, Jindal renews its campaign of discussion, that the State, the problems were rooted in corrupt and incompetent leaders.

“In our past, too many politicians living for herself. Too many arm of the state and local government. And the world has taken note”, said the new governor.

While it focused on the reputation and ethics reform, Jindal inherits a number of problems that requires its predecessors. The LA is one of the greatest nation’s sick and the poorest countries, their students still below the national average on education tests, and its loss of population.

Degradation of the state, the history of long-term problems, Back-to-back blows of hurricanes Katrina and Rita two years ago, has devastated a large part of the left toward the south and New Orleans, Louisiana is struggling to recover. The pace of rebuilding the hurricane was slow, with thousands of houses to leave the left, thousands of displaced persons and residents of basic public services destroyed.

Jindal described the assault as a chance to rebuild a better state.

“For reasons beyond our understanding earthly advantage of this opportunity, this mandate has been in our generation. We must meet this challenge,” he said. “Our goal is a new Louisiana, where success is shared by all Louisianians.

In an unusual detour in the Sunshine State, Dir flew Charlie Crist capital of Louisiana Wednesday to a “spirit of management” in this state chooses the Governor, Republican Bobby Jindal.

On the issues of reduction of global warming to a national plan of insurance, Crist and Jindal sounded as virtual twins with the support of the bi-party, global warming and reducing the use of sugar for the production of ethanol.

Crist’s first action as governor was hard to define ethics guidelines for its management. Jindal also plans for convening the special session shortly after being sworn in January 14 to adopt ethics reforms in a state concerned with a long history of bribes and the back room.

The two men, that the Democrat nomination for key posts should be the rule rather than the exception.

“Sometimes they get to Washington caught in the framework of political victory of the day, rather than do what the law in a manner bipartie,” said Crist.

“I have not been elected governor of the Republican party,” said Jindal. “I was elected representative of all human beings.”

It was the only time since he was elected governor in January Crist traveled in another Member State for the accomplishment of another governor. While the move seemed more typical of a man focused on a national campaign, local support, Crist dismiss questions again on Wednesday on its possible role of a current mate after candidate ’s GOP presidential election.

Crist flew to Pensacola Wednesday morning for a ceremony to reopen the I-10 Westbound bridge damaged by Hurricane Ivan in 2004.

He is then an hour long flight to Baton Rouge for about two hours after the meeting with Jindal, including a press conference in an empty 14-story Louisiana State University residence used by Jindal, as he prepares for an inauguration Jan 14.

Crist helped money to Jindal, 36, in a campaign donations September in St. Petersburg. Jindal, was elected in October with 54 percent of votes, is the first Indian American governor in the nation. Crist has a comparison between Jindal success as a second-generation Americans, with its own roots as an immigrant small-son of the Greeks.

“It is a spirit of kinship physical borrowing that we have,” said Crist.

On a series of questions, Jindal echoes almost exactly the same words as Crist. Jindal, while the Congress has breathed a word of the economy of insurance anti-trust exemptions. And Jindal supports legislation sponsored Representatives of Florida. Ron small and Tim Mahoney, both Democrats, it would be a national insurance pool to be paid by the catastrophic loss of natural phenomena.

“I think we see a number of governors on geographical lines, party, saying that the inhibition of our people is able to furnish their homes,” said Jindal.

Crist has the support of the National Fund of a test for his support for a GOP presidential candidate. He said it is Wednesday on a possible approval of a candidate before the Jan 29 Florida’s principal.

“This kind of mutual exchange of experiences among human beings in our countries give us the opportunity to speak with one voice,” said Crist.

Crist noted that the Fanjul family, owner of Florida’s empire known sugar Crystals Florida, Louisiana, operations could be used for ethanol generation. It broadens and Jindal touted investment in alternative energy sources.

Jindal said that, despite Louisiana’s lucrative oil, he knows it is time to explore options for the future.

The Allstate Insurance Company said yesterday that he would be facing $ 1.2 billion in damages from Hurricane Andrew, a surprisingly high number of more than four times what the company paid for Hurricane Hugo in 1989.

An official of the organization Assekuranz, specializes in estimating the cost of catastrophes has assured all damage caused to Florida and Louisiana to approximately $ 8 billion, less than double what Hurricane Hugo costs.

Allstate said that its reinsurers paid $ 200 million loss after taxes and amortization of his were considered, it would have to pay more than $ 700 million, because Hurricane Andrew.

Allstate’s action parent company, Sears, Roebuck & Company, was adopted after 1125 $ $ 41375 yesterday.

