Insured losses from hurricane Irene are now expected to be less than anticipated. The pre-storm estimates were for $7-8 billion of insured losses, and now they appear to be between $2-3 billion according to Kinetic Analysis Report, a consulting firm.
The total losses are expected to be in the $7 billion range total. Much of that is uninsured, specifically flooding damage, which is generally excluded.
Economists predict this may slightly help the economic recovery due to increased spending, although after a short term downturn due to loss of power and decreased storm business.