Wildfire victims are facing a growing insurance crisis as rising disaster risks make coverage harder to obtain and more expensive. In wildfire-prone areas, many homeowners are seeing their policies canceled, premiums skyrocket, or insurers pull out altogether. As climate change fuels more frequent and severe fires, the insurance industry is struggling to keep up, leaving victims with fewer options for rebuilding their lives. This crisis raises urgent questions about the future of home insurance, government intervention, and how communities can better prepare for wildfire risks.
Watch the video to learn more and be able to answer the questions below:
VOCABULARY QUESTIONS:
- What is the meaning of the word “soared” in this sentence? Ex. Insurance premium soared after the campfire in Northern California Butte County in 2018, which at that time, the deadliest and most destructive wildfire in the State’s history. Make a sentence using the word.
- What does the phrase ” echo of” mean? Ex. Insurance crisis could lead to a housing one with echo of 2008 saying that this is predicted to cascade into plunging property values. Use the word in a sentence.
- What does the word “looming” mean? Ex. Climate change in no longer an environmental problem. It has become a looming economic threat.
DISCUSSION QUESTIONS:
- Should the government step in to provide insurance assistance for wildfire victims, or should it be left to private insurers? Why?
- Do you think insurance companies are justified in raising premiums or dropping coverage in wildfire-prone areas?
- Is it fair to require homeowners in high-risk wildfire zones to pay significantly higher insurance rates?
- How can insurance companies balance financial risk while still providing coverage for wildfire victims?
- How should communities and governments prepare for the increasing risks of wildfires and their impact on home insurance?