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Climate Change: Is the insurance sector a threatened service taken for granted?

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Photo by Surface on Unsplash

BY STEVEN KASZAB

Please consider…

Insurance is a service and product we all need and is essentially required if we want to participate in society at large. Insurance is one of those products that is often taken for granted, which we sign up for, not researching the small print in each contractual glance.

We need to wake up, gather our insurance contracts and read them well, understanding what the particular insurance grantor protection is being provided, and whether these insurance plans can be denied, changed or manipulated in an unexplained manner by the issuer.

Climate change and the pandemic have raised questions about whether private coverage will be available for many of us in the future. Climate change, weather patterns, unforeseen climatic disasters have driven wealthy insurers to the financial brink of disaster. Changes are coming fast.

What have Insurance firms been forced to deal with in the last two years?

  • Massive and destructive flooding along floodplains, rivers, lakes and the rising tides of seas and oceans.
  • Twisters, hurricanes, windstorms, water fountains have caused massive damage.
  • Persistent droughts, biological contagions have wreaked havoc upon many agricultural sectors.
  • Water toxicity spreads through our drinking water supply.
  • The Western population is growing older, with greater deaths. Payouts have increased in two decades 30%, while the populations of Asia, Africa, Latin America have far more uninsured citizens.
  • Forest fires rage across Northern global nations.

Home insurance costs have increased 8-15% this year. Why? Global reinsurance firms called re-insurers have jacked up their prices to cover costs. Insurance firms go to re-insurers to transfer some of their risk associated with global mishaps. You go to an insurer, who then goes to a re-insurer to cover possible costs.

Statistics Canada said reinsurance premiums have increased between 25-100% in 2022, and while much of this was not passed onto consumers, some had to be. With the massive losses experienced in 2022-23, with: hurricanes, twisters, flooding, droughts, and unending seasonal forest fires these costs are now being passed onto consumers.

Those of us who live in area’s seemingly protected from natural disasters, will experience increases that will come to cover our insurers massive payouts. Problem is many insurers will be forced to deny insurance claims, negotiate lower payouts and ultimately refuse to insure certain consumers.

The Insurance Bureau of Canada said last year’s personal property claims averaged $7 billion annually, up from $5.8 billion. Severe weather caused $3.1 billion. Then came Fort McMurray’s wildfire disaster. The costs were spread across the nation, but now there are far too many climatic disasters, and rising premiums have begun to appear. Businesses within the hospitality and tourism sector have found insurers unwilling to insure them. No insurance, and businesses cannot open, or operate.

The insurance sector will reimagine the various regions of our nations creating danger zones, places where the probability of costs increasing/profits declining for the insurer will happen. If you live in such a danger zone your insurance will increase and become difficult to acquire:

  • Those who live in flood plains, low level shorelines and along low shoreline rivers, lakes or ocean shores.
  • Traditional areas where droughts, floods, hurricanes encroach. (Southeastern USA, California, Arizona).
  • Northern Regions that are forested, are isolated from firefighting services. (Northern America-EU-Russia).
  • Costs and insurance for individuals, businesses will increase remarkably if located in danger zones.

Insurance (not related to climate change):

  • People afflicted by obesity and preconditioned illnesses will find acquiring and maintaining insurance difficult.
  • Availability of health insurance will become more difficult to acquire. Uninsured population will increase.
  • Automotive insurance costs will become highly excessive and very regionally patterned.
  • Pharmaceutical costs due to legal actions/costs and liability will increase the cost of vital medications.

Insurers have found the acquisition of new consumers outside of those areas inflicted by climate change to be far more profitable and easier to manage. The aged population of the Americas and the EU will place greater economic drains upon insurers profits, while virgin economic regions in: Asia, Africa and Latin America lay open to the insurance sector’s manipulations.

Paul Kovacs of The Institute of Catastrophic Loss Reduction in Toronto said it has been proven that investing $1.00 in prevention can save governments, insurers and individuals between $5 to $10 when disaster comes, yet getting this investment in prevention is seen as a hard sell to all involved. Examples like overland flooding insurance (not available until 2016) now has over 10 million Canadians signed on. 10% of Canada’s homeowners are considered too high risk to get such insurance, as they reside in danger zones.

When I was fortunate to purchase my home, it was located away from all waterways, on a hill angled slightly for good drainage. Outside of the occasional twister we have been free of most climatic threats.

Fingers crossed.

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Canada is Sinking – Is there a correlation between the rising economic costs, and the siphoning of funds to other sources in Canada?

