California has high standards for wildfire, but even with policy changes, adoption is slow. The LA Fires will likely drive up rent prices, fueling displacement in the region. The fires are straining an already imbalanced CA insurance market.
In 2024, the U.S. experienced 24 climate disaster events where losses exceeded $1 billion. As The Epicenter team reflects on themes from 2024, five questions are top of mind. The Epicenter asked resiliency practitioners to reflect on the past year and share their thoughts on what's to come in 2025.
Investors can reduce the costs and dangers of extreme heat by: Fortifying the electrical grid and built environment; Advancing alternative cooling innovations; Developing public-private partnerships in cooling infrastructure; Investing in blended finance tools; Scaling insurance innovations.
Of all the natural disasters that hit the U.S. each year, extreme heat waves are by far the deadliest. Extreme heat also slows workers down and reduces agricultural productivity.
Three key levers present opportunity for private capital to improve the resiliency of infrastructure and assets during hurricanes: reduce exposure by pricing in disaster risk, fortify assets with hurricane-resilient materials, create partnerships between public and private actors.
Hurricanes are the most costly type of climate disaster. The high cost comes from population growth in hurricane-prone areas, incentives that motivate rebuilding in those same areas, and physical assets in harm's way that aren't designed to withstand severe hurricanes.
Long-term investment in voting infrastructure enables voters in NC to cast ballots. Disasters could slowly influence bi-partisan agreement for climate action. U.S. immigration policy could impede or catalyze climate migration. Presidents hold direct power over capital allocation post-disaster.
As floods become bigger and more common, insurance gaps increase costs. Climate-vulnerable mobile homes increase financial risk for communities. Pop up micro-grids offer resilience to vulnerable power grids. ReBuild NC has a deficit of over $150 Million and 1,600 people still displaced.
5 Early Insights from Hurricane Helene. Climate change exacerbated the impacts of Helene. Hurricanes are no longer just a coastal threat. And utilities face growing recovery costs alongside pressure to build more resilient grid systems.
By rebuilding the same way we’ve done in the past, we’re ensuring the trend will continue: a costly and frequent cycle of destruction and reconstruction that can threaten existing assets and multiply financial losses across every sector.
Many firms can play in the adaptation space both in terms of investments and solutions. Climate Disasters are catalyzing the deterioration of our U.S Bridges. And policy-makers are moving to hold largest emitters financially accountable in effort to raise capital for adaptation efforts.
