FBD has said that it expects ex hurricane Ophelia which hit Ireland last Monday to cost the insurer in the range of €4m-€6m.

This total cost is after the payment of an additional reinsurance premium for the rest of 2017.

FBD carries insurance, termed reinsurance for such catasrophic and extreme events such as storms.

This helps mitigate the cost to FBD. The company has said that its total cost of claims (net of reinsurance) as a result of the storm will be €2.5m.

It also said that it is “too soon to present a final tally of both the total number and gross cost of claims from the storm” .

Working with customers

In the statement released this morning, FBD said it has been working with its customers to compensate them for the damage caused to their homes, farms and businesses.

It said: “As the number of claims start to level off, these have come from all over the country with the largest number to date coming from counties Cork and Tipperary”.

Fiona Muldoon, CEO of FBD said: "Despite the impact of Ophelia and other recent weather related claims, we continue to see a steady improvement in our financial performance from both better risk selection and improved price adequacy”.

The company said that in the absence of further severe weather in 2017, it is on course to deliver "low double digit return on equity" earlier than previously indicated. She said: “If the remainder of 2017 is reasonably benign in weather terms, we believe this return is achievable in this financial year."

Storm Darwin, which hit Ireland in February 2014 affected 9,000 FBD customers and cost FBD €15m net of reinsurance and inclusive of reinstatement premiums.

Storm Darwin was the single biggest weather event in the Group’s history and had a devastating impact on areas of Ireland where the Group’s core customer base was most concentrated.

Shares in FBD took a hit on the day of the storm, however, they have since recovered and are trading up 3% at €8.25 this morning.