Category Archives: Homeowners Insurance

Battery Fire, E-mobility, Emerging Risks, Health & Safety, Homeowners Insurance, Risk Management, Technology

JIF 2025 “Risk Takes”:
Data Solutions for Today’s Challenges

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By Lewis Nibbelin, Contributing Writer, Triple-I

Analysis based on granular, cutting-edge data is essential to staying ahead in our rapidly shifting risk landscape. During Triple-I’s Joint Industry Forum in Chicago, two “Risk Take” presenters dove deep into the innovative data initiatives they engaged in to help turn these challenges into new opportunities for insurers.

Balancing consumer needs

With natural catastrophe frequency and supply chain uncertainty on the rise, so are home maintenance costs. Estimated to exceed $10,000 annually in 2024 – at a 5.9 percent year-over-year increase – home maintenance further weighs against the mounting costs of premium rates and property taxes across the U.S., leading many homeowners to forgo investing in at-home risk mitigation like smart home telematics.

“Across the providers we’ve talked to, adoption of telematics falls somewhere between the single digits,” said presenter James Bilodeau, CEO and founder of PreFix Inc. “The reason is simple: the value proposition of what we would like homeowners to do isn’t important enough compared to what homeowners actually need.”

For Bilodeau, the solution is also simple: combine advanced technology with routine preventative maintenance. By providing personalized, year-round home repair, Bilodeau’s Texas-based firm aims to mitigate losses while gathering unique primary data on the properties they service. Insurers can use this data to develop telematics technology and more accurately price the associated risks.

Such data collection “creates a flywheel in which we help our partners delight their customers with exceptional service and hit directly at affordability issues, both with home maintenance and in premium reduction,” Bilodeau said.

After a successful pilot program, USAA expanded its partnership with the company to offer discounted maintenance services to members who sign up for PreFix. Noting that the company is pursuing partnerships with other major insurers, Bilodeau highlighted that industry collaboration is crucial to not only facilitate more refined coverage but to lower the cost of entry to enhancing resilience.

Emerging public safety risks

An eightfold increase in New York City fire incidents between 2019 and 2023 correlates strongly with the growing popularity of e-mobility devices, according to a joint report by UL Standards & Engagement (ULSE) and Oxford Economics that is based in part on Triple-I data.

Presenting on the report, ULSE Director of Insights Sayon Deb explained how lithium-ion battery fires linked to e-bikes and scooters became a mainstream risk for COVID-era urban environments, due in part to the booming online food and grocery delivery market.

“Nearly $519 million worth of damages were caused in just four years from structural property damage, injuries, and loss of life,” Deb said, pointing out that this figure does not account for “the additional cost of communal fear, in terms of fires happening across the hallway from you, and also the loss in economic opportunities and the community toll that it takes as we respond to these fires.”

Inadequate public safety awareness, paired with the easy availability of uncertified devices, helped fuel the crisis. Beyond overusing or incorrectly charging the devices, e-mobility users often left them in dangerous locations, with “66 percent of those who charge at home charging their devices near their exit,” Deb explained – effectively “blocking your exit from your home in the event of a fire.”

E-mobility regulations vary wildly by state. Though New York City regulations passed in 2023 show progress, ULSE recommends more proactive public outreach, safety standard enforcement, and incident reporting to better track e-mobility risk data.

“The better the data we collect, the better we can understand where, how, and why these battery fires occur, so that we can prevent future fires from happening,” Deb concluded.

Learn More:

JIF 2025: U.S. Policy Changes and Uncertainty Imperil Insurance Affordability

JIF 2025: Litigation Trends, Artificial Intelligence Take Center Stage

Insurance Affordability, Availability Demand Collaboration, Innovation

E-Mobility Battery Fire Data Exposes Potential “Blind Spot” for Insurers

Disaster Preparedness, Health & Safety, Homeowners Insurance, Lightning, Risk Management

Lightning-Related Homeowners Claims
Fell 16.5% in 2024

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By Loretta Worters, Vice President, Media Relations, Triple-I

Lightning-related homeowners’ insurance claims totaled $1.04 billion in 2024, a 16.5 percent decrease from 2023, according to new data from the Insurance Information Institute and State Farm, the largest writer of homeowners’ insurance in the United States. The number of lightning-caused claims also fell significantly, dropping 21.5 percent, to 55,537, the lowest level recorded since before 2017.

