Catastrophe modelling firm Verisk has estimated economic losses of more than $10 billion from the earthquake that caused widespread damage in Venezuela last month.

However, Verisk did not give an estimate of likely insured losses, given “greater uncertainty than is typical”.

On June 24, Venezuela was struck by a rare earthquake doublet near Yumare-Morón in Yaracuy state, approximately 100 miles west of Caracas. A magnitude 7.2 foreshock was followed just 39 seconds later by a magnitude 7.5 mainshock, making it the strongest earthquake to impact Venezuela since 1900.

Damage was most severe in the Caracas metropolitan region and the coastal state of La Guaira, where an estimated 1,400 buildings were destroyed.

Factors contributing to the insured losses uncertainty this include assumptions regarding earthquake insurance take-up rates, ongoing inflationary pressures, and the challenges associated with accurately valuing insured assets in a rapidly changing economic environment, Verisk said.