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Harvey and Irma’s double whammy could cost billion

Harvey and Irma’s double whammy could cost billion

The balance left by the hurricanes are much deeper than damage infrastructure, it includes the economies.

After the waters recede, hurricanes Harvey and Irma could leave a more lasting trail of devastation in Texas and Florida than merely the cost of repairs, as the damage to infrastructure and lost business could cost billions of dollars to recover.

Texas, one of the US’ powerhouse economic states, accounts for about 8% of the country’s economic output, was severely hit in August by Harvey, the first major hurricane to make landfall on the country since Wilma in 2005. The storm left behind flooded cities and an estimated 30,000 people displaced on its wake.

After the hurricane passed, Texas are still facing a struggle to return to normal as damage to public infrastructure makes it difficult for people to physically get to their jobs in hard-hit places like Corpus Christi, and a reported shortage of contractors slows down the rebuilding efforts.

Florida’s economy is about half that of Texas, but analysts say that since it is more diversified and also heavily dependent on tourism, it could also see a nasty hit from the aftermath of Irma.

A report from The Guardian stated that the damage from both hurricanes could result in claims above US$70 billion. “It’s only halfway through the hurricane season and we’ve already had one of the most expensive years ever,” an insurance executive said to the British newspaper