Despite the rising risk from hurricanes, the population along the coast has continued to rise every year since 2000, except in 2005 when hurricanes Katrina, Rita, and Wilma struck the U.S. coast. With the population growth comes increasing coastal exposure values. While construction slowed considerably following the recession, housing prices and construction costs have continued to increase at a moderate pace. The data reflects both the increase in population and in construction costs. The chart below shows AIR’s latest industry exposure values in coastal states, as well as coastal counties within them.
Over the last decade, the United States has experienced a significant increase in the number and value of exposed coastal properties that will continue to contribute to increasing hurricane losses for insurers. The report has been updated to chart the continuing growth in the total insured value of these exposed coastal properties since AIR’s last update in 2013.
Link to analysis: https://airww.co/CoastlineAtRisk2019
About AIR Worldwide
AIR Worldwide (AIR) provides risk modeling solutions that make individuals, businesses, and society more resilient to extreme events. In 1987, AIR Worldwide founded the catastrophe modeling industry and today models the risk from natural catastrophes, terrorism, pandemics, casualty catastrophes, and cyber incidents. Insurance, reinsurance, financial, corporate, and government clients rely on AIR’s advanced science, software, and consulting services for catastrophe risk management, insurance-linked securities, longevity modeling, site-specific engineering analyses, and agricultural risk management. AIR Worldwide, a Verisk business, is headquartered in Boston, with additional offices in North America, Europe, and Asia. For more information, please visit www.air-worldwide.com.