Hanover: Sandy Took Chunk Out Of Earnings

Hanover Insurance said property damage from Hurricane Sandy in late October took about $120 million to $140 million out of its earnings.

The Worcester-based property and casualty insurer called that range a preliminary estimate of the storm's impact on net after-tax earnings. It said the losses amount to between $2.65 and $3.09 a share.

Most of the losses resulted from The Hanover's domestic commercial and personal lines segments, primarily from commercial and homeowners policies in New York and New Jersey, which felt the brunt of the storm's impact in the United States after it tore through the Caribbean and pushed its way north up the Atlantic coast. The storm caused widespread damage along the coast and in states as far north as Maine and as far west as Wisconsin.

The Hanover submitted the information on Sandy's potential impact on earnings with the U.S. Securities and Exchange Commission on Monday.

"The scope of this storm was unprecedented and caused tremendous hardship for many," said Hanover CEO Frederick H. Eppinger. "We continue to support our agents and their customers, ensuring the highest level of service as families and businesses get back on their feet in the wake of this event. Our entire claims organization is committed to resolving claims effectively and efficiently."

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