Napa Earthquake Losses May Reach $4 Billion
As many are aware, Napa County was rocked by a large 6.0-magnitude earthquake recently. But it has been unclear exactly how devastating the quake was until now, a few days out, once the reparations have started to occur. A risk assessment firm says that earthquake damage and losses in Napa County and surrounding areas may add up to as much as $4 billion.
The earthquake was the biggest the Bay Area has seen in 25 years. Damage includes buckled roads, destroyed wine bottles and barrels at wineries, and damage to local houses and historical buildings. As many as 100 homes have been deemed “unfit to enter” by county safety officials.
The report by Kinetic Analysis Corporation estimates that the total property damage, losses from disrupted businesses, and lost tax revenue is roughly $4 billion. A different firm has also reported that insurers will pay out around $1 billion to cover losses.
While this seems like a huge amount in losses, it is important to give context. The 6.9 Loma Prieta quake in 1989 caused roughly $20 billion in losses, for example.
Napa County’s famous wineries were hit hard by the earthquake, as it came during a critical time in the multibillion-dollar industry. Wineries in the area were right in the middle of a major harvest when the 6.0 quake hit. Though the more expensive facilities and equipment were less-damaged, businesses reported thousands of bottles and barrels had been destroyed.
Read more about the quake’s toll here.