From 2019 Through 2022, US Property Insurance Premiums Spiked 82% In The Top 20% Riskiest ZIP Codes

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Homeowners in the United States are facing an enormous financial crunch due to the climate crisis, with many struggling to find insurance or even dropping premiums that are soaring due to a mounting toll of wildfires, hurricanes and other disasters, new federal government data shows.

The figures, the most comprehensive numbers ever released by the US treasury department on the issue, show insurance premiums are increasing quickly across the country, with people living amid the greatest climate-driven risks experiencing the steepest rises of all. In the four years to 2022, people living in the top 20% riskiest places for such perils paid, on average, 82% more than those in the 20% lowest climate risk zip codes.

The climate crisis is making it harder for insurance companies to operate, with many pausing or completely withdrawing from disaster-prone states such as Florida and California, which is currently being roiled by wildfires in the Los Angeles region. More homeowners are now failing to pay their ballooning premiums, risking ruin if disaster hits, with insurers canceling at least 10% of policies in more than 150 risky zip codes in 2022, the report found.

The analysis bolsters previous findings that Americans are now facing starkly tangible climate costs, despite Donald Trump’s contention that the climate crisis is a “hoax” and of little importance. “We are marching towards an uninsurable future,” said David Jones, the former insurance commissioner of California. “The climate crisis is driving an insurance crisis. “This is the first such comprehensive report by government and it shows that wherever climate change is landing as more severe weather events it is causing greater insurance unavailability, higher insurance pricing and greater insurance losses.”

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https://www.theguardian.com/environment/2025/jan/22/us-homeowners-insurance-costs-climate-crisis