A coalition of consumer advocacy groups is pressing the US Department of the Treasury’s Federal Insurance Office (FIO) to release nationwide data on the effects of climate change on the home insurance market.
The data, collected by the National Association of Insurance Commissioners (NAIC), provides ZIP code-level details on premiums, claims, losses, deductibles, nonrenewals, and coverage types, according to the Financial Stability Oversight Council’s annual report.
The information was gathered from over 330 insurers, representing 80% of the US property and casualty market. The FIO initially planned its own data collection but later collaborated with the NAIC to conduct a similar effort, according to earlier reports.
In a letter to Treasury leadership, the advocacy groups requested the release of granular data and an analysis of climate change’s impact on insurance affordability and availability.
Public Citizen, Americans for Financial Reform Education Fund, Consumer Federation of America, the Union of Concerned Scientists, and the Sierra Club were among the signatories, as per a report from AM Best.
Carly Fabian, senior insurance policy advocate with Public Citizen’s Climate Program, stated that a national insurance crisis is emerging, with significant implications for other areas of the economy.
She noted that access to comprehensive data is essential to address these challenges effectively. Fabian also pointed out that the Biden administration had requested these assessments three years ago and questioned the delay in releasing the data.
Jessica Garcia, senior policy analyst for climate finance at Americans for Financial Reform Education Fund, emphasized the FIO’s role in addressing gaps in the US state-based insurance regulatory system. She argued that releasing the data is critical for developing informed solutions to the insurance crisis.
“If this critical, first-of-its-kind nationwide data is not made publicly available, then FIO will have set back efforts to develop data- and community-driven solutions to the insurance crisis for years to come,” Garcia said.
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