I think we are going to see people start moving out of high risk zones, be it wildfires, flooding, or hurricanes. The impetus for the move will be the inability to get homeowners insurance. Some states like Florida and California have started a state funded insurance pool. I’m not sure this will work, the potential liabilities are huge and will quickly drain that pool of funding. The LA wildfires wiped out entire neighborhoods of multi-million dollar homes. No insurance company can cover losses like that and neither can the state.
The politicians can’t say this, but I will. Those neighborhood should not be rebuilt. That land should be cleared and allowed to go back to nature.
If people can’t get insurance on their homes, they will move to less risky areas. The numbers could be very large, in the millions over the next decade or so. This will profoundly change both the states they move away from and the states they move to.
I think we are going to see people start moving out of high risk zones, be it wildfires, flooding, or hurricanes. The impetus for the move will be the inability to get homeowners insurance. Some states like Florida and California have started a state funded insurance pool. I’m not sure this will work, the potential liabilities are huge and will quickly drain that pool of funding. The LA wildfires wiped out entire neighborhoods of multi-million dollar homes. No insurance company can cover losses like that and neither can the state.
The politicians can’t say this, but I will. Those neighborhood should not be rebuilt. That land should be cleared and allowed to go back to nature.
If people can’t get insurance on their homes, they will move to less risky areas. The numbers could be very large, in the millions over the next decade or so. This will profoundly change both the states they move away from and the states they move to.