More than half of all claims came from the top 10 states, with Florida, Texas, and California leading the country in lightning-related property losses.

“Fewer claims and a decline in severity indicate increased awareness and improved mitigation,” said Sean Kevelighan, CEO, Triple-I. “Nonetheless, lightning remains a significant threat to property and safety, particularly during storm season.”

Key lightning claim stats for 2024

  • Total number of claims: 55,537 (down from 70,787 in 2023)
  • Total claims value: $1.04 billion (down from $1.24 billion)
  • National average cost per claim: $18,641
  • Highest state average: $38,558 in Texas

Top three states by lightning losses

  • Florida – 4,780 claims, $113M in damages
  • Texas – 4,369 claims, $168M in damages
  • California – 4,005 claims, $75M in damages

“Lightning remains a costly and unpredictable threat, with ground surges causing nearly half of all claims,” said Michal Brower of State Farm. “These events can cause extensive damage to electrical systems, appliances, and even structural issues. The damage underscores the critical need for homeowners to be aware of the risks, invest in protective measures, and stay prepared, especially in high-risk regions where lightning strikes are most frequent and damaging.”

Lightning strikes can cause more than just a power outage. Common impacts include:

  • Fires in attics, roofs, or walls
  • Power surges that destroy electronics and appliances
  • Structural damage
  • Injury or even death

How to Stay Protected

Homeowners can protect their families and property by following a few guidelines:

  • Install whole-home surge protection and unplug devices during storms;
  • Consider a certified lightning protection system;
  • Check your homeowners’ insurance policy for lightning and surge-related coverage; and
  • Stay indoors and avoid wired devices during thunderstorms.

Damage caused by lightning, such as fire, is covered by standard homeowners’ insurance policies.  Some policies provide coverage for power surges that are the direct result of a lightning strike. 

The Lightning Protection Institute (LPI) notes that lightning strikes can occur at an astonishing rate of 100 times per second.

“Whether it’s a family home or a mission-critical facility, no property is immune to lightning,” said Tim Harger, Executive Director at LPI, whose organization provides resources for the design, installation, and inspection of lightning protection systems. “The most effective time to prevent lightning damage is before a storm. A lightning risk assessment paired with a professionally installed protection system can make all the difference in keeping people safe and operations uninterrupted.”

While lightning-related claims may be down, the risk is still very real, especially in high-strike areas like Florida, Texas, and California. Taking preventive steps now can reduce exposure to costly damage later.

Learn More:

Lightning Protection Institute

The Importance of Protecting Critical Facilities From Lightning Strikes

Lightning: Quantifying a Complex, Costly Peril to Support Resilience

Beyond Fire: Triple-I Interview Unravels Lightning-Risk Complexity

Auto Insurance, Catastrophes, Disaster Preparedness, Disaster Resilience, Emerging Risks, Flood Insurance, Homeowners Insurance, Hurricane, Industry Awards & Events, Insurers and the Economy, Legal Environment, Market Conditions, Regulation, Risk Management, Severe Convective Storm, Tornado, Wildfire, Wind

Insurance Affordability, Availability Demand Collaboration, Innovation

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By Lewis Nibbelin, Contributing Writer, Triple-I

Insurance industry executives and thought leaders gathered yesterday for Triple-I’s Joint Industry Forum (JIF) in Chicago to discuss the trends, economics, geopolitics, and policy influencing the market today, as well as ways to navigate these complexities while focusing on making their products affordable and available for consumers.

Triple-I CEO Sean Kevelighan in his opening remarks, noted that effective risk management depends on collaboration across stakeholder groups, as interconnected perils “present a community problem, not just an industry problem.”