Allstate Chairman and Chief Executive, Wayne Hedien, said he was uncertain for the loss of his business, compared with the rest of the sector, it was much higher than the losses resulting from Hurricane Hugo, but he suggested that estimates of Hurricane Andrew’s industrywide insured loss could be low. Provisional figures

The industry estimates $ 7.2 billion $ in Florida and Louisiana, 500 million have been this week by the Property Claims Service Division of the American Insurance Services Group, a nonprofit organization supported by insurance companies .

“My own view is that some of these estimates are too low,” said Hedien. “I think the industry average.”

Mr. Hedien said his company $ 1.2 billion estimated information has been admitted that in a period of 20 per cent of final figures. He also said that nearly $ 100 million would come of all loans in Louisiana.

The announcement Allstate insurance issues among analysts on losses from farm state, which have not yet announced its estimates and assumptions are different. State Farm said there were about 21 percent of home and automobile insurance market in Florida. Allstate said its market share in the state of Florida and 18% a little weaker than in areas of storm.

A spokesman for State Farm said it expected the company to publicize their losses next week. State Farm, a mutual, who is in possession of their policyholders, with nearly 18 billion dollars of capital, said there would be no difficulties, the payment of their claims. Allstate 8 billion dollars of capital, he said, would also not difficult to fulfil its obligations to policyholders.

A number of other companies have recently indicated their estimate of losses from the storm. USAA, another great writer lines of personal insurance in Florida, its estimate of gross losses of $ 150 million; travellers their losses of $ 70 million, American International Group announced a pretax loss of $ 75 million $ 100 million, USF & G, said its losses after taxes and reinsurance would be $ 40 million.

Lawmakers will return to Louisiana’s Capitol for a rare December special session to work on insurance relief for property owners, tax cuts, road improvements and pay raises for teachers, police and firefighters, Gov.. Kathleen Blanco’s office said.

The agenda for the session beginning Feb. 8 will include a variety of money issues vaguely outlined in a statement from Blanco, including ways to spend $ 827 million budget surplus from last year and any additional state revenue dollars recognized by a panel for the current year.

Lawmakers will also work to rebate insurance rate hikes caused by the state-run insurer of last resort, called the Louisiana Citizens Property Insurance Corp.., According to Blanco’s statement.

The governor, who had been pressured by lawmakers and other state officials to call the legislative session, said the special session will last no longer than 10 days, ending by Feb. 17 Blanco thing dates after the meeting with her top legislative allies November 17

On the list of the proposed raises were spending, road repairs, incentives to attract new businesses to Louisiana, retirement system repairs and debt payments to state buildings, particularly on college campuses around Louisiana.

With the unspent money, Blanco said, “First, I insist on tax cuts for families and businesses. This is a must.”

It wasn’ta immediately clear what kind of tax breaks Blanco wanted or how much she was seeking pay raises. The governor’s office said Blanco would give details about her legislative plans on Nov. 20, and her spokeswoman refused to elaborate.

The statement Blanco talked of pay raises for teachers, college faculty, school support workers, prison workers, probation and parole officers, state employees, firefighters and police.

“My goodness, Santa Claus has come to town. Who did we leave out here?”Said Rep. Jim Tucker, R-Terry Town, head of the House Republican Caucus, as he read through the list of potential recipients pay raise.

Tucker said the governor’s statement seemed to include spending more than the state and money would have strayed too far from what he said should be paramount: insurance, transportation and a revamp of Blanco’s Louisiana Recovery Authority, which was not mentioned in Blanco’s list.

“This is a trial balloon to see which ones people feel we really need to do,’’said Tucker.

Top on Blanco’s list relief that assurance involving citizens.

The Citizens financially strapped after last year’s hurricanes and borrowed $ 1 billion to pay off claims related to hurricanes Katrina and Rita.

To repay that debt, Citizens - established in 2003 by the state to offer property insurance to those who do get it on the open market - an estimated fees that private insurance companies are passed along to homeowners around the state, even those who aren ‘t Citizens customers.

Blanco and lawmakers want to cover the costs of much of that debt and any refund to homeowners dollars they spent on insurance rate hikes caused by Citizens.

The number of Citizens policyholders has swelled since Katrina and Rita, as other firms stopped writing policies and individuals needing coverage were left with few options. That puts a greater burden on the state-run insurance company, which is seeking rate hikes that could more than double some homeowner policy costs.

Blanco is looking at ways to completely overhaul Citizens and attract and keep other insurers to Louisiana to spread the risks and keep costs from rising even higher, but that appeared to be delayed until the regular legislative session.

The special session will be held later than Republican lawmakers wanted. They tried to get lawmakers to call themselves into session, circulating a petition that would have done so, but the GOP lawmakers did get enough members to agree to sidestep Blanco and hold a special session on their own in November. Blanco’s allies helped squelch the petition.

