Why is the Suncorp share price failing to shine today?

It’s been a year of extremes in 2022, ranging from market turbulence to natural disasters none of us could pick.

For the Suncorp Group Ltd (ASX: SUN) share price, along with other insurers, the latter has been weighing in on pricing distribution this year to date.

What’s up with the Suncorp share price?

There’s been nothing market-sensitive out of Suncorp’s corner today, or this week.

However recent data compiled by NRMA Insurance illustrates that 26,515 claims were filed nationally in the last period.

The numbers make “it the worst winter for damage to homes and vehicles since 2016,” The Australian reports.

The higher perils and claims costs were attributed to the colossal flooding experienced earlier this year, however, other natural disasters were at fault as well.

And it doesn’t look to be letting off either.

The Bureau of Meteorology has suggested we can expect a 3rd La Nina weather pattern to remain in situ over spring and summer, says The Australian.

This is characterised by higher levels of rainfall, alongside strong winds and other wild weather, that is uncharacteristic of an Australian summer.

What this means for Suncorp looking ahead, is anyone’s guess. You can’t predict the weather, right?

Still, almost 62% of all home claims and approximately 25% of automotive claims stemmed back to wild weather last period, each up substantially year on year, NRMA said.

Following the floods of the Hawkesbury–Nepean river and mid-north coast this year, the Federal Government announced a reinsurance pool for cyclones and related flood damage in Northern Australia.

Suncorp says it will continue working with the government on this.

In the meantime, the Suncorp share price has lost more than 16% over the past year to date.

The post Why is the Suncorp share price failing to shine today? appeared first on The Motley Fool Australia.

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#0095C8”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#0095C8”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

• Analysts name 2 quality ASX shares to buy for a retirement portfolio
• The Suncorp share price has dived 8% since ANZ’s takeover bid. What’s happening?
• Why has the Suncorp share price been struggling in August?
• Can ANZ’s latest acquisition help it catch up to the other ASX 200 bank shares?

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/p32YXNh