JIF keynote speaker Louisiana Insurance Commissioner Tim Temple said facilitating community resilience planning is a top priority for the National Association of Insurance Commissioners (NAIC). The NAIC’s 2025 initiative  – “Securing Tomorrow: Advancing State-Based Regulation” – aims to improve disaster mitigation and recovery by consolidating “the collective expertise of experienced state regulators from across the country, who can share real-time insights and proven strategies,” Temple said.

Among the initiative’s goals is aggregating more data from insurers to better understand challenges to affordability and availability on state levels, which the NAIC can then translate into actionable policy proposals. Such data calls, Temple said, help regulators, legislators, and policyholders focus on improving the cost drivers of insurance rates.

Louisiana has consistently been among the least affordable states for homeowners and auto insurance, according to the Insurance Research Council (IRC), in part because of its reputation for being plaintiff-friendly in civil litigation. Significant tort legislation has been approved in the state, but resistance to reform remains a challenge.

Getting to the roots of high premiums

 After a recent data call in his home state, Temple told the JIF audience, “For the first time in Louisiana, we’re not talking about only premiums. We’re talking about why premiums are where they are.”

A critical lack of transparency surrounding cost drivers persists, however. Temple criticized the National Flood Insurance Program’s Risk Rating 2.0 reforms for not publicly disclosing more information “for individuals and communities to identify and address factors driving up their premiums,” such as “whether increased rates take into account levee systems, pump stations, and other things designed to help mitigate against floods.”

Conversely, government programs like Strengthen Alabama Homes – and the numerous programs it inspired, including in Louisiana – have demonstrated success in communicating the benefits of resilience investments for consumers and policymakers.

“We’re seeing major positive results after just a few short years,” Temple said, noting that, since early 2024, over 5,000 homeowners not chosen for Louisiana’s grant program still decided to invest in the same hazard mitigation, as they may still qualify for the corresponding state-mandated insurance discounts.

“As natural disasters become more frequent and severe, state regulators will continue to drive forward common-sense policies that protect consumers and ensure that insurance remains available and reliable for at-risk communities,” Temple concluded. Developing the database required for such policies is a necessary first step.

Keep an eye on the Triple-I Blog for further JIF coverage.

Learn More

Significant Tort Reform Advances in Louisiana

Louisiana Senator Seeks Resumption of Resilience Investment Program

Louisiana Reforms: Progress, But More Is Needed to Stem Legal System Abuse

Louisiana Is Least Affordable State for Personal Auto Coverage Across the South and U.S.

Who’s Financing Legal System Abuse? Louisianans Need to Know

Study Touts Payoffs From Alabama Wind Resilience Program

Outdated Building Codes Exacerbate Climate Risk

Resilience Investments Paid Off in Florida During Hurricane Milton

Disaster Preparedness, Disaster Resilience, Homeowners Insurance, Legal Environment, Market Conditions

Disasters, Litigation Reshape Homeowners’ Insurance Affordability

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Rising natural disaster costs, increased home repair expenses, and legal system challenges have made homeowners’ insurance significantly less affordable across the United States over the past two decades,  according to new research from the Insurance Research Council. The trend shows no signs of slowing.

The financial burden of protecting one’s home has grown substantially. With homeowners insurance expenditures growing much faster than incomes over the past two decades, American households now dedicate an increasing share of their income to insurance premiums.

 In 2001, homeowners typically spent about 1.19 percent of their household income on insurance coverage. This figure climbed to 2.09 percent – a 75 percent increase – by 2022, the most recent available year’s data.

Projections of average premiums from the Insurance Information Institute suggest the trend will continue escalating, with estimates indicating households could spend 2.4 percent of their income on homeowners’ insurance by 2024 – the highest level recorded in more than two decades.

Wide variation by state

Utah emerged as the most affordable state in 2022, where residents spent only 1.00 percent of their income on homeowners’ insurance. Other states offering relative affordability included Oregon (1.09 percent), Alaska (1.23 percent), and Maryland (1.27 percent).

Louisiana ranked as the least affordable, with households dedicating 4.22 percent of their income to homeowners’ insurance. Disaster-prone states dominated the least-affordable rankings, with Florida (3.99 percent), Mississippi (3.87 percent), and Oklahoma (3.45 percent), following the Pelican State.

