ESG and financial risks

Efforts by Oklahoma’s state treasurer to boycott large banks and asset management companies with environmental, social and governmental (ESG) policies could cost state taxpayers tens of millions of dollars, Oklahoma’s largest public employee association says – The Oklahoman, Oct. 31, 2023

As climate change intensifies extreme weather, insured losses from natural disasters in the U.S. now routinely approach $100 billion a year, compared to $4.6 billion in 2000. As homeowners’ premiums spike, people in the states most likely to have disasters — like Texas and Florida — are forgoing coverage, leaving them vulnerable and driving prices even higher as the number of people paying premiums and sharing risk shrinks. – Grist, Oct. 10, 2023

Florida homeowners pay more than $4,200 per year for home insurance, triple the national average, according to data from the Insurance Information Institute. The costs are expected to continue rising due to extreme weather events, construction costs, and litigation. – Newsweek, Oct. 14, 2023

As two coastal homes faced perilous collapse, the National Park Service pushed for an unusual move: a buyout by the U.S. government. The purchases could break ground on a new chapter over what to do with coastal homes, which are becoming increasingly vulnerable amid rising seas, more intense storms and coastal erosion. – Washington Post, Oct. 16, 2023

The impact of climate change is putting an additional financial burden on those with the fewest resources to manage financial and life stressors – creating implications for worker productivity, employers’ bottom lines, and employees’ financial security, according to a new report from the national financial nonprofit Commonwealth. – Commonwealth, Oct. 11, 2023