Hurricane Helene, the climate change-fueled tropical cyclone that pummeled much of the American southeast in late September, has claimed more than 230 lives with some estimates of damages ranging from $30 to 47.5 billion. But these statistics reflect a genuine human cost, such as that of a 27-year-old mother who died with her twin babies after a tree fell through the roof of their Thomson, Georgia home.
Among other things, Hurricane Helene has demonstrated that it is impossible to flee from climate change, as some of the impacted communities (like the city of Asheville) were believed to be safe from the impact of climate change. But it also has other implications for quality of life, including something many may not consider being linked to climate change: insurance rates.
"Insurance is not doing its job if it's not within financial reach of the people who need it."
Just ask Dr. Charles Nyce, a professor of risk management and insurance at Florida State University's College of Business. When listing the three major factors driving increases in property insurance rates all over the United States, he included exposure growth and inflation to a third one — climate change.
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"As population has increased, so has the footprint of development," Nyce said. "This leads to increases in property exposed to natural disasters that we did not see in previous generations."
Given the cost to repair damaged property is already skyrocketing, the one-two punch of inflation and climate change drives higher insurance rates.
"We also see expanding areas of natural disasters," Nyce said. "This applies to wildfire, hurricane activity, tornadoes, severe convective storms, etc. The combination of these three factors is leading to higher insurance costs."
Additionally, Nyce said, the uncertainty of........