Multiple Cost Pressures

The affordability crisis stems from interconnected factors that have intensified pressure on insurance markets, according to IRC. Increased natural catastrophe risk represents a primary driver, with weather-related events becoming more frequent and severe.

Rising home construction and repair costs have compounded the challenge. Supply-chain disruptions have inflated material prices and extended project timelines, directly impacting claim settlements. When homes require repairs or replacement, insurers face significantly higher costs than in previous years, necessitating premium adjustments to maintain financial stability.

Population migration patterns have exacerbated risk concentrations, with more Americans moving to areas susceptible to natural disasters, the report noted. Coastal regions prone to hurricanes, wildfire-vulnerable areas, and tornado-prone territories have seen increased development, creating larger pools of exposed properties that insurers must protect.

Litigation has added another layer of complexity. Insurance companies report challenges with fraud, excessive claims, and legal system abuse following catastrophic events. The expense index – measuring what insurers spend to process, investigate, and litigate claims as a percentage of incurred losses – varies significantly across states, with litigation rates affecting overall costs.

Homeowners Insurance, Insurance Industry, Insurers and the Economy, Specialty Coverage

LGBTQIA+ Homeownership Gap May Be Fueling Insurance Protection Gap

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Chart of the Week (COTW), As Fewer Same-Sex Couples Own Their Dwelling, They Face a Larger Insurance Protection Gap. The homeownership gap for same-sex couple households is 25.2% based on the most recent data.
The homeownership gap for same-sex couple households is 25.2% based on the most recent data.

As part of an ongoing discussion on the link between the housing and insurance markets, the Insurance Information Institute (Triple-I) released a Chart of the Week (COTW), “As Fewer Same-Sex Couples Own Their Dwelling, They Face a Larger Insurance Protection Gap.” Based on data from 2023, 62.6 percent of same-sex households own their homes and 37.4 percent rent, representing a homeownership gap of 25.2 percentage points within this community. In comparison, 82 percent of married opposite-sex households own their homes, while only 18 percent rent.

In the United States, homeownership offers several benefits (versus renting) to those with the financial resources to achieve and sustain it. Owners can accrue equity to increase their chances of making a profit when they sell their home. They can reap tax benefits through mortgage deductions. Mortgage holders can also lower monthly housing costs when interest rates drop. Ultimately, a home can increase personal net worth and offer a mechanism to transfer wealth to the next generation. Protecting this asset and its contents makes good financial sense.

Renters may not own their dwelling, but they keep personal belongings in it. They can face serious financial risks in the event of a loss, theft, disaster, or personal liability event. Yet, according to the COTW, 43 percent of renters are uninsured or underinsured, compared to 30 percent of homeowners. There are several reasons attributable to this difference, but it’s essential to keep one at the forefront: insurance coverage requirements are commonplace in mortgage agreements but not in lease agreements. Thus, homeownership status can drive participation in the insurance market.

Examining factors that impede homeownership for same-sex couples might shed light on how to attract and retain more policyholders in this demographic. Looking closely at the interplay of just three of these – housing prices, geography, and legislative environment – reveals that housing tends to be more expensive in LGBTQIA+-friendly areas. Prospective buyers may need to earn at least $150,000 a year – as much as 50 percent more – to avoid living in regions without basic legal protections, according to a recent study of real estate market data across 54 major U.S. metropolitan areas.

High monthly housing costs strain budgets, pushing homeowners and renters out of the insurance market. It can also put the financial qualifications for home buying – i.e., building credit and savings – out of reach. Households are considered cost-burdened when they spend more than 30 percent of their income on rent, mortgage payments, and other housing costs, according to the U.S. Department of Housing and Urban Development (HUD).

Nationwide, renters had higher median housing costs as a percentage of their income (31.0 percent) compared to homeowners (21.1 percent for homeowners with a mortgage and 11.5 percent for those without a mortgage). In metropolitan areas that welcome and protect diversity, renters are more likely to be housing cost-burdened, particularly in New York (52.1 percent of residents pay more than 30 percent of their income) and San Francisco (37.6 percent of residents). Renters in states and municipalities where legislation is considerably less welcoming but rents are lower can face comparatively higher premiums for rental coverage.

