Should Insurance Companies worry about Global Warming?

It's now the reality that the serious catastrophic change in the climate will be a brunt on the insurance companies. It's right now the high time to seriously act upon it rather than enjoying themselves in the political games.

The Federal Government has been warning the insurance companies about this catastrophic climate change and also telling them that they should be worried about making losses due to this rising global temperature.

According to a report or as we all know that in our near future this rising temperature is going to cause more harmful change to our environment by causing the severity of floods, hurricanes, droughts and other climate errors. So, as a result the United States Government Accountability Office expects the federal and private insurers to pay more and bigger claims for weather-related damage.

These increased risks for private insurance firms are going to increase the premiums to a higher amount for the ratepayers and will also lead to a restricted coverage for wider range of climate change events and natural disasters. These federal insurers who focuses on extending services to more people instead of earning profits, this leads to higher taxes for more expensive claims or fewer services in other areas. This is because of the revenues being shifted to cover the damages caused by the climate.