Democrats in Congress are pressing state insurance regulators to disclose any progress they have made to address the insurance industry’s growing vulnerability to climate change.
In a letter Monday to the National Association of Insurance Commissioners, lawmakers led by Rep. Sean Casten (D-Ill.) requested an update on how the group of state insurance officials is responding to mounting climate risk. The question has added urgency as homeowners struggle to find and pay for property coverage, sparking concerns among lawmakers and consumer advocates about households’ ability to recover financially from natural disasters.
“Large home insurers are requesting significant rate increases from state insurance commissioners across the country, increasing policy exclusions, avoiding renewals in unprofitable markets, and implementing higher deductibles in areas with substantial exposure to climate events,” wrote Casten, Sen. Sheldon Whitehouse (D-R.I.) and Rep. Maxine Waters (D-Calif.). The moves by insurers are “in response to rising insured losses due to climate change,” the lawmakers said.
Casten is on the House Financial Services Committee along with Waters, who is the panel’s ranking Democrat. Whitehouse chairs the Senate Budget Committee and has held a series of hearings about how climate change is affecting finances and the federal budget.