Despite the legalization of same-sex marriage and various anti-discrimination laws, the LGBTQ community still battles considerable discrimination and systemic biases in many areas of life, including housing. Insurers can work to better understand the diverse needs of LGBTQIA+ individuals, couples, and their families, facilitating more effective solutions for managing financial risks. And most importantly, the industry can improve communication around potential coverage benefits for these households.

“We can start closing the protection gap by having people at the table who understand the lived experiences behind the numbers,” says Amy Cole-Smith, Executive Director for BIIC/ Director of Diversity at The Institutes.

For example, renters might find it helpful to know their policy covers a loss event linked to discrimination against them, such as malicious damage or vandalism to the property by a third party. Even when it’s evident the destruction isn’t the renter’s fault, the landlord might still attempt to hold them responsible, either through a lawsuit, a rent increase, or eviction. Additionally, unmarried couples should be informed about whether the insurer includes both partners’ names on a policy and how this provision affects them in the event of a claim.

“Cultivating an inclusive workforce drives smarter solutions, like renters’ insurance that aligns with the realities of same-sex couples, more equitable underwriting, and marketing that truly resonates,” Cole-Smith says. “This isn’t just about equity—it’s about unlocking growth and staying competitive in a changing market. When the insurance workforce reflects the diversity of the market, we’re in a stronger position to build products that meet people where they are.”

Triple-I works to advance the conversation around crucial issues in the insurance industry, including Talent and Recruitment. To join the discussion, register for JIF 2025. We also invite you to follow our blog to learn more about trends in insurance affordability and availability across the property/casualty market.

Homeowners Insurance, Specialty Coverage

When No One’s Home: Understanding Role
of Vacancy Insurance

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By Loretta L. Worters, Vice President, Media Relations, Triple-I

Vacant homes often carry more risk than meets the eye. From burst pipes and property theft to liability and squatter intrusion, a home left unoccupied for an extended period is exposed to a unique set of hazards, many of which may not be covered by a standard homeowners’ insurance policy.

Consider a recent case involving a homeowner who inherited a family property located several states away. With plans to sell the home, they left it unoccupied while it sat on the market through the winter months. After more than 60 days without a visit, the homeowner returned to find a devastating scene: a pipe had burst during a hard freeze, flooding much of the house.

Without anyone home to detect the issue, water had leaked for days — possibly weeks —causing severe damage to ceilings, walls, flooring, heating and electrical systems. The estimated cost of repairs exceeded $60,000.

Unfortunately, their standard homeowners insurance policy excluded coverage due to a vacancy clause, which had been triggered by the home’s unoccupied status.

Understanding Vacancy Clauses

Most homeowners insurance policies include a vacancy clause, which limits or excludes coverage if the property is unoccupied for typically 30 to 60 consecutive days. This is because vacant properties present heightened risks, including:

  • Undetected water leaks or burst pipes;
  • Increased likelihood of theft, vandalism, or trespassing;
  • Greater exposure to fire damage or electrical deficiencies; and
  • Liability if someone is injured on the property.

If a home will be vacant for an extended period, whether due to a sale, relocation, inheritance, or renovation, it’s essential to inform your insurance carrier and review your coverage options.

Water damage is one of the most common and expensive issues in unoccupied homes. Repairing damage from a burst pipe can cost $10,000 to $70,000 or more, depending on how long the issue goes unnoticed. In vacant homes, where regular checks are infrequent, leaks can continue for extended periods before detection, significantly increasing repair and remediation costs.

Vacant properties also are more susceptible to theft and unauthorized occupancy. Copper piping, appliances, and even fixtures can be attractive to criminals. Squatters present another challenge: in some jurisdictions, they can gain tenant rights if not removed promptly, leading to legal costs and delays.

Many standard policies exclude or limit coverage for theft and vandalism once a home is deemed vacant. This makes proper coverage even more important for homeowners who leave properties unoccupied, even temporarily.

Homeowners may be surprised to learn that liability exposure continues even when no one lives there. Injuries on vacant property can lead to significant financial losses.