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BY ADRIAN REECE

At some point Toronto was a city that people enjoyed living in. Recent political leadership at every level of government has caused citizens to consider moving out of the country as a whole. The high cost of living, coupled with the difficulty affording housing, and remote work becoming more regular has made the rest of the world seem much more appealing for Canadians as a whole.

Many countries are offering travel perks and visas to travelers in the west, to encourage them to visit, or to even move into their countries. Costa Rica, Japan, and France currently have travel perks and have opened their borders to make it easier to enter. Specifically for Canadians and even more specifically Torontonians who work remotely, are looking to countries and cities with lower costs of living. The Canadian dollar goes far in other parts of the world.

We owe the struggling economy to a few factors. Political leadership has greatly impacted the state of Canada, immigration policies that have changed over the years have caused stress on Canadian citizens.

In 2023, the federal government released its new Immigration Levels Plan to welcome 485,000 permanent residents in 2024 and 500,000 in 2025 and 2026. This announcement came on the heels of an Environics public opinion survey revealing a significant increase in the number of Canadians who believe the country accepts too many immigrants. That marks a dramatic reversal from a year ago, when support for immigration levels stood at an all-time high.

The Trudeau led government has held true to their commitment to bring in millions of immigrants in a short span of time. Housing policy is draining the income of Canadians, and political debates do not provide any real answers towards understanding what is going on in the country. Consistent political scandals regarding Trudeau overspending, and not adhering to budgets, and using money that was originally allocated for certain things. Trudeau was audited and it was found that $123 million was given to ineligible businesses, or projects that should have never been awarded at all. This is one in a long list of Trudeau scandals that have been a part of Canada political identity for the last nine years.

Trudeau’s government has even siphoned off funds to their personal businesses, after audits by the auditor general, we have seen too many inconsistencies with the funding of the Trudeau government in misusing funds as well as money disappearing into places that it should not be going.

In June of this year, the auditor general (AG) released two reports about: improper contracting practices, conflict of interest, and funding provided for ineligible projects. What these reports brought to light is an unpleasant reality; politicians and bureaucrats in Ottawa do not always act in the best interest of Canadians.

According to the first AG report, Sustainable Development Technology Canada (SDTC), the federal agency responsible for funding green technology projects, demonstrated “significant lapses… in governance and stewardship of public funds.” Nearly 20% of the SDTC projects examined by the AG were in fact ineligible (based on the government’s own rules) for funding, with a total price tag of $59 million. There were also 90 instances where the SDTC ignored conflict of interest provisions while awarding $76 million to various projects. Indeed, the AG found 63 cases where SDTC agency directors voted in favour of payments to companies in which they had declared interest.

The second AG report focused on 97 contracts totaling $209 million awarded by the federal government to the McKinsey & Company consulting firm from 2011 to 2023. According to the AG, the government demonstrated “frequent disregard for procurement policies and guidance and that contracting practices often did not demonstrate value for money.” About 70% of these contracts were awarded non-competitively, meaning no other companies were permitted to bid on the contracts. Interesting!

These findings also follow an earlier report in February that found the federal government “repeatedly failed to follow good management practices in the: contracting, development, and implementation” of the ArriveCAN mobile app, which cost Canadian taxpayers at least $59.5 million.

Is there a correlation between the rising economic costs, and the siphoning of funds to other sources in Canada? Potentially, it will take a lot more investigation to confirm if that is really the case. However, Canadians can see that there has been a drastic change in the economy since the Trudeau government has come into power.

For governments to work there needs to be transparency, and there has been a lack there of in regard to our political leadership in the last few years. There are too many scandals and too many mishaps with money. Too many policies that do not benefit the citizenry, and not enough effort made to rectify the sinking economy.

Canada cannot continue to stay in these dire straits, we are sinking, and leadership plays a big role in the state of the country. We won’t see changes unless we demand it, we can take a page out of France’s method of protest; other countries have set a precedent of what their expectations are, and Canadians need to do the same. They need to demand change and implement strategies to achieve it. Within acceptable methods of protest there exists a strategy and method of changing the nature of Canada’s problems, but it starts with the citizenry. Coming together is the greatest power we have, and we need to utilize it.

