Rising Insurance Premiums Contribute to the Cost of Homeownership

High cost of homeownership

Property taxes and home-maintenance costs are climbing in much of the country. Non-mortgage costs including property taxes, maintenance, utilities and insurance make up more than half of homeowners’ overall costs, according to a 2022 analysis by Fannie Mae economists. Worst of all, home insurance premiums are soaring. Rates rose by more than 10% on average in 19 states in 2023 after a series of big payouts related to floods, storms, wildfires and other natural disasters across the U.S.

How AI, Tech Advances Can Help Insurers with Climate-Related Risks

AI and cyber risks

Global economic losses from natural catastrophes hit $380 billion in 2023, with insured losses at $118 billion, according to a new report from Aon. More than two-thirds (67%) of global insured losses occurred in the United States, and “while no event reached the $10 billion mark, there were at least 37 billion-dollar disasters in total,… Continue reading How AI, Tech Advances Can Help Insurers with Climate-Related Risks

A New Breed of Insurer Is Battling Climate Change

climate change and insurance

The need for new ways to insure against catastrophes arises from the increasingly extreme nature of our planet’s weather. As we put more infrastructure of every kind into harm’s way, that’s leading to bigger losses for insurers. In the 1980s, the U.S. suffered an extreme weather event that cost $1 billion every four months. Now, one is happening every three weeks, according to the U.S. National Climate Assessment, released in November.

U.S. Hit By 25 Reported Billion-Dollar Disasters in First 10 Months of 2023

NOAA on 2023 natural disasters

The U.S. National Oceanic and Atmospheric administration — NOAA — reports the U.S. has seen 25 separate weather or climate “disasters” — events causing damage or losses exceeding $1 billion — so far this year, the highest number since the agency began tracking such events 43 years ago.

Agents, Commercial Clients Have Different Views on Severe Weather Readiness

Flood risks and uninsured

The increasing frequency and severity of weather events across the globe have many commercial insurance customers worried about damage to their businesses and properties – and rightfully so, with data showing 40% of businesses fail to reopen following a disaster.