The governor can call a special session at any time, but for lawmakers to call themselves into session, they need a majority of lawmakers in both the House and Senate to agree.

The session, however, if earlier than many lawmakers sought. House Speaker Joe Salter, D-Florien, a top Blanco ally, said many legislators preferred to hold a special session in January to avoid conflicts with the holidays.

Assekuranz estimates for the total insured damage from Hurricane Katrina are being a little large and rapidly changing - above $ 25 billion to 60 billion dollars. But Standard & Poor’s, remains sceptical about the reliability of these figures. On this point, we can say with confidence that projected losses have increased dramatically with the initial estimate.

S & P has rated personal online trading lines and reinsurance companies, as well as loan and mortgage insurers insurer. On September 9, Standard & Poor’s Ratings Services Credit Watch with a negative impact on their rating of the evaluation 10 insurance and reinsurance with groups vis-à-vis the exposure and without the catastrophic losses of Hurricane Katrina (see list). The ratings on insurers with potential losses in the expectations have not been on Credit Watch in this period.

Compared to their credit ratings companies Watch sufficient risk management and risk reduction measures skills, capital and liquidity for the losses they are likely. It is however an abnormally high level of uncertainty is the assessment of the extent of rights they may face, and the standard models used in industry for predicting catastrophic losses from hurricane scenarios might be not all risks involved in the game now. Given that most companies, to a large extent on these models to price developments and their risk management policy, insurers and reinsurers with the greatest exposure in general are not yet capable of fully appreciate the magnitude of their potential losses.

Currently, we believe that most of these risks has the greatest impact on commercial lines insurers and reinsurance providers. Personnel of enterprises in significant losses of lines.

NO CERTANTIES. S & P and its comments on life insurance and health insurance. However, few make an assessment of life and health insurance have significant concentrations of risk to the markets concerned, especially because of their geographic diversity General or the home. Admittedly, there are some business interruption, reduced turnover, higher expenditures and perhaps even the insured loss in the context of overall income and financial resources in most companies evaluated, no votes will be probably affected.

The Credit Watch Highlight stages of persistent insecurity in the equipment sector precise quantification of assurance’s ultimate exposure. However, demotions are not inevitable. S & P reunion will soon be available with the management companies on Credit Watch and awaits a solution to the status of most cases today, within 90 days. The status of the ratings of several companies, but could also take longer to resolve.

In addition, the overall situation remains quite uncertain, another burden on the risks of developing contingencies may require more credits Watch places.

What are the companies. The list of insurers and reinsurers, with notations on the appropriations Watch with negative implications follows. Suppose that the additional capital will not be perceived as losses grow larger quantities ratings are reduced, and those who are concerned decreased by more points:

ACE (ACE): The rating (Counter Party credit rating BBB +) on Credit Watch has been negative, since the result perhaps expectations are not met, on the basis of insecurity and the amount of hurricane Katrina losses. If S & P decides to lower the rating of the ACE, it is unlikely that this note is reduced by more than one notch.

Allmerica Financial (AFC): The decision of the rating on Allmerica Financial (BB) and its claims of member organizations on Credit Watch is based on its significant exposure in Louisiana, especially in owners of commercial buildings and multi-risk . If the insured, the real damage Katrina are much higher than current estimates of industry, then Allmerica net loss could have a significant impact on its activation.

Allstate (ALL): The decision of all classifications Allstate (A +) on Credit Watch with negative effects was based on the high degree of uncertainty with regard to companies on the potential loss exposure Hurricane Katrina’s devastating impact on Louisiana, Mississippi and Alabama. In addition, Allstate does not have reinsurance protection in these countries.

Society of Lloyd’s: Credit Watch placement reflects the uncertainty about the magnitude of the consequences of Hurricane Katrina on Lloyd’s (A), whose specialties insurance and reinsurance of offshore energy installations, damage hardware and operating interruptions. Since Lloyd’s is a market, it is in the process of collection, validation and aggregation of data from each of its unions and publish estimates, if the transaction is completed.

“Katrina” gives rise to questions, demand flow supply, reinsurance recovery and liquidity. Standard & Poor’s does not expect that the payment of market capacity affected, but. Standard & Poor’s will meet with management to resolve the Credit Watch placement. If, after the dissolution of the Credit Watch placement Standard & Poor’s decides a reduction in the rating on Lloyd’s accounts, it is unlikely that companies, plus a notch.

The Prudential Insurance Company announced yesterday that upwards its estimate of what they should pay fees to damages in Florida by Hurricane Andrew to $ 1.2 billion, four times what forces Conduct adopted so far.

With the loss of nine Prudential estimates, Standard & Poor’s rating agency, it should be earned on the investment credit Prudential, with a possible downgrading of the nation’s largest insurance company in its current state, AAA, the highest rating. The agency said that the losses of Andrew could only expect that nearly 10 per cent of the Prudential capital.

