The real estate industry is facing a unique conundrum amidst a surge of people moving into climate-vulnerable areas. Insurance carriers are fleeing these areas, making it ever harder to secure coverage for buyers. This trend is bound to continue, given the increasing risk associated with climate change and the associated natural disasters.
This problem has caused major issues for real estate agents and their clients. Many carriers are ceasing to provide policies to areas with higher rates of extreme weather conditions. Furthermore, it has become increasingly difficult to locate reliable and affordable policies for clients. Also, those seeking coverage in vulnerable areas are subject to higher deductibles and premiums and are often unlikely to receive payouts in full.
In summary:
– Scores of people are moving into climate-vulnerable areas
– Insurance carriers are leaving these areas, creating major problems for real estate agents and their clients
– It has become increasingly difficult to locate reliable and affordable policies
– Coverage seekers in vulnerable areas face higher deductibles and premiums
– Likelihood of receiving full payout is reduced
You can read this full article at: https://www.housingwire.com/articles/datadigest-what-happens-when-insurance-carriers-abandon-americas-biggest-housing-markets/(subscription required)
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