Green Central Banking: Australia and NZ face home insurance crisis due to climate, experts warn

Insurance costs are soaring for home owners in Australia and New Zealand as climate change leads to floods, fires and storms, pushing up inflation and threatening financial stability, experts say. “As premiums rise and coverage is withdrawn from high-risk areas, we can expect to see impacts on asset prices and the prosperity of communities,” said Philip Tapsall, head of corporate and finance sector engagement at climate risk experts XDI. “Without stronger action to reduce emissions and build resilience, we could see this have implications for financial stability.”

Tune in to this episode of The Elephant In The Room Property Podcast to hear XDI’s Philip Tapsall discuss climate impacts on property value, insurability and safeguarding investments.

XDI (Cross Dependency Initiative) unveiled the XDI Climate Risk Hub at New York Climate Week, introducing a comprehensive platform for on-demand climate risk analysis across industries and geographies.

Offloading climate risk can have unintended consequences for smaller banks and communities but effective regulation can avert those problems, says Philip Tapsall of XDI.