“It is clear that Prudential had a loss of grandiose on Hurricane Andrew,” said Mark Puccia, Senior Vice President at Standard & Poor’s. “We always felt that Prudential was stretched on invested capital compared to scoring. Capital has always been the Achilles’ heel. ”

Moody’s Investors Service Prudential downgraded its rating of AAA or other exceptional, Aa1, excellent in January.

The new estimate losses of Prudential was born the same day that the official position of non-profit, the agency estimated that insured damage from natural disasters announced that the industry should be to pay $ 1.6 billion in claims by Hurricane Iniki. He also as a civil servant in the insurance sector, said the total number of insured damage in Florida could increase significantly higher than the $ 7.3 billion in the first estimate.

Some experts said the total insured loss by Andrew could reach $ 10 billion or more.

With previous losses of the Los Angeles riots and other disasters, messages, a number of analysts to speculate whether the losses for the industry as a whole, that price increases for Property Casualty Insurers, in particular in commercial lines of insurance, given the low prices have been for several years.

In its announcement yesterday, Prudential said it would make a capital infusion of $ 900 million in its subsidiary Prudential damage and accidents, is intended to cover claims by Hurricane Andrew.

E. Michael Caulfield, chairman of the unit of Prudential, said the reason for the loss higher estimates, while hurricanes in the past, the rule of damages up to 30 to 40 percent of insured properties, Andrew’s destruction, an average of over 50 Percent.

As with many insurance companies, authorities and news organizations, Prudential made assumptions about damage to his staff had inspected the damage to soil and interviewed people. Often, insurance companies took a week, starting with a difficult subject, we add the costs of claims. In addition, Prudential’s market share in the worst areas higher than its market share of 3.4 per cent in the State of Florida. The company said that it was somewhere between 5 and 10 per cent. Other estimates, increased

Mr. Caulfield said Prudential expected to pay a little more than $ 1.2 billion in home and auto insurance in Florida, $ 13 million in LA, and an additional $ 70 million for insurance commercial. The tax benefits and payments of reinsurance, it is the company to reduce its losses to $ 900 million.

Several other companies have also increased their estimates of losses recently, including travellers, which doubled its estimate of losses of Andrew last week to $ 500 million to $ 600 million.

The Agency makes estimates of the total branch damage resulting from these disasters, claim ownership of the services of USA Insurance Services Group, headquartered in Rahway NJ, originally insured damage in Florida to $ 7.3 billion. But yesterday, Gary R. Kerney, a spokesman for the Agency, said he expects that the highest of all damage caused to rise.

The financial supervision, the issue of protection of their current credit rating is crucial, because it attempts to eliminate competition for customers, not in the business Property Casualty, but when selling insurance life, annuities and other investment products. Since the collapse of several large life insurers during the year, Prudential has tried to assuage the concerns of consumers, with its image of the rock of Gibraltar.

Capital One Financial (COF), he said Wednesday its new purchase price of New Orleans-Hibernia Bank (Hib) in the light of the impact of Hurricane Katrina and is now acquire the company for $ 5 billion in stock and cash.

The new purchase price is 9% less than Capital One preliminary offer of $ 5.3 billion. The companies expect the transaction to close in the fourth quarter of 2005.

Capital One had originally planned to conclude its purchase of Hibernia in September 1, but the companies mutually agreed to an extension of the deadline until September 7 because of sleep disorders, by Katrina.

Under the new merger agreement, Hibernia shareholders about $ 30.49 in cash on the one hand and storage, based on Capital One’s Tuesday closing share price. The $ 5 billion deal includes about $ 2.2 billion in cash.

At the end of the process of due diligence efforts as part of the storm, the boards of both companies concluded that completing the transaction under new terms is in the best interest of its shareholders.

Businesses, they made a first assessment of the impact of Katrina on Hibernia equipment - including branches and headquarters in New Orleans - its loan portfolio and their future prospects including federal-aid State and large insurance revenue is expected to be received by hurricane victims in Louisiana.

Capital One plans to update its merits orientation of aid for the entire period of twelve months to 31 December 2005, and an estimate of the financial implications of the transaction, in the years 2006 and 2007, as part of its third quarter net profit publication.

Hibernia said their systems are open to run branches of the bank and the client. Over 100 Hibernia’s 321 sites are in areas of Katrina. Among these institutions, 47 have been reopened, and it underway to open more as the situation permits.

Among the 60 branches have not yet reopened, 21 appear to have continued extensive damage. These 21 branches account for about 5% of deposits Hibernia, the bank said.

The transaction is subject to compliance with customary closing conditions, including shareholder approval Hibernia conditions changed.