Factbox-Insurance industry stares at potential record-breaking losses from Los Angeles wildfires

Los Angeles: The wildfires in LA County are causing quite a stir. Analysts are crunching numbers, and it looks like insured losses could hit a staggering $20 billion. That’s a lot of cash!

Everyone’s keeping an eye on how this will affect the insurance industry, especially with the first quarter coming up. It could really shake things up for insurance prices in the area.

J.P. Morgan has doubled its loss estimate to $20 billion, and they’re warning it might go even higher if the fires keep raging. Juniper Re is also weighing in, estimating residential losses around $9 billion, but that could jump to $20 billion when you factor in commercial and auto claims.

Raymond James thinks the total losses could be between $11 billion and $17.5 billion, potentially making this the most expensive wildfire in U.S. history. Morningstar DBRS Research is estimating losses over $8 billion, depending on how many properties are affected.

S&P Global is saying the losses could rival the $16 billion from the 2017 Tubbs Fires. Moody’s expects losses to be in the billions due to the high value of homes and businesses in the area. Aon is also on board, predicting losses will “almost certainly” reach into the billions.

So, it’s a tough situation for the insurance companies, and it looks like this disaster could end up being one of the costliest wildfires California has ever seen. Just remember, these estimates are still preliminary and could change as more information comes in.