Common examples include:

  • A delivery person slips on an icy walkway and seeks damages;
  • A contractor or realtor trips and is injured during a property showing; or
  • A child enters the home and is hurt while exploring.

In such cases, the homeowner may be held liable, and, if the home is classified as vacant under the policy, liability coverage could be denied. Legal expenses and settlements can easily run into six figures.

Vacancy endorsements are available

To manage the elevated risks of a vacant property, insurers offer vacant home insurance policies or vacancy endorsements. These policies are designed to cover unoccupied properties and typically include:

  • Water damage from plumbing or heating failures;
  • Fire, lightning, windstorm, and hail damage;
  • Theft, vandalism, and damage caused by trespassers; and
  • Coverage for legal liability in the event of injury on the property.

While these policies tend to be more expensive than standard homeowners insurance, they provide critical protection.

Vacant home policies often still include protection for “sudden and accidental” events, such as a pipe bursting due to freezing temperatures. However, insurers typically require proof that reasonable steps were taken to maintain the property. Failing to heat the home during the winter, for example, could void coverage even under a vacant home policy.

Whether a home is vacant for weeks or months, the following steps can help reduce your exposure:

  • Maintain indoor heat: Keep the thermostat at least 55°F during winter months.
  • Shut off the water supply: Or fully winterize the plumbing system.
  • Secure all entry points: Lock doors and windows; consider reinforced locks.
  • Install remote monitoring systems: Leak detectors, thermostats, and cameras can provide early warnings.
  • Schedule regular visits: Have a neighbor, family member, or property manager check the home weekly.
  • Maintain walkways and lighting: Reduce the risk of slip-and-fall injuries with proper upkeep.
  • Communicate with insurer: Always notify an insurer if the home will be unoccupied for an extended period.

Leaving a home unoccupied for months without adjusting your insurance coverage can expose you to significant financial risk. From costly repairs and legal liability to denied claims, the consequences can be catastrophic.

Before leaving a property vacant, whether due to sale, inheritance, or temporary relocation, homeowners should consult their insurance agent to identify the appropriate coverage. Obtaining a vacant home insurance policy or endorsement can protect both the property and the homeowner’s financial security.

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How Your Roof Influences Your Home and Business Insurance (Triple-I Roofing Toolkit)

Disaster Preparedness, Disaster Resilience, Homeowners Insurance, Roof Condition

Why Roof Resilience Matters More Than Ever

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By Loretta L. Worters, Vice President, Media Relations, Triple-I

Your roof is more than just a covering over your head. It’s the first line of defense against nature’s most powerful forces.

During National Roof Awareness Week (June 1-7), we spotlight the critical role roofs play in protecting homes, businesses, and communities from severe weather (see infographic) and why building stronger, smarter roofs today is essential for reducing damage and insurance claims tomorrow.

Why roof awareness matters

The roof bears the brunt of wind, rain, hail, fire, and flying debris. Yet, many home and business owners overlook its condition until it’s too late. According to the Insurance Institute for Business & Home Safety (IBHS), a staggering 70 to 90 percent of storm-related insurance claims involve roof damage. Whether it’s shingle loss from 60 mph winds or water intrusion through exposed decking, roof failures can turn a storm into a financial disaster.

FORTIFIED: A better way to build and rebuild

Developed by IBHS after decades of research, the FORTIFIED standard is a voluntary construction and re-roofing method that dramatically improves a building’s ability to withstand severe weather. FORTIFIED Roof™ strengthens the most vulnerable parts of a roof, such as edges, decking, and fastening systems, through methods like:

  • Using sealed roof decks to prevent water intrusion (can reduce damage by up to 95 percent);
  • Requiring ring-shank nails to secure roof decking more effectively; and
  • Reinforcing edges with fully adhered starter strips and a wider drip edge.

Many upgrades are affordable.  A sealed roof deck can cost as little as $600, and switching to stronger nails might cost under $100 for a typical 2,000-square-foot home. Roofs built to the FORTIFIED standard not only protect what matters most; it can also lead to significant insurance discounts in states like Alabama, Oklahoma, and Mississippi. These programs are making roof resilience accessible and cost-effective for homeowners and businesses alike.

