Extreme weather and rising seas are not the reasons why insurers are raising rates and exiting certain areas. Statistically speaking, "extreme weather" events are less now than 30 years ago. Interesting, the most number of "extreme weather" events occurred in the late 1800s (between 1870 and 1900; however, they were not nearly as devastating for the reasons noted below). As far as rising seas, given that the world's elites are gobbling up oceanfront property, it is hard to see this as being a real concern.
In my discussions with an insurance expert, what has caused increased rates and exiting are 1) the density of population where these weather events tend to occur, 2) the increase value of properties in such areas, and 3) the costs of replacement, which have grown exponentially in the last 3+ years. For example, over the past 30 years, Florida's population has grown from 13,000,000 (1990) to 22,610,000 (2023), a 70+ % increase. As we know, and have known for a long time, hurricanes tend to hit Florida especially hard. Other southern states have grown as well. The quality and costs of homes in these areas has increased over that span too. Florida, for example, has an unbelievable number of high-end homes a/k/a mansions. And finally, as noted in this thread, construction costs have skyrocketed during that time.
Some people believe in "extreme weather" but it's not a real thing.
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