Examining the impact on mortality arising from climate change: important findings for the insurance industry


In this paper, we analyze the impact on overall mortality rates for the general US population arising from climate change and the weather events resulting in property damages for the period 1968–2013. We develop a fixed effects panel data model for the impact of climate change on property damage, with precipitation having a more pronounced effect than extreme temperatures. Using the Dumitrescu–Hurlin panel data causality test, we found that property damages Granger cause an increase in mortality rates for the middle age and old age population. Therefore, property damage can further be used to improve the prediction of future mortality rates in the US. Our findings are important for the insurance industry, which is currently seeking ways to incorporate the impact of climate change. The industry is developing the Actuaries Climate Index and the Actuaries Climate Risk Index which have the objective of informing the insurance industry about the impact of extreme weather and its associated risks.

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Correspondence to Tatjana Miljkovic.

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Miljkovic, T., Miljkovic, D. & Maurer, K. Examining the impact on mortality arising from climate change: important findings for the insurance industry. Eur. Actuar. J. 8, 363–381 (2018). https://doi.org/10.1007/s13385-018-0178-2

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  • Climate change
  • Mortality
  • Insurance
  • Property damage
  • Dumitrescu–Hurlin causality test.