H
omeowners across the US are facing difficulties with obtaining insurance or keeping up with rising premium costs due to extreme weather events. However, business owners, landlords, and property developers are also feeling the strain. As The New York Times reported, insurance premiums for homeowners have increased due to the growing threat of deadly storms, wildfires, and flooding made worse by human-caused global heating.

    Commercial building owners are also facing challenges, with deals falling apart as insurance costs rise to unaffordable levels. According to Marsh McLennan, insurance costs for commercial properties in storm-vulnerable areas like Florida and California have increased by up to 50%. After Hurricane Helene, insurers became less willing to offer coverage or raised premiums to cover their losses.

    High insurance costs are also discouraging developers from building new properties, as rising interest rates expose those who know what they're doing and those who don't. Global temperatures continue to rise, making extreme weather a growing threat, which will likely lead to more insurers pulling coverage, raising premiums, or not offering protection at all.

    Rising insurance costs could force businesses to leave premises, close entirely, or increase prices, affecting consumers and the market as a whole. Landlords may raise rents, impacting tenants who are already struggling financially. The rise of remote work is also discouraging businesses from investing in or renting property, leading to empty buildings and wasted resources.

    To address rising insurance costs, businesses and homeowners should shop around for coverage, but ultimately, reducing planet-warming emissions is key to lowering insurance costs and creating a greener, safer world. Businesses are beginning to understand that relying on sustainable energy and reducing waste not only benefits the environment but also operating costs.