Insurance in Crisis: Steven Rothstein on Climate, Capital, and the Path Forward

In this episode of the Climate Correction™ Podcast, we open the door to a conversation typically held behind closed doors. I sit down with someone who has spent decades in the rooms where financial decisions are made and where the impact of climate change is becoming impossible to ignore.  Our guest is Steven M. Rothstein, the founding managing director of the Ceres Accelerator for Sustainable Capital Markets. Steven brings more than 40 years of leadership across public and private sectors, with experience spanning local to global levels of government, nonprofit boards, and philanthropic coalitions. His work today focuses on transforming the financial systems that underpin our economy to address the climate crisis head-on.  In this candid recording, Steven and I discuss the mounting pressures facing the insurance industry and the communities already paying the price for climate inaction. He shares insight on the bold opportunities available if capital is moved in the right direction.  We start with the hard truth: in 2024 alone, there were 27 billion-dollar weather disasters in the U.S., causing more than $182 billion in damages. And yet, only 29% of the largest insurers have disclosed measurable climate targets. That gap between awareness and accountability costs lives, livelihoods, and local economies. One in 13 homeowners in the U.S. is now uninsured. An estimated $1.6 trillion in assets are exposed due to insurance gaps.  Steven outlines a path forward. From Ceres’ 10-point plan for insurers to shift from reactive claims-paying to proactive risk prevention to the $8 trillion investment potential insurers hold to fund climate solutions, the message is clear: The insurance industry has the power to shape our future.   We also explore how AI, climate scenario analysis and forward-looking risk modeling can give insurers a competitive edge. And we ask: Where does the government come in? Steven makes the case for a federal climate risk reinsurance program, stating that if private insurers pull out of high-risk areas, we need public protections designed to endure, not disappear with every election cycle.  This is a conversation for homeowners, policymakers, and every person who’s ever paid an insurance premium. It’s about rethinking the system and empowering it to build resilience, not just reacting to ruin.  🔗 Explore Ceres’ insurance research and resources at ceres.org/accelerator/insurance   

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