Want to create an interactive transcript for this episode?
Podcast: Climate Now
Episode: When insurers can no longer afford the risk
Description: In 2023, two major insurers joined a growing list of companies that will no longer offer new home insurance policies in California. In Florida, the situation is worse, with more than a dozen large home insurance companies retreating from the state. Both states have seen devastating property losses due to extreme forest fires and hurricanes - risks that are only increasing due to the changing climate.But why can’t the insurance companies simply adjust premiums to reflect the changing risk that climate change is bringing, rather than leaving a market entirely? Because like many economic models, insurance ri...