Disruption in the Home Insurance Sector Due to Climate Change
In a revealing discussion, Flora Lichtman, the article's host, talks to reporters Jessica Meszaros and Rachel Cohen about the escalating home insurance crisis across the United States, with a particular focus on Florida and Colorado.
In Florida, the state is grappling with a significant home insurance crisis, largely due to climate change. The trend is evident as around 3% of policies statewide have faced non-renewals in both 2022 and 2023, a figure that ranks among the highest in the nation[1]. This is largely because of the increased risk of climate-related disasters, such as hurricanes and sea-level rise, which are driving insurance companies to raise rates and withdraw from certain areas[1].
While much attention has been directed towards coastal areas, inland communities around Lake Okeechobee are also severely affected. These areas face rising non-renewal rates due to their vulnerability to climate-driven disasters[1].
Moving westward, Colorado, though less detailed in the search results, is not immune to this broader trend. Climate change is increasing the frequency and severity of natural disasters across the U.S., including in Colorado. This trend is leading to higher insurance premiums and reduced coverage options as insurers manage risk[3][5]. Western states, including Colorado, are experiencing a home insurance crisis due to more frequent and severe natural disasters like thunderstorms and wildfires. This results in higher claims payments and market instability[5].
The home insurance crisis is not limited to Florida and Colorado, but also affects other regions. Flooding poses a serious risk to communities across the country as the climate changes. For a more detailed analysis, articles focusing on Colorado and Florida would be necessary, but the overall trend of increased insurance challenges due to climate change is evident across both regions.
Jessica Meszaros' story on the home insurance crisis in Florida and beyond is available on WUSF, while Rachel Cohen and Murphy Woodhouse's story on the home insurance crisis in the Mountain West is featured on Boise State Public Radio. The series The State of Science, which features science stories from public radio stations across the United States, also delves into this issue.
In a separate conversation, Flora Lichtman speaks with Benjamin Keys about the future of home ownership in a world increasingly unsettled by climate change. Meanwhile, a high school Earth science lesson called "Real Estate Hunting For The Climate Apocalypse" uses climate forecasts to find the best place to survive climate change, and the lesson "How Often Do 100-Year Floods Actually Occur?" helps communities estimate their flood risk as the climate changes.
As the home insurance crisis continues to unfold, it underscores the urgent need for climate action and resilient infrastructure to protect our homes and communities. Stay tuned for more updates on this evolving story.
[1] Florida Office of Insurance Regulation. (2023). Florida Homeowners Insurance Market. Retrieved from [3] National Association of Insurance Commissioners. (2023). Catastrophe Losses. Retrieved from [5] Insurance Information Institute. (2023). Home Insurance. Retrieved from
- The escalating home insurance crisis, particularly in Florida and Colorado, can be traced back to climate change, which is driving insurance companies to reconsider their policies due to the increased risk of disasters like hurricanes and wildfires.
- As climate change continues to impact the environment, it is also influencing the world of finance, with real-estate investors needing to consider the increasing risk of natural disasters like floods and wildfires when making investments.
- To address the home insurance crisis and mitigate the impact of climate change on homes and communities, there is an urgent need for investments in resilient infrastructure and climate action, as well as educational programs that teach students about the role of environmental-science in predicting and preparing for climate-related disasters.
