Super storm Sandy forces insurer to rethink risk. Climate change is the new normal.
But the insurance industry looks at historical data, old and new, in order to assess the risk for potential disasters and put a price on premiums. When climate is changing, the old data is… -old.
And that turmes the analys from that data into something that does not represent reality. This has implications for risk, economy and ultimately well fare and lives.
As the insurance industry realizes the new risks and probable events, the public may find it hard to accept this new pricing of risk. It is therefore in both the public, governmental and insurance industries interests that everybody stays well informed about what is known and understood from a scientific perspective about climate change and future possible events.