“It only takes one storm to turn a minor vulnerability into major destruction,” said Roy Wright, IBHS president and CEO. “At IBHS, we’ve spent decades studying how buildings fail—and how they survive. That research led to the FORTIFIED Roof standard, a proven way to reduce storm damage. It’s affordable, accessible, and one of the smartest investments a homeowner can make for peace of mind and protection.” 

Why It Matters to Insurers

Insurers are increasingly focused on roof resilience because it reduces the number and severity of claims. The FORTIFIED Roof standard is part of a broader industry shift from “detect and repair” to “predict and prevent.”

Poorly maintained or outdated roofs can result in denied claims, higher premiums, or non-renewal of policies. Conversely, resilient roofs may qualify for preferred coverage, lower deductibles, and better insurance options.

“A resilient roof isn’t just a safeguard for a single structure,” said Triple-I CEO Sean Kevelighan. “It’s a smart strategy for reducing risk across entire communities. As frequency and severity of natural disasters rise, insurers are increasingly focused on proactive solutions like the FORTIFIED standard. These improvements help protect property, minimize costly disruptions, and ensure insurance remains available and affordable for more Americans.”

Roofing in wildfire and hurricane zones

Roofs are also vulnerable to wildfire embers, especially in areas where debris can ignite on the roof surface. For wildfire-prone regions, following IBHS’s Wildfire Prepared Home standard and local fire-safe roofing recommendations is critical. Likewise, in hurricane zones, strong connections between roof components can prevent catastrophic failures when wind forces attempt to peel roof decks away.

Replacing or upgrading a roof is one of the most important investments you can make to your property. And thanks to resources like the Roofing Roadmaps from IBHS, homeowners and business owners can make informed decisions about materials, maintenance, and upgrades that will pay off in both resilience and reduced risk.

Learn More:

Study Touts Payoffs From Alabama Wind Resilience Program

FEMA Highlights Role of Modern Roofs in Preventing Hurricane Damage

2025 Tornadoes Highlight Convective Storm Losses

Severe Convective Storm Risks Reshape U.S. Property Insurance Market

Hail: The “Death by 1,000 Paper Cuts” Peril

Catastrophes, Coastal Property, Disaster Preparedness, Disaster Resilience, Homeowners Insurance, Hurricane

Study Touts Payoffs
From Alabama Wind Resilience Program

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A study by the Alabama Department of Insurance, in collaboration with the University of Alabama Center for Insurance Information and Research, shows that widespread adoption of IBHS FORTIFIED construction standards could dramatically reduce insurance claims from hurricanes, while also encouraging property/casualty insurers to maintain coverage in high-risk areas.

Homes built or retrofitted to FORTIFIED standards from the Insurance Institute for Business & Home Safety were found to have suffered far less property damage and a lower volume of insurance claims from Hurricane Sally — which made landfall in Gulf Shores, Alabama, as a Category 2 storm in September 2020 — than non-FORTIFIED properties.

“The results show mitigation works and that we can build things that are resilient to climate change,” said the author of the study, Triple-I non-resident scholar Lars Powell.

A collective effort

Alabama’s proactive approach – which includes mandatory insurance discounts and a state-backed grant program for resilient construction – offers a model for risk mitigation and protecting homeowners from catastrophic winds of tropical cyclones.

“Alabama was an early adopter of FORTIFIED designations for wind loss mitigation,” the report says. “In 2025, there are more than 53,000 FORTIFIED houses in the state,” out of approximately 80,000 nationwide.

The state grants and insurance discounts have been a big motivator for homeowners to make the investment.  Lawmakers in other hurricane-prone states, such as Louisiana, are looking to Alabama’s strategy as they seek solutions for predicting and preventing losses from increasing natural disaster risks.

