Thailand Floods to Cost Insurers $8-11B

Swiss Reinsurance Co. estimates the cost of Thailand's floods to the insurance industry will reach $8 billion to $11 billion.

The Swiss insurer puts its own costs from Thailand's worst floods in half a century at $600 million. The company sells backup coverage to other insurers, spreading risk in the event of huge losses.

More than 600 people died, millions of tons of crops were destroyed and industrial production was badly affected by the flooding that began in late July.

Swiss Re's chief underwriter, Brian Gray, said Tuesday that the impact on companies operating in the area could be prolonged.

Shares in Swiss Re were down 0.8 percent at 49.29 Swiss francs ($53.13) on the Zurich exchange.