Navigating Climate Risk in Insurance

This chapter examines the critical role catastrophe models play in the insurance industry amidst increasing climate risks, influencing everything from premiums to deductibles. It discusses the implications for households and governments when traditional insurance becomes unavailable, highlighting the struggle with inadequate state-run programs. Additionally, the chapter explores the insurance sector's potential in fostering resilience through investment in clean energy and supporting policyholders in post-disaster recovery.