1347 Property Insurance Holdings, Inc. Provides Preliminary Estimate of Catastrophe Losses from Hurricane Harvey

By a News Reporter-Staff News Editor at Insurance Business Weekly -- 1347 Property Insurance Holdings, Inc. (NASDAQ:PIH) ("PIH" or "the Company"), a property and casualty insurance holding company offering specialty insurance to individual and commercial customers in Louisiana and Texas through its wholly-owned subsidiary, Maison Insurance Company ("Maison"), is providing an update regarding Hurricane Harvey which has received nationwide media coverage since August 25, 2017.

Maison has many policyholders who have been impacted by Hurricane Harvey. While the ultimate cost and impact on the Company's financial results cannot be determined with certainty at this time, the Company expects to incur losses with respect to insurance claims related to damage resulting from the hurricane. This event primarily impacted the Company's Texas policyholders along with a relatively smaller number of Louisiana policyholders. Since our Texas products do not cover the peril of flood, we expect our losses to arise primarily from South Texas where strong winds made landfall. However, we have a significant number of policies in the greater Houston area where we have not yet been able to assess losses on site.

Based on our early analysis, we expect the gross losses to exceed the $5 million per occurrence retention of our catastrophe excess of loss reinsurance program, but be well within $195 million per occurrence limit. Therefore, the pre-tax losses arising from Hurricane Harvey incurred by the Company, net of reinsurance, are not expected to exceed $5 million.

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