REFERENCES:

https://www.environicsinstitute.org/projects/project-details/public-opinion-about-immigration-refugees

https://www.canada.ca/en/immigration-refugees-citizenship/news/notices/supplementary-immigration-levels-2023-2025.html

https://www.oag-bvg.gc.ca/internet/English/parl_oag_202402_01_e_44428.html

https://www.oag-bvg.gc.ca/internet/English/parl_oag_202406_06_e_44493.html

https://www.oag-bvg.gc.ca/internet/English/parl_oag_202406_e_44491.html

https://www.fraserinstitute.org/article/scathing-auditor-general-reports-underscore-political-realities

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The Jamaica Food and Drink Festival – where every bite tells a story, and every sip celebrates Jamaica’s vibrant soul

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BY SIMONE J. SMITH

What if I told you that Visa is offering two amazing opportunities that YOU, our loyal readers have an opportunity to take part in? For one of our lucky readers, you have a chance to:

  • Win a trip to Trinidad Carnival 2025
  • Win a trip to Jamaica

“What is this all about Simone,” you might be asking? Well, the Jamaica Food and Drink Festival (JFDF) turns 10 this year, and Visa International is thrilled to be part of the celebration once again. Welcome to the heart of Jamaica’s culinary playground – the Jamaica Food and Drink Festival, where flavours, culture, and music blend into one unforgettable celebration.

Step into the lively Craft Market downtown, where the spirit of Jamaica comes alive. Here, they celebrate the island’s rich history and vibrant flavours – an ode to the past. Guests get a chance to immerse themselves in the legacy of festival favourites like: Crisp, Chopstix, Pork Palooza, and Picante – all in one electrifying space.

Taste, sip, and groove your way through the night, reliving fond festival memories while savouring the global influences that have shaped the iconic dishes we love today – no passport required (except to travel of course)!

As the hot days turn into steamy nights, and steamy nights turn into sweltering days, what better way to close out the festivities than with one last delectable event? The finale is not just a celebration, but a reflection of Jamaica’s culinary renaissance. After four unforgettable days, guests get a chance to honour the island’s: finest chefs, mixologists, and artisans who have made this festival a true showcase of creativity and passion.

Naturally, the festival had to find accommodations that match its prestige, and the only hotels of choice this year are: The Jamaica Pegasus Hotel and The Courtleigh Hotel & Suites. At the Jamaica Pegasus Hotel, the Caribbean’s most distinguished address, you will experience the perfect blend of elegance and island charm. Nestled in the heart of New Kingston, surrounded by lush gardens and views of the Caribbean Sea, this 17-storey gem is where business meets leisure in true Jamaican style. You also have the option of immersing yourself in the timeless charm of The Courtleigh Hotel & Suites, a true jewel of Jamaica’s capital city. With spacious accommodations, award-winning dining, and all the modern comforts, it is the perfect way to end your festival experience.

Waldemar Cordero, Marketing Senior Director for Visa in the Caribbean and Central America, expressed his excitement about being involved in the festival’s decade-long run. “We’re really excited to be part of the 10th staging of the Jamaica Food and Drink Festival. It’s amazing to see how far this festival has come, and we’re proud to have been part of the journey over the last 6 years. This festival isn’t just about food, it’s about celebrating Jamaica’s rich culture and the incredible talent that drives it.”

Visa’s partnership with JFDF has grown over the years, evolving from a traditional sponsorship into a dynamic collaboration that enhances the festival experience for everyone. “Our relationship with the Jamaica Food and Drink Festival has deepened over time,” said Waldemar. “We’ve moved from simply being a sponsor to becoming the main partner, working closely with the organizers to bring fresh, exciting elements to the event each year. This time around, we’re especially excited about the initiatives we’re rolling out that will make it easier and more enjoyable for attendees to experience all that the festival has to offer.”

Visa is excited to enhance the celebration of the Jamaica Food and Drink Festival’s milestone 10th year by offering an exclusive hospitality package to Trinidad Carnival 2025. One lucky Visa cardholder who purchases festival tickets between October 16th and November 9th, 2024, will win this incredible experience. This offering includes: two economy class tickets from Kingston, Jamaica to Port of Spain, Trinidad; six nights of luxury accommodation at the Hyatt Regency; and comprehensive airport transfers and event transportation. The winner and their guest will enjoy: inclusive meals, stylish Monday Wear and Carnival Tuesday costumes, and access to premier events such as Brian Lara’s Event and PinkNicTT. Additionally, they will be treated to glamour make-up and photos. This package promises to deliver an unforgettable festival experience and celebrate the unified Caribbean culture in style.

