The East Coast’s version of Hurricane Katrina was Superstorm Sandy. The storm wreaked havoc on millions of people and thousands of businesses in New York, New Jersey, Connecticut, New Hampshire, Maine, Massachusetts, Rhode Island, Delaware, Washington DC, Maryland, Virginia, and others.
The new numbers from forecasting firm Eqecat estimates that the cost to business owners will continue to increase. The storm’s damage could cost up to $50 billion in economic losses, including lost business, commercial and residential property damage, and extra living expenses. The new estimates from Superstorm Sandy reveal the following:
- The estimated damages are double the previous estimate
- If borne out, these estimates will make Superstorm Sandy the second most expensive storm in this nation’s history, second only to Hurricane Katrina.
- The cost to insurers could be as low as $10 billion and as high as $20 billion.
The reason why Sandy is thought to cost more than what was originally predicted is largely due to the widespread power outages. The outages Sandy produced were bigger than a typical Category 1 storm. In fact, the Department of Energy announced that this storm knocked out more power to homes and businesses than any other storm in U.S. history. Even four days after the storm, over 3.8 million businesses and homes were still left in the dark.
Another forecasting firm, HIS Global Insight, estimates the damage from Sandy would cost $20 billion in property damage and lost business damage could weigh in between $10 and $30 billion.
Sadly, many people have lost their homes, businesses, personal belongings, vehicles, and even their lives. At least 41 deaths in New York City have been reported and a total of 92 reported deaths have occurred from Superstorm Sandy.