More and more Americans are finding it harder and more expensive to insure their homes as major insurance companies pull out of vulnerable areas. With rising global temperatures supercharging storms, wildfires, and other extreme weather events, companies have been shelling out more than ever on claims.

What's happening?

New data from Texas has revealed that homeowners in disaster-prone regions are losing coverage at nearly double the rate of those in less at-risk areas. In Harris County, home to Houston, data from the Kinder Institute shows that 55% of homeowners are at risk of increasingly intense weather. 

According to ABC13 News, 4,192 policyholders lost their insurance coverage in 2023. Houston Association of Realtors treasurer Troy Cothran said this is becoming more common.

"What we're seeing is they're saying, 'We want to limit our risk.' … We've seen that here in Texas for the last four and five years. We've seen a lot of companies pull out," he explained.

For those who can still get coverage, costs are skyrocketing, as remaining companies are increasing their rates. Cothran said policies have "at least" doubled, with some "three or four times the cost."

Why is this concerning?

With fewer policies available and skyrocketing costs, families are more vulnerable to losing their homes altogether, especially after disasters.

This cycle is unfolding in other states, too, including Florida and California, where insurers have also retreated from hurricane- and wildfire-prone regions, leaving residents with only high-cost "last resort" policies. And for families who are still paying mortgages or required to have insurance by their homeowners associations, this can mean much tighter budgets — and even sacrifices to afford policies.

This is just another example of how increasing global temperatures are affecting communities everywhere. With human-generated pollution continuing to overheat the planet, stronger and more destructive weather is becoming more common, with insurance companies choosing to cancel coverage in the very areas that need protection the most.

What's being done about it?

There's no fix-all to this situation, but homeowners can take steps to better protect themselves. Shopping around is a good option — independent insurance agents can often find better rates.

Also, disaster-proofing homes by elevating foundations, reinforcing roofs, and using fire- or flood-resistant materials can help lower risk, maintain coverage, and even prevent excessive damage in the case of extreme weather.

As for the bigger picture, cutting the planet-warming pollution contributing to wild weather shifts is the key to preventing disasters from continuing to grow more frequent and costly. Individuals can help by supporting clean energy initiatives, and policymakers can protect communities by backing federal disaster relief programs.

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