AVERAGE HOMEOWNERS LOSSES, 2005-2009 (1)

(Weighted average, 2005-2009)

Cause of loss Claim frequency (2) Claim severity (3)
Property damage    
Fire, lightning and debris removal 0.49 $27,691
Wind and hail 2.19 6,881
Water damage and freezing 1.44 6,347
Theft 0.50 2,805
All other (4) 0.88 4,083
Liability    
Bodily injury and property damage 0.11 18,050
Credit card and other (5) 0.08 5,790
Medical payments and other 0.05 1,940
Average (property damage
and liability), 2005-2009
5.73 $7,876

(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) Includes vandalism and malicious mischief.
(5) Includes coverage for unauthorized use of various cards, forgery, counterfeit money and losses not otherwise classified.

Source: ISO, a Verisk Analytics company.