Super Storm Hurricane Sandy
Widespread loss of electric power and subway shutdowns the associated press reports that more than 13,500 flights were canceled and in New York three major airports were shut down. Super storm Sandy the second most expensive storm in U.S. history, according to Eqecat. That ranks it right behind Hurricane Katrina. Eqecat stated that the damage from the storm would likely be far worse than it previously predicted. The storm also brought a huge economic loss by flooding the New York City Subway system. Seven tunnels beneath the East River were flooded. Depending only on this damage, it could take a long time to restore the system, this damage caused billions of dollars in additional losses. The damage in New York felt on a global scale. Trading was suspended on the New York Stock Exchange for a second straight day, the first time that has happened since the Great Blizzard of 1888. According to Bloomberg, as a result of hurricane Sandy’s damages, exchanges and banks are losing millions of dollars in revenues every single day. According to Eqecat, Sandy caused $50 billion in economic losses, including property damage, lost business and extra living expenses. The cost to insurance companies could run as low as $10 billion and as high as $20 billion. IHS said Sandy caused about $20 billion in property damages and between $10 billion and $30 billion in lost business. The firm pointed to two reasons that Sandy left a bigger bill than it first thought. Power outages are more widespread than in a typical Category 1 storm, Eqecat said. Sandy knocked out electricity for more homes and businesses than any other storm in history, according to the Department of Energy. Eqecat stated, the lack of subway service in New York City and blocked roadways also pushed the total cost higher. Before the storm hit, Eqecat had estimated that total economic losses from Sandy ranged as high as $20 billion and that losses to insurance companies reached $10 billion....
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