CoreLogic® (NYSE: CLGX), a leading global property information, analytics and data-enabled solutions provider, today released data showing potential exposure to residential property damage from hurricane-driven storm surge flooding as Hurricane Matthew makes its way toward the U.S. Atlantic Coast.
Figure 1 shows the total number of properties at risk of storm surge damage for each of the five hurricane categories. In addition, the accompanying reconstruction cost value (RCV) is provided.
Figure 1: Total Number and Total Value of Residential Properties by State
Number of Homes at Risk
Spotlight on Florida Metropolitan Areas
Hurricane-driven storm surge flooding can cause significant property damage when high winds and low pressure cause water to amass inside the storm, releasing a powerful rush over land when the hurricane moves onshore. This CoreLogic analysis measures exposure to damage from storm surge and does not include potential damage from wind and rain associated with hurricanes.
For more information on CoreLogic storm-surge methodology, data and analysis, download a copy of the more in-depth 2016 CoreLogic Storm Surge report at http://www.corelogic.com/landing-pages/2016-corelogic-storm-surge-risk-report.aspx.
The CoreLogic storm surge analysis encompasses single-family residential structures and also includes mobile homes, duplexes, manufactured homes and cabins, among other non-traditional home types. The 2016 CoreLogic Storm Surge Report provides a more granular and accurate analysis than in previous reports, now incorporating 10-meter grid cell elevation data rather than the 30-meter elevation data used previously. This enhanced granular view of data effectively increases resolution and accuracy of land elevation analysis by almost tenfold, giving insurers an even better way to analyze risk. Year-over-year changes in the number of homes at risk and RCV can be the result of several variables, including new home construction, improved public records, enhanced modeling techniques, fluctuation in labor, equipment and material costs, and even potential rise in sea level. As a result, direct year-over-year comparisons should be avoided. To estimate the value of property exposure of the single-family residences, CoreLogic utilized its proprietary reconstruction cost valuation methodology which estimates the cost to rebuild the home in the event of a total loss and is not to be confused with property market values or new construction cost estimation. Reconstruction cost estimates more accurately reflect the actual cost of damage or destruction of residential buildings since they include the cost of materials, equipment and labor needed to rebuild, and also factor in geographical pricing differences. Actual land values are not included in the estimates. The values are based on 100-percent or total destruction of the residential structure. Depending on the amount of surge water from a given storm, there may be less than 100-percent damage to the residence, which would result in a lower realized RCV.
CoreLogic (NYSE: CLGX) is a leading global property information, analytics and data-enabled solutions provider. The company's combined data from public, contributory and proprietary sources includes over 4.5 billion records spanning more than 50 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit www.corelogic.com.
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Allyse SanchezINK Communications925-548-2535 firstname.lastname@example.org