AVERAGE HOMEOWNERS LOSSES, 2008-2012 (1)

(Weighted average, 2008-2012)

Cause of loss Claim frequency (2) Claim severity (3)
Property damage (4) 7.16 $8,255
Fire, lightning and debris removal 0.43 34,306
Wind and hail 3.37 7,307
Water damage and freezing 1.79 7,195
Theft 0.52 3,428
All other (5) 1.04 4,684
Liability (6) 0.17 $14,021
Bodily injury and property damage 0.12 18,804
Medical payments and other 0.05 2,256
Credit card and other (7) (8) $581
Average (property damage and liability), 2008-2012 7.32 $8,384
(1) For homeowners multiple peril policies. Excludes tenants and condominium owners policies. (2) Claims per 100 house years (policies). (3) Accident year incurred losses, excluding loss adjustment expenses, i.e., indemnity costs per accident year incurred claims. (4) First party, i.e., covers damage to policyholder's own property. (5) Includes vandalism and malicious mischief. (6) Payments to others for which policyholder is responsible. (7) Includes coverage for unauthorized use of various cards, forgery, counterfeit money and miscellaneous losses. (8) Less than 0.01. Source: ISO®, a Verisk Analytics® company.