Business Context and Reporting Period
Assurant, Inc. filed a Form 8-K on June 1, 2011, to report an update regarding estimated catastrophe incurred losses for the months of April and May 2011.
Key Financial Metrics
The filing provides an updated estimate for reportable catastrophe losses but does not disclose revenue, profit, cash flow, margins, debt, or liquidity figures.
- Estimated Catastrophe Losses (April & May 2011): $65 million to $75 million (pre-tax, net of reinsurance).
- Scope: Includes individual catastrophic events identified by ISO generating losses exceeding $5 million pre-tax, net of reinsurance.
- Event Types: Hail, tornadoes, wind, and flood storms in the Southeast and Midwest United States.
Material Changes
This filing updates the catastrophe loss estimate previously reported for April during the April 28, 2011, first-quarter earnings call. The new range incorporates losses incurred through May 2011.
Guidance, Outlook, and Risks
Management notes that actual reportable catastrophe losses for the second quarter will be finalized and reported in the earnings release scheduled for July 27, 2011. The filing includes a cautionary statement that the loss estimates are forward-looking statements subject to significant uncertainties and that actual results may differ materially. The Company undertakes no obligation to update these statements based on new information.
Investor Verification Checklist
- Verify the final second-quarter 2011 earnings release on July 27, 2011, for actual reported catastrophe losses.
- Review the 2010 Annual Report on Form 10-K for detailed risk factors affecting the Company.
- Confirm the specific impact of the $65 million to $75 million loss range on the Company's overall financial position once Q2 results are published.