Insurance Industry Looking Hard At Climate Change

A recent paper in Science (abstract) examines the insurance industry's reaction to climate change. The industry rakes in trillions of dollars in revenues every year, and a shifting climate would have the potential to drastically cut into the profits left over after settlements have been paid. Hurricane Sandy alone did about $80 billion worth of damage to New York and New Jersey. With incredible amounts of money at stake, the industry is taking climate projections quite seriously. From the article: "Many insurers are using climate science to better quantify and diversify their exposure, more accurately price and communicate risk, and target adaptation and loss-prevention efforts. They also analyze their extensive databases of historical weather- and climate-related losses, for both large- and small-scale events. But insurance modeling is a distinct discipline. Unlike climate models, insurers’ models extrapolate historical data rather than simulate the climate system, and they require outputs at finer scales and shorter time frames than climate models."

The good side of science in pursuit of profit

[PerlPunk]

Finally, we are about get some science that is not tied to advancing some political cause, political party, or some religious belief for or against Gaia.

Re:Death throes of climate alarmism

[Anonymous Coward]

Don't worry, they'll restart the craziness in the usual 30 years.

Re:Death throes of climate alarmism

[khallow]

Why are climate change skeptics, who call climate change global warming, still taken seriously?

Indeed, what else would you call "global warming", but the obvious term, "climate change"?

As for myself, I too suffer dearly from climate change. Due to the warming of the past century, my bid for Supreme Galactic Emperor has fallen into shambles. Damn that nefarious Industrial Age! And now with all this extreme weather, I had to give up on the consolation prize, the Most Excellent Emir of the Orion Arm position. You wouldn't think that US flood insurance policies have intergalactic implications. Well, that's why I'm a space noble and you're a space peasant!

I think my suffering is worth at least $200 billion dollars and the title of Honorable Viceroy of the Sol System. It's not too much to ask, given the circumstances and the money sloshing around.

Re:hurricanes that blow

[Anonymous Coward]

Try October 1780 for a month to remember.

Westboro Baptist Church says that was payback because we didn't ban gays in the Declaration of Independence.