Learn More:

Outdated Building Codes Exacerbate Climate Risk

Resilience Investments Paid Off in Florida During Hurricane Milton

JIF 2024: What Resilience Success Looks Like

Mitigation Matters – and Hurricane Sally Proved It

Auto Insurance, Homeowners Insurance, Legal Environment, Regulation

Significant Tort Reform Advances in Louisiana

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Louisiana’s Senate passed five tort reform bills last week to curb legal system abuse driven by billboard attorneys in the Pelican State. The legislative success represents the culmination of sustained advocacy efforts – including a Triple-I-backed awareness campaign, StopLegalSystemAbuse.org – to build public support.

The new legislation addresses Louisiana’s longstanding challenges with high insurance premiums and the state’s reputation for being plaintiff-friendly in civil litigation. The reforms include stricter limits on damages, clearer standards for expert testimony, and other procedural changes designed to restore balance to the courts while reducing financial burdens on Louisiana families and businesses.

However, an additional measure intended to change state regulations for approving rate filings for auto and home insurance overshadowed the positive actions taken by lawmakers, the Times-Picayune reported.

House Bill 431, which would prevent drivers who are at least 51 percent at fault in an accident from receiving any compensation for their own injuries, requires final House approval due to Senate amendments. So do Senate Bill 231, which would allow insurers’ lawyers to present jurors with the actual amount paid for medical bills, rather than the total billed, and House Bill 436, which would ban undocumented immigrants injured in car accidents from receiving general (non-economic) damages.

House Bill 434, which would increase the threshold from $15,000 to $100,000 for uninsured drivers to collect medical expenses for bodily injuries in accidents, and House Bill 450, which would require plaintiffs in car accident lawsuits to prove their injuries were actually caused by the accident, are awaiting Gov. Jeff Landry’s signature.

Learn More:

Triple-I “Trends and Insights” Issues Brief: Louisiana Insurance Market (Members only)

Louisiana Senator Seeks Resumption of Resilience Investment Program

Louisiana Reforms: Progress, But More Is Needed to Stem Legal System Abuse

Louisiana Is Least Affordable State for Personal Auto Coverage Across the South and U.S.

Who’s Financing Legal System Abuse? Louisianans Need to Know

Catastrophes, Disaster Resilience, Homeowners Insurance, Lightning, Wildfire

Triple-I Brief Highlights Wildfire Risk Complexity

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Wildfire risk is strongly conditioned by geographic considerations that vary widely among and within states. The latest Triple-I Issues Brief shows how that fact played out in 2024 and early this year and discusses the importance of granular local data for underwriting and pricing insurance in wildfire-prone areas, as well as for much-needed investment in resilience.

The 2024 wildfire season in the South and Southwest was particularly severe, marked by such events as the Texas and Oklahoma Panhandle fires in February and March and significant blazes in Arizona and New Mexico. The Southwest accounted for the largest number of residential structures destroyed by wildfire, and three of the top five areas for homes destroyed were in the South. 

California accounted for the largest number of homes at risk for extreme wildfires. In the first half, the state experienced an above-average number of fires, though most were contained before growing to “major incident” size. Subsequent rains suppressed subsequent wildfire conditions – and caused substantial flooding. 

But this rain contributed to an accumulation of fuels so that, when hurricane-force Santa Ana winds whipped through Los Angeles County in early January 2025, the conditions were right for fast-moving blazes to tear through Pacific Palisades and Eaton Canyon.

Temperature, humidity, wind, and topography vary too widely for a single “one size fits all” mitigation approach. This underscores the importance of granular data gathering and scrupulous analysis when underwriting and pricing insurance.  It is also important that insurers proactively engage with diverse stakeholder groups to promote investment in mitigation and resilience.

A recent paper by Triple-I and Guidewire – a provider of software solutions to the insurance industry – uses case studies from three California areas with very different geographic and demographic characteristics to go deeper into how such tools can be used to identify properties with attractive risk properties, despite their location in wildfire-prone areas.

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Getting Granular to Find Lower-Risk Properties Amid Wildfire Perils

P&C Insurance Achieves Best Results Since 2013; Wildfire Losses, Tariffs Threaten 2025 Prospects

Despite Progress, California Insurance Market Faces Headwinds

California Finalizes Updated Modeling Rules, Clarifies Applicability Beyond Wildfire

California Insurance Market at a Critical Juncture