The CEO of Allstate Corp is looking for Democrats endorsement to back an insurance plan that would pay for the losses due to natural disaster, caused by climate change
The Joe Biden is now short of few electoral votes to become president, has ambitious plans of $2 trillion for the United States to get clean energy and he wants the nation to emit zero carbon emissions by 2050
The chief executive of Allstate, Tom Wilson said that possible Biden package should include the legislations to discuss property damages caused by the natural disasters. He furthermore added that You need disaster protection in case of weather is getting worst otherwise big natural disasters would be very costly for the insurance companies.
Insurers are already struggling with a damage bill of $4.3 billion due to Hurricane Zeta only and this year the country faced more than the normal natural disasters.
Moody’s estimated a loss of $8 billion due to dozens of wildfires on the West Coast this summer which were partly fueled by climate change, according to the scientists.The wildfire risk has been increased in recent years which forced the insurer to drop thousands of customers in those high-risk areas
Allstate is hoping that Biden will take some quick practical measures to combat climate changes. In past, policymakers tried to focus more on long-term solutions which did not work.
The Wilson said that the insurance companies need a government-backed programme to cover natural disasters. The government usually announced grants for the affected areas but a structured insurance program could be more equitable for taxpayers.
Wilson furthermore added that it seems that no party would be able to take full control of the Senate as per early results which will reduce the chances of aggressive legislation but he is optimistic that there are lawmakers on both sides to support an insurance program and both parties have members in those areas which are affected most by the climate change.