Homeowners across the U.S. are receiving shocking insurance renewal rejections, leaving many scrambling for coverage or forced to pay skyrocketing premiums.

Even worse, as rising global temperatures continue to drive more extreme weather events, some insurance companies are pulling out of high-risk areas altogether.

What's happening?

Despite never even filing claims, residents such as Texas builder Danny Day have been dropped by insurance providers. In Day's case, his home insurer, Hippo, said that statewide exposure risks were the reason his policy wasn't renewed, according to Community Impact.

From 2022 to 2023, Texas home insurance premiums rose by 23%, which is more than double the national average, according to S&P Global, per Community Impact. Some policyholders are choosing to go without coverage because they simply can't afford it.

"It's kind of outside of everybody's control — you've got to have homeowners insurance, and you've got to pay property taxes — but these costs are, in Texas specifically ... getting extremely high," Day told Community Impact.

Why is this trend concerning?

Planet-warming pollution generated by humans burning dirty energy sources like oil and gas is driving rising temperatures. This creates a vicious cycle of destruction, economic strain, and insurance instability. As the cost of rebuilding rises, insurers are charging more or whittling down coverage, especially in more at-risk areas. 

That's leaving families vulnerable and financially exposed, especially considering homes are often the biggest chunk of someone's wealth.

What's being done about it?

To improve transparency, Texas Gov. Greg Abbott signed House Bill 2067, requiring insurers to explain why policies are dropped or not renewed. While critics argue the law doesn't go far enough to stop rising premiums, supporters hope it's a step toward holding companies accountable. 

Others say government officials need to incentivize more competition among insurance companies. With more companies covering an area, the risk would be more spread out and could help with rising rates.

Longer-term solutions may include better infrastructure planning, improved flood mapping, and public investment in green technologies that reduce pollution and slow our planet's warming. In the meantime, families can explore critical climate issues and take steps to advocate for clean energy solutions.

How concerned are you about your energy bills increasing this summer? Very 😰 Somewhat 😏 Not much 🤷 Not at all 🧘 Click your choice to see results and speak your mind.

Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.