With Hurricane Matthew barreling up the Florida coast, the number one concern is the safety of people in the storm’s path.
However, as with any hurricane, the storm is expected to incur significant property and economic damage to the impacted parts of the country.
While it is too early to truly nail down a number, the cost of Matthew will probably be high given its intensity and path. According to Bloomberg, using past storms as a baseline, Matthew could cost as much as $50 million.
In a note to clients on Thursday, Deutsche Bank insurance analyst Joshua Shanker said that the cost from Matthew could be one of the most substantial in the past 12 years.
“Hurricane Matthew has the potential to be very damaging,” said Shanker in the note. “It is currently a Category 4 [It has been downgraded to a Category 3] storm, having greater wind speeds than most of the notable storms since 2004.”
In order to get a sense of the economic devastation from the storm, Shanker outlined the global economic cost of US storms that have had similar strength to Matthew over the past 12 years.
The most costly, not surprisingly, was Hurricane Katrina in 2005. The gargantuan storm caused a total global inflation-adjusted economic loss of $119.3 million. The second most damaging was Sandy, while not a hurricane when it hit New York and New Jersey in 2012, it still caused damage totaling of $77.3 million.
The most costly to hit Florida, like Matthew, was Wilma in 2005. Losses totaled $35.5 million.
The full list is below: