2025 Iowa Climate Statement: Climate change impacts insurance premiums – KCCI

Report on the 15th Annual Iowa Climate Statement: Economic Impacts and Alignment with Sustainable Development Goals

Executive Summary

The 15th annual Iowa Climate Statement, a collaborative effort reflecting SDG 17 (Partnerships for the Goals), details the significant economic consequences of climate change in Iowa. Authored by 176 climate scientists from 26 state institutions, the report establishes a direct link between severe weather events and rising insurance premiums for homeowners and farmers. The findings underscore the urgent need for integrated strategies that align with the Sustainable Development Goals, particularly SDG 13 (Climate Action), to mitigate risks and build resilience.

Climate Change Impacts on Economic Stability and Community Resilience

The report identifies escalating insurance costs as a primary economic stressor, directly impacting the sustainability of communities and industries within the state.

• Impact on Homeowners: Rising insurance premiums are driven by the increased risk associated with severe weather, as well as the high cost of labor and building materials for repairs. This trend challenges SDG 11 (Sustainable Cities and Communities) by threatening the affordability and security of housing.
• Impact on Agriculture: Farmers face heightened vulnerability to climate-intensified disasters, leading to more expensive insurance coverage. This directly affects the viability of agricultural practices and threatens progress towards SDG 2 (Zero Hunger) and SDG 8 (Decent Work and Economic Growth) by destabilizing a key sector of the economy.

Strategic Recommendations for Mitigation and Adaptation

The experts propose a multi-faceted approach to address the root causes and effects of climate change, emphasizing actions that support multiple Sustainable Development Goals.

1. Reduce Greenhouse Gas Emissions: The primary recommendation is to curtail emissions from burning fossil fuels. This is the most critical step in achieving SDG 13 (Climate Action) and transitioning towards SDG 7 (Affordable and Clean Energy).
2. Implement Local Adaptation Measures: Individuals and communities can take immediate action to build resilience.
   • Planting native wind buffers and strategically placed trees can mitigate extreme heat.
   • These nature-based solutions reduce energy consumption and lower utility bills, contributing to SDG 7 and SDG 11.
3. Advocate for Legislative and Policy Changes: The report concludes that while individual actions are beneficial, systemic change is necessary.
   • Citizens are encouraged to lobby legislators for comprehensive legislation to reduce climate-related liability.
   • Adopting and enforcing stronger building standards is essential for creating resilient infrastructure, a core target of SDG 11 (Sustainable Cities and Communities).

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 13: Climate Action: The article’s central theme is the impact of climate change, specifically how “extreme weather events caused by climate change” are leading to negative consequences. It directly calls for climate action by “cutting down greenhouse gas emissions from burning fossil fuels.”
• SDG 11: Sustainable Cities and Communities: The article focuses on the impact on human settlements, particularly for “homeowners” facing rising insurance costs and the need for “stronger building standards” to create more resilient communities against severe weather.
• SDG 2: Zero Hunger: The article explicitly mentions that “Farmers also seeing more expensive insurance” and that they are “vulnerable to disasters, intensified by climate issues,” which directly relates to the sustainability and resilience of food production systems.
• SDG 7: Affordable and Clean Energy: The article identifies the root cause of the problem as “burning fossil fuels” and mentions a solution that improves energy efficiency, noting that planting trees can “reduce extreme heat and energy bills.”

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 13: Climate Action

   • Target 13.1: Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters. The article discusses adapting to climate change by suggesting actions like “planting native wind buffers and strategically placed trees” and adopting “stronger building standards” to mitigate the effects of severe weather.
   • Target 13.2: Integrate climate change measures into national policies, strategies and planning. The call for new “legislation is needed to better reduce liability” and encouraging citizens to lobby lawmakers to “adopt and enforce stronger building standards” directly aligns with this target.

2. SDG 11: Sustainable Cities and Communities

   • Target 11.5: Significantly reduce the number of people affected and the economic losses caused by disasters. The article’s focus on the rising “insurance premiums for homeowners” and the “high cost of labor” and “building materials” after severe weather events is a direct reference to the economic losses from climate-related disasters.
   • Target 11.b: Substantially increase the number of cities and human settlements adopting and implementing integrated policies and plans towards… adaptation to climate change, resilience to disasters. The recommendation to “adopt and enforce stronger building standards” is a key policy for building community resilience to disasters.

3. SDG 2: Zero Hunger

   • Target 2.4: Ensure sustainable food production systems and implement resilient agricultural practices… that strengthen capacity for adaptation to climate change, extreme weather… and other disasters. The article highlights the threat to agriculture by stating that farmers are “vulnerable to disasters, intensified by climate issues,” indicating a need for more resilient practices to ensure food system stability.

4. SDG 7: Affordable and Clean Energy

   • Target 7.2: Increase substantially the share of renewable energy in the global energy mix. This target is implied by the article’s identification of the core problem as “greenhouse gas emissions from burning fossil fuels,” where the solution is to reduce this activity, inherently promoting a shift to cleaner energy sources.
   • Target 7.3: Double the global rate of improvement in energy efficiency. The article provides a direct example of improving energy efficiency at the local level by suggesting that planting trees can “reduce extreme heat and energy bills.”

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Economic Loss Indicators: The article implies several financial indicators to measure the economic impact of climate-related disasters. These include the level of “insurance premiums” for homeowners and farmers, the “cost of labor,” and the cost of “building materials” following extreme weather events. A reduction in the rate of increase of these costs could signify progress.
• Policy and Adaptation Indicators: Progress towards policy-related targets can be measured by the “adoption and enforcement of stronger building standards” and the passage of “legislation” aimed at reducing climate-related liability. The implementation of adaptation measures could be tracked by the number of “native wind buffers and strategically placed trees” planted.
• Energy and Emissions Indicators: The article points to “greenhouse gas emissions from burning fossil fuels” as a key metric that needs to be reduced. At a household level, progress in energy efficiency can be measured by a reduction in “energy bills.”

4. Summary of SDGs, Targets, and Indicators

Source: kcci.com