The Insurance Australia Group Ltd (ASX: IAG) share price will likely receive some attention today after the insurer provided a further update surrounding the recent hailstorm in Northern Sydney.
Meanwhile, the broader market looks set to rise around 0.4% at the opening bell following a mixed session for international markets on Friday.
Here's a quick recap:
- FTSE 100 (UK): down 0.11%
- DAX (Germany): down 0.27%
- CAC 40 (France): up 0.63%
- Dow Jones (USA): up 0.01%
- NASDAQ (USA): up 0.16%
In an update to the market this morning, IAG said it had received over 20,000 claims from the hailstorm that hit Northern Sydney on 18 February, and that it expects the net claim cost to be around $160 million, although its maximum possible net exposure to the event is $200 million.
IAG's fellow insurance business, Suncorp Group Ltd (ASX: SUN), also updated the market on the financial impact of natural hazard events for the eight months ended February. It noted that it too is expecting a financial impact from the hailstorm to be between $150 million and $170 million, while its total natural hazard claims cost for the eight months is estimated to be around $610 million.
Outside the insurance industry, a number of businesses saw their share prices drop sharply on Friday when the overall S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) dropped 0.8%.
The Medibank Private Ltd (ASX: MPL) share price shed 3.1% while iron ore miners Fortescue Metals Group Limited (ASX: FMG) and Rio Tinto Limited (ASX: RIO) were hit hard as well. The iron ore price closed another 1.1% lower during the latest session, so those shares could be in focus again today.
Meanwhile, the gold miners also had a terrible day on the market. The gold price remained flat at US$1,234 an ounce which could help to support shares such as St Barbara Ltd (ASX: SBM) and Evolution Mining Ltd (ASX: EVN), although investors ought to approach those miners with caution.
Before getting started on your day, be sure to check out these two articles:
