Francine becomes hurricane ahead of Gulf Coast landfall

Francine has become the fourth hurricane of the 2024 Atlantic season as it heads towards a Gulf Coast landfall in the next 24 hours.

The storm is expected to reach the Louisiana coast in the afternoon or evening on Wednesday, as either a Category 1 or Category 2 hurricane.

The US National Hurricane Center (NHC) said Francine will continue to strengthen as it moves over very warm waters but will be impacted by an increase in shear and dry air as it nears the coast, with rapid weakening expected once inland.

Storm surge warnings are in effect for the Louisiana and Mississippi coastlines, with a hurricane warning in effect for portions of southern Louisiana.

Depending on its exact track and intensity at landfall, Francine has potential to cause insured losses in the low billion-dollar range, Gallagher Re said yesterday,

The combination of higher National Flood Insurance Program (NFIP) take-up rates in southern Louisiana and the NHC forecast of up to 10 feet of coastal storm surge inundation and heavy inland rainfall could also generate additional NFIP insured losses in the hundreds of millions of dollars.

Data from AM Best shows that State Farm Group wrote the most direct premiums in Louisiana for homeowners multi-peril lines in 2023, with a 21.9 percent market share.

Allstate follows with a 13.9 percent market share, USAA Group with 7.6 percent, and Liberty Mutual with 7.1 percent.

Francine was the first named storm in the Atlantic for several weeks following an unexpected lull in activity since Ernesto lost its tropical characteristics on 20 August.