More than 32 million single-family residences (SFRs) and 1 million multifamily residences (MFRs) in the U.S. Atlantic and Gulf Coasts are at moderate or more significant risk of sustaining damage from hurricane-force winds this year, according to CoreLogic’s newly published 2023 Hurricane Risk Report.
The potential damage in this year’s hurricane season, which begins today and lasts through Nov. 30, could have a combined reconstruction cost value (RCV) of $11.6 trillion. CoreLogic warned that approximately 7.8 million homes, with a combined RCV of $2.6 trillion, have direct or indirect coastal exposure, making them susceptible to storm surge flooding.
CoreLogic identified the major metros at greatest risk for hurricane damage this year as the New York City metro area, with more than 4.3 million SFRs and MFRs with combined RCV of $2.4 trillion at risk, along with Texas’ Houston-Woodlands-Sugar Land metro and Florida’s Miami-Fort Lauderdale-Pompano Beach areas, which have 2.1 million SFRs and MFRs each and a combined RCV of $649.8 and $585.0 billion, respectively.
“Insurers and lenders should adapt to these changes by deepening their understanding of property risk, embracing proactive loss prevention measures and collaborating with stakeholders across the industry to ensure long-term resilience,” said Tom Larsen, senior director for CoreLogic Insurance Solutions.
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