The Economic Times

Gujarat floods trigger thousands of crores in insurance claims, prompting rate hikes for industrial risks

Gujarat floods have triggered substantial insurance claims, prompting a review of pricing. Insurers are now pushing for more disciplined pricing on large industrial risks. This reassessment follows expected flood-related claims exceeding five thousand crore rupees industry-wide. The Gujarat losses increase the case for location-based catastrophe exposure pricing. Global reinsurers' stance will largely determine the extent of this pricing correction.