Natural Disaster Costs Above $100 Billion
The insurance cost of natural disasters has risen above $100 billion for the sixth year in a row. And, the year is not even close to over. The calculator comes from Gallagher Re. Additionally, there have not been any hurricanes that have hit the US in 2025
Bloomberg, however, points out that worldwide, the picture is different. “Rising global temperatures are contributing to an increase in the frequency and intensity of weather-related events, such as hurricanes and wildfires. Scientists expect 2025 to be the second- or third-warmest year on record.”
Whatever the human suffering and the damage to public and private property may cost, it means insurance companies are more likely to retreat from insuring some geographic areas and industries completely.
Florida Dangers
The insurance retreat has already started in the US. Many homes in Florida are uninsurable because of hurricanes. In LA, the problem is wildfires. In the central US, the challenge is hail and hurricanes. People and businesses become more likely to relocate.
This disruption to the American economy has no comparison, at least in recent years. Insurance companies, for good reason, have retreated. Areas that include Florida and LA become less attractive. The US economy is changing geographically.
Sponsor
Find a Vetted Financial Advisor
- Finding a fiduciary financial advisor doesn't have to be hard. SmartAsset's free tool matches you with up to 3 financial advisors that serve your area in 5 minutes.
- Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. Get on the path toward achieving your financial goals!
More from ClimateCrisis 247
- Heat Becomes No.1 Weather Killer
- Montana Hit By A Foot Of Snow
- National Weather Service Open During Shutdown
- 162 MPH Typhoon Roars Ashore
