A powerful winter storm that swept across more than 24 states over the weekend, affecting over 200 million people, is projected to cause between $105 billion and $115 billion in total damage and economic losses, according to AccuWeather.
The preliminary estimate includes damage to homes and businesses, disruptions to commerce and supply chains, losses to tourism, shipping interruptions at major transportation hubs, financial impacts from prolonged power outages, widespread travel delays, and damage to critical infrastructure, the forecaster said.
AccuWeather noted that its independent assessment accounts for both insured and uninsured losses, covering a broad range of direct and indirect impacts. These include property damage, job and wage losses, agricultural losses, infrastructure damage, supply chain interruptions, auxiliary business losses, flight delays, and other storm-related costs.
“The scope of this winter storm was extraordinary,” said AccuWeather Chief Meteorologist Jonathan Porter. “What sets it apart is not just the snow and ice, but the sheer scale of disruption across transportation, energy, commerce, and daily life. The extreme cold following the storm significantly increases risks and slows recovery in many of the hardest-hit areas.”
Jasper Cooper, vice president and senior credit officer at Moody’s Ratings, said insured losses from Winter Storm Fern are expected to reach into the billions of dollars.
“The most costly winter storm in terms of insured losses to date was the 2021 Texas freeze, which caused an estimated $18 billion in losses,” Cooper said. “In recent years, homeowners and commercial property insurers have raised rates and adjusted policy terms to account for growing losses from non-peak perils such as winter storms.”
AccuWeather also warned that dangerously cold Arctic air trailing the storm is likely to complicate recovery efforts and delay power restoration in some regions.
“Prolonged freezing temperatures increase the risk of secondary damage, including frozen pipes, structural failures, and additional business interruptions long after the storm has passed,” Porter added.
