Hurricane Irma: Estimated Cost of Damages

While there is still uncertainity over the losses Hurricane Irma could bring, scenarios indicate the cost of estimated damages to be at record levels.

According to a note from Credit Suisse, historical models suggest that Irma's price tag could reach $125 billion should a Category 4 Hurricane strike Miami directly. This kind of a cost projection would make Hurricane IRMA correspond with a 1-in-100-year event. Moreover, this is not even the worst cost scenario.

In its current form, Hurricane Irma is actually a Category 5 storm and is the largest ever to hit the Atlantic outside of the Caribbean and Gulf of Mexico. The National Hurricane Center warned that the storm is "potentially catastrophic"

If it stays a Category 5 and hits Miami, the $125 billion estimate could be doubled, making it by far the costliest storm ever. At $105.8 billion, Hurricane Katrina in 2005 is currently the leader, though Hurricane Harvey, which struck Houston two weeks ago, could well surpass that total.

From an insurance perspective, Credit Suisse said private reinsurers will be hit hardest as many standard private insurers have left Florida over the past 15 years.