CLIMATE CHANGE WILL DECIMATE THE INSURANCE INDUSTRY.

Climate change is leading to more frequent and severe weather events such as hurricanes, floods, wildfires, and storms. These events can result in substantial property damage and insurance claims. Insurance companies may face higher payouts due to increased claims, which can impact their profitability and lead to many exiting the whole business. The mortgage industry will need to change considerably with a unforeseen effect on property values. As global temperatures rise, sea levels are also expected to rise. This poses a significant risk to coastal areas and increases the potential for flooding and storm surge damage. Insurance companies providing coverage for properties in coastal regions may face increased risks and higher claims due to these hazards. Insurance companies rely on historical data and actuarial models to assess risk and determine premiums. However, climate change can alter the patterns and frequency of weather-related events, making it difficult to accurately assess risk. Insurers may need to update their underwriting practices and risk models to account for climate change factors. Climate change impacts can lead to changes in property values and insurability. Properties located in high-risk areas may become more expensive to insure or may even become uninsurable, particularly if the risks associated with climate change become too significant. This can have implications for property owners and the insurance industry as a whole. Governments and regulatory bodies may impose new regulations and requirements on insurance companies related to climate change mitigation and adaptation. This can include measures such as stricter building codes, mandatory coverage for certain climate-related risks, and reporting on climate-related financial risks. Insurance companies will need to adapt to these regulatory changes and potential legal challenges. Insurance companies are increasingly recognizing the importance of assessing climate-related risks and incorporating them into their business strategies. Some insurers are developing climate risk models, offering specialized coverage for climate-related risks, and exploring ways to promote climate resilience. The impact of climate change on insurance companies is an evolving area, and the industry is actively working to understand and address these challenges. The desirable multi million pound house on the Thames with stunning views now may become impossible to sell without insurance cover and therefore impossible to mortgage.

All State and State Farm in California have suspended house insurance where next, Spain, Italy, Greece, UK ,when the insurance company shareholders see their dividends going up in smoke the pressure will be swift and cruel.