As climate change produces more extreme weather, insurers are losing money , even in states with low hurricane and wildfire danger. Across the country

As Insurers Around the U.S. Bleed Cash From Climate Shocks, Homeowners Lose

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2024-05-14 16:30:09

As climate change produces more extreme weather, insurers are losing money , even in states with low hurricane and wildfire danger.

Across the country, insurers are facing more bad years than good years . If this trend continues, it could destabilize the broader economy.

Christopher Flavelle reported from Iowa and spoke with more than 40 insurance experts, officials and homeowners in a dozen states. Mira Rojanasakul analyzed insurance market data for carriers across the country. Photography by Jamie Kelter Davis.

At first glance, Dave Langston’s predicament seems similar to headaches facing homeowners in coastal states vulnerable to catastrophic hurricanes: As disasters have become more frequent and severe, his insurance company has been losing money. Then, it canceled his coverage and left the state.

Relatively consistent weather once made Iowa a good bet for insurance companies. But now, as a warming planet makes events like hail and wind storms worse, insurers are fleeing.