New York City at Big Risk of Storm Surge if Hurricane Hits
CoreLogic, an analytics firm, released its annual Storm Surge Report estimating the damages that single family homes could face from storm surges along the Gulf and Atlantic coasts. For the first time this year, the report assesses the risk in large metropolitan areas. According to CoreLogic a powerful hurricane hitting New York City could cause more than $168 billion in damage from storm surge and completely destroy the region’s economy. The report does not estimate the number of lives that could be lost. The potential economic losses in New York City are the largest of any metropolitan area considered in the analysis. Last year Hurricane Irene lost strength as it made landfall in the New York metropolitan area. The storm caused more than $15 billion in damage, killed more than 50 people and resulted in widespread flooding along the East Coast, including parts of New York City.
According to the 2012 report, Florida tops the list of states with the highest total number of properties at risk of being impacted by the effects of storm-surge risk at approximately 1.4 million homes and with the highest total potential exposure to damage at more than $188 billion. Louisiana ranks second in total properties at risk with nearly 500,000, while New York is second in total value of coastal properties possibly exposed at $111 billion.
At the metro-level, cities examined in the analysis include New York, N.Y.; Virginia Beach, Va.; Miami, Fla.; New Orleans, La.; Tampa, Fla.; Boston, Mass.; Houston, Texas; Cape Coral, Fla.; Jacksonville, Fla.; Charleston, N.C.; Bradenton, Fla.; Philadelphia, Pa.; Mobile, Ala. and Corpus Christi, Texas. According to the U.S. Census Bureau, two of the top five and five of the top 20 most densely populated cities in the U.S. are located along either the Gulf or Atlantic Coast. The report reveals that the 10 cities with the highest total potential exposure to storm-surge damage represent more than two million properties, with total property value at risk exceeding $420 billion.
Read more on the hurricane risk for New York City: NYC Hurricane Could Be Financial Disaster (National Underwriter 6/6/12)
See the full report on hurricane risk for US cities: Storm Surge Report (CoreLogic 6/7/12)