FEMA moves forward with its own flood insurance changes

Flood Insurance Changes - Boots underwater

The Federal Emergency Management Agency has decided to take NFIP tweaks into its own hands. The Federal Emergency Management Agency revealed its intentions to make a number of flood insurance changes. The National Flood Insurance Program (NFIP) is facing massive and rising debt levels. There are many flaws in the program causing it to become unnecessarily expensive. Therefore, FEMA decided to help make changes to bring significant funding back to NFIP. The idea behind the latest flood insurance changes is to draw more private funds into the government-led coverage market.…

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Northern California wildfires break $9 billion in insurance claims

fire fighter northern california wildfires

The fires that torched their way through the state’s wine country in October have broken fire records. The Northern California wildfires from October have already generated an incredible $9 billion in insurance claims. This has easily left the previous wildfire insurance claim records well behind. The October blaze is now the most expensive single fire in the history of the United States. California Insurance Commissioner Dave Jones does not think that total will rise much further for those Northern California wildfires. The $9 billion figure represents the total insurance claims…

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The cost of natural disaster insurance hasn’t been this low in 6 years

Austrailia Has Seen it's Share of Natural Disaster insurance

Global insurers saw the lowest expenses associated with those catastrophes they’ve seen since 2009. According to the largest reinsurance company on the planet, last year’s costs for natural disaster insurance claims – that is, the expenses from catastrophes such as earthquakes and massive storms – were lower than they have been since 2009. The reinsurer released a report that looked back over the last year and showed it was less costly than the last six. The reinsurer in question was Munich Re, which released its analysis of natural disaster insurance…

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Climate change is proving unsettling for insurance agents

Climate Change Insurance agents Industry

Lloyd’s of London has revealed that it is starting to look into potential catastrophes from the new reality. Lloyd’s of London has just released a document that is rather unsettling to insurance agents in the way that it has shown that it is currently exploring potential apocalyptic disasters that could result from the impact of climate change on the current structure of the world. The report detailed the way that there could essentially be a worldwide meltdown from a food supply chain failure. This was far from the type of…

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Current insurance trends aren’t enough protection from climate change

Natural Disaster damage insurance trends

Wealthier nations can afford the premiums for coverage but poorer countries don’t have that privilege. The insurance trends that are currently in place do have a focus on providing protection for those who are the most vulnerable against the types of peril that the weather can cause, particularly in the case of farmers who are the primary suppliers of food. But as extreme weather becomes more commonplace, some wonder whether these efforts will be enough. While many believe that the necessary arrangements will be possible to protect against the damage…

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Understanding Natural Disasters and the Insurance Industry

risk industry cyber insurance

Natural disasters are an inherent part of the insurance industry. They are a problem that the industry has been fighting for as long as it has existed, and the battle is fraught with conflicts that insurers often lose. There is no such thing as absolute protection from natural disasters. Floods will cause damage despite the best efforts made to keep waters at bay, earthquakes will shake buildings to rubble, and tornadoes will blow houses apart. The best that the insurance industry can do is offer aid for the recover from…

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Insurance companies unaffected by climate change, says Warren Buffett

Insurance News - Warren Buffett, CEO of Bershire Hathaway

According to the Berkshire chairman and CEO, the increase in natural disasters has not impacted his insurers. Warren Buffett has revealed that the increase in natural disasters and the extreme weather from climate change around the world have not affected Berkshire Hathaway’s insurance companies. Buffett has stated that no changes have been made to the way that catastrophe calculations are made. He explained that climate change has not affected the calculations that are made in terms of determining how likely it is for a catastrophe to occur. Berkshire Hathaway Inc.…

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South Asian Insurance industry suffering massive losses from cyclones

south asian Insurance industry India

Weather coverage segment may be seeing loss ratios as high as 100 percent. Damage to crops that has occurred as a result of cyclones could be leading to higher loss ratios in the weather South Asian insurance industries, with predictions that they could be as high as 100 percent, this year. Cyclone Phailin has caused a tremendous loss ratio this year when it struck in October. The crop damage that was caused by Cyclone Phailin when it struck the coast of Orissa and Andhra Pradesh early in October may lead…

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Insurance industry won’t hurt too much from Cyclone Phailin

south asian Insurance industry India

It is believed that the losses will be less than an estimated $1.6 million, possibly much less. On Saturday, Cyclone Phailin smashed its way through Odisha and Andhra Pradesh in India, following a massive evacuation of the area, leaving the world and the insurance industry to wonder what would be left behind. Officials are now saying that there may not be very large losses for insurers to have to face. According to those officials from the insurance industry, the largest amounts of destruction were sustained by “kuchcha houses” (which are…

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Homeowners insurance rates skyrocketing following massive flooding

layoff employment Insurance Industry - Alberta, Canada

The June floods in Alberta are not only causing record level costs, but also spikes in premiums. Now that the flooding in Alberta has been labeled as the most costly natural disaster that Canada has ever faced, it has become clear that this massive expense will be reflected in future homeowners insurance rates. The damage is estimated to have reached $1.7 billion, so far, and claims continue to pour in. Regardless of whether or not they live in a flood zone, many property owners have already seen their homeowners insurance…

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