A Climate Crisis in the Insurance Industry The Rising Cost of Coverage For Diane Wolf and many of her neighbours in the quaint, wooded hills of Berkeley, California, a climate change reckoning is underway. “We’ve been here 26 years, and had car/home umbrella insurance with AAA,” said Wolf, faculty assistant to the vice provost ofClimate Change Poses Challenges to Insurance Sector, Potential Major Economic Impact for U.S.