PriyaPatelTLDR:
- Finance guru Suze Orman warns that climate change is causing property insurance costs to soar, making homeownership unsustainable.
- She gave up insurance for her Florida condo after being quoted $28,000 a year, saying Americans may lose interest in owning homes due to rising costs.
Finance expert Suze Orman has highlighted the impact of climate change on rising property insurance premiums, stating that this trend is making homeownership unaffordable for many Americans. Orman, who faced a $28,000 a year premium for her own condo, believes that the increasing costs may lead people to lose interest in owning homes as insurance costs become unsustainable. She emphasized that last year alone, the US experienced 28 natural disasters costing at least $1 billion each. This has led to a 23% increase in the national average home insurance premium, now at $1,759 a year. Furthermore, extreme weather events such as hurricanes, wildfires, and floods have become more common, leading to higher construction costs and more expensive repairs, further driving up insurance premiums. Some insurers have even started pulling out of disaster-prone areas altogether, citing the high risks and costs. Orman’s own decision to self-insure her condo underscores the challenges many homeowners are facing due to climate change-induced insurance costs.
