Triple-I: Lightning Caused $1.3 Billion In U.S. Homeowners Claim Payouts In 2021; Supply Chain Issues Exacerbate Losses
Based on national insurance claims data compiled to coincide with Lightning Safety Awareness Week (
- The total value of lightning-caused
U.S. homeowners insurance claims was down more than 36 percent in 2021 ($1.31 billion ) from 2020 ($2.06 billion ) - The number of lightning-caused
U.S. homeowners insurance claims decreased by more than 15 percent between 2020 and 2021, continuing its downward trend from 2017 with a decrease of more than 28 percent from 85,000 to 60,000-plus - The average cost per lightning-caused claim decreased 25 percent from 28,885 in 2020 to 21,578 in 2021
- Despite steady decreases over a five-year period (2017-2021) in the number of lightning-caused homeowners insurance claims, the average cost per claim is up 100% in this same timeframe (
$10,781 to$21,578 )
"The average cost per claim is volatile from year to year," said
The outsized 2020 insured loss payout number nationwide was caused in part by
HOMEOWNERS INSURANCE CLAIMS AND PAYOUTS FOR LIGHTNING LOSSES, 2017-2021
Year |
Value of Claims |
Number of Claims |
Average Cost Per |
2017 |
916.6 |
85,020 |
10,781 |
2018 |
908.9 |
77,898 |
11,668 |
2019 |
920.1 |
76,860 |
11,971 |
2020 |
2,066.7 |
71,551 |
28,885 |
2021 |
1,313.1 |
60,851 |
21,578 |
% change, 2020-2021 |
-36.5 % |
-15.0 % |
-25,3 % |
% change, 2017-2021 |
43.3 % |
-28.4 % |
100.1 % |
Source:
"Not only does lightning result in deadly fires," said Worters, "it can cause severe damage to appliances, electronics, computers and equipment, phone systems, electrical fixtures, and the electrical foundation of a home. The resulting damage may be far more significant than a homeowner realizes. Delays in supply chain are also sending appliances and electronics prices higher."
TOP 10 STATES WITH ESTIMATED NUMBER AND COST OF LIGHTNING CLAIMS, 2021
Rank |
State |
Value of |
Number |
Average |
1 |
FL |
|
5,339 |
|
2 |
TX |
95.2 |
4,490 |
21,206 |
3 |
GA |
43.8 |
3,817 |
11,492 |
4 |
CA |
522.6 |
3,381 |
154,574 |
5 |
NY |
45.1 |
2,426 |
18,592 |
6 |
PA |
34.0 |
2,410 |
14,134 |
7 |
NC |
36.8 |
2,377 |
15,522 |
8 |
LA |
28.0 |
2,372 |
11,817 |
9 |
AL |
29.3 |
2,276 |
12,906 |
10 |
MI |
26.9 |
1,887 |
14,291 |
TOP 10 |
|
30,775 |
|
|
All Other |
|
30,076 |
|
|
TOTAL |
|
60,851 |
|
Source:
Damage caused by lightning, such as fire, is covered by standard homeowners insurance policies. Some homeowners policies provide coverage for power surges that are the direct result of a lightning strike.
RELATED LINKS
Facts and Statistics: Lightning
Video: National Lighting Safety Awareness Week (
ADDITIONAL RESOURCES
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