Insurance News Digest 2-5-2026

Winter Storm Fern’s early loss picture depends on the lens used, with insured estimates ranging from $4B (Verisk) to $6.7B (KCC). Zooming out, AccuWeather’s $105B to $115B total damage figure highlights how the uninsured disruption can dwarf insured losses.

February 05, 2026

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Top 10 Articles Of The Week

Aon’s latest insights say severe convective storms now outpace tropical cyclones as the costliest insured peril this century, driven by frequent U.S. outbreaks. The report highlights rising billion-dollar events and the need to narrow protection gaps with stronger resilience.

Insurify reports average full-coverage premiums fell 6% in 2025 after prior spikes, but expects a modest rise in 2026. State-by-state outcomes vary, with repair-cost volatility, including tariffs, a major swing factor.

A Kansas Institute forecast projects roughly 15% more tornadoes than the 20-year average in 2026, with higher risk across parts of OK, KS, and North TX. It flags mid-April through early June as the peak period for readiness checks.

The commentary argues the next talent advantage may be time flexibility, not just remote versus office location. It suggests insurers manage to outcomes and use GenAI to support more asynchronous work and retention.

A U.S. Senate probe update says investigators identified hundreds of accounts potentially tied to Nazi-era officials and entities, including SS links. The findings intensify governance, liability, and reputational stakes ahead of a Washington hearing.

A December 2025 executive order seeks to move marijuana from Schedule I to Schedule III, which AM Best says could reduce barriers keeping mainstream insurers on the sidelines. It would not equal legalization, and thin loss history plus cash and product liability exposures still steer much of the market today to E&S.

A new report says Arizona vehicle thefts fell 25% in 2025, though totals remain concentrated in metros such as Phoenix and Tucson. Every city in the state’s top 10 theft list declined year over year, a useful signal for auto risk and prevention planning.

Healthcare bankruptcies fell to 45 filings in 2025, down 21% from 2024, even as hospital bankruptcies rose. Gibbins Advisors warns the outlook is unstable, with reimbursement and policy headwinds that could strain thin margins.

The California FAIR Plan is back in the catastrophe bond market, targeting $200 million for its second Golden Bear Re wildfire deal. It underscores reliance on capital markets for wildfire capacity as residual market exposure expands.

Massachusetts regulators approved a Liberty Mutual reorganization involving three domestic mutual insurers. The move fits Liberty Mutual’s simplification strategy, including a plan to consolidate personal lines under the Liberty Mutual name starting in 2026.

Focus Of The Week: This week we take a look into Winter Storm Fern’s losses, including insured and uninsured.

AccuWeather puts total damage and economic losses at $105B to $115B, spanning insured and uninsured impacts like property loss, business disruption, and infrastructure strain. It also expects insured losses in the billions, with frozen pipes and prolonged cold slowing recovery.

Winter Storm Fern Losses Estimated at $4B to $6.7B

Carrier Management rounds up early loss estimates for Winter Storm Fern, with KCC putting privately insured losses at $6.7B and Verisk estimating up to $4B. Freeze-driven damage appears to lead, with heavy exposure across multiple states, including Texas and Tennessee.

Verisk estimates Winter Storm Fern insured losses could reach $4B, led by freeze impacts, with wind and snow as secondary drivers. It flags 14 states from Texas to Massachusetts that could each top $50M, showing a wide footprint.

*See a list of our preferred publications here.