Insurance costs are surging in Tornado Alley due to extreme weather events. However, hail is the main concern for insurers, not tornadoes. Industry experts attribute the rise in hail-related damages to increased frequency and severity of severe convective storms. Hailstorms can cause widespread damage, accounting for half to 80% of homeowner insurance claims from such storms.
Recent data shows a 24% average increase in insurance premiums across the country, with rates rising by 35% in states hit hard by tornadoes like Kentucky, Nebraska, and Minnesota. Insurers say they must raise rates due to increasing disaster costs, which are partly driven by climate change-induced extreme weather events.
While climate change affects tornadoes, its impact on hailstorms is still an area of active research. Experts predict that storms could produce larger hailstones as the Earth warms up. To mitigate these risks, insurers plan to scale back coverage and increase rates.
Some homeowners may qualify for insurance discounts by making their homes more resilient through fortified roofs. However, the financial benefits are often short-term, making long-term investments in roof upgrades less appealing to many. Experts acknowledge that even with stronger roofs, there is only so much protection against extreme tornadoes.
Source: https://www.npr.org/2025/05/23/nx-s1-5407522/insurance-tornadoes-hail-midwest