In addition, one lucky winner from our Caribbean neighbour Trinidad and Tobago, who uses the First Citizens Bank card in Trinidad, will win a trip for two to the Food and Drink Festival in Jamaica. This is an all-expense paid trip for two with the winners to ensure the festival and enjoy scenic places in Jamaica such as Dunn’s River Falls and Port Royal. Ready for that almost winter getaway? Visit https://jafoodanddrink.com/ for more details. Good luck!

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Welcome to the Black Scholars Institute—where excellence thrives, and liberation is pursued

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BY SIMONE J. SMITH

At the heart of the University of Windsor’s campus, centrally located in the lower level of the CAW Student Centre, lies a space dedicated to fostering: African-Caribbean excellence, academic growth, and community empowerment: The Black Scholars Institute, or BSI.

The BSI Lounge is more than just a meeting place. It is a safe and welcoming space for African/-Caribbean faculty, staff, and students—a venue that fosters not only academic engagement, but community connection. Here, important university and local events, aligned with the Institute’s mission and values, take place.

The Black Scholars Institute is a multidisciplinary research institute—a home for African-Caribbean scholars at UWindsor. It is dedicated to advancing Black excellence and liberation through scholarship, research, and community engagement. The Institute’s work enriches teaching, learning, and social justice efforts across the University, with a focus on making an impact nationally and globally.

BSI hosts a range of weekly programs that encourage meaningful dialogue and academic collaboration. Events such as “Think Tank Thursday” provide a platform for African-Caribbean faculty and students to come together, exchange ideas, and discuss relevant research and current events. For those who are deep in their academic work, “Just Write” sessions offer dedicated time for focused writing in a supportive environment. “Coffee and Convo,” a collaboration with Leddy Library, creates space to explore Black literature and hold thought-provoking discussions around important topics.

Graduate students are invited to participate in student saloons, where they present their works-in-progress in a safe, inclusive space, where they can receive valuable feedback from peers and faculty members alike. Additionally, the “Black Research Spotlight” shines a light on the groundbreaking work of African Caribbean scholars, providing them with a platform to showcase their research and innovations.

In recognition of the challenges posed by systemic anti-Black racism, the BSI offers its members a membership with the National Center for Faculty Development and Diversity, providing on-demand access to a wealth of professional development resources. This is just one of the ways BSI ensures its scholars are well-equipped to thrive and succeed in their academic careers. As a research institute, BSI is committed to supporting Black Studies and promoting excellence in scholarships. One vital aspect of this is the awarding of grants to Black scholars. These grants are instrumental in advancing research that is often overlooked in traditional funding competitions.

While visiting the University earlier this month, I learned more about some of the challenges that have been faced in opening BSI. The establishment of this initiative was approved by the University of Windsor’s Senate on October 7th, 2022. The initiative is in alignment with the University’s commitment to the Scarborough Charter (utoronto.ca) on anti-Black racism and Black inclusion in Canadian higher education. In 2023, the University of Windsor (UWindsor) announced their new academic home that would spotlight: Black excellence, scholarship, research, and community. The inaugural Black Scholars Institute (BSI) at UWindsor, was formally launched in September 2024.

Dr. Clinton Beckford, UWindsor’s Vice President of Equity, Diversity, and Inclusion, envisions that the BSI will be the institutional home for Blackness at the University. “The establishment of a Black Scholars Institute at the University of Windsor is ground-breaking and transformative,” he says.  “It positions the University of Windsor as a post-secondary leader in intellectual thought and practice around Blackness and makes real our commitments to Black flourishing and thriving at and beyond the institution.”

The BSI will work closely with UWindsor’s Interdisciplinary and Critical Studies Department within the Faculty of Arts, Humanities and Social Sciences. Building a Black Scholars academic program represents an innovative plan of action intended to meaningfully understand UWindsor’s approach to African-Caribbean ways of knowing in Canadian universities. The expected output will enhance UWindsor’s research profile in Black Studies and feature scholarly work, special events, speakers’ series, mentorship, and more.

Dr. Camisha Sibblis, the Director at BSI, is hopeful that the institute will enrich the experiences of Black faculty at UWindsor. “We believe that the inclusion of Black peoples, ways of learning and knowledge systems are integral to the growth of our community. The establishment of the BSI is a crucial part of fulfilling the University’s Strategic Mandate Agreement (ontario.ca) and purposefully moving the institution into the future. The Institute will enhance the University’s research profile and will also establish the University as a center of excellence in Windsor-Essex and the Detroit area – a region known for its historic importance for Black people in North America.”

Welcome to the Black Scholars Institute—where excellence thrives, and liberation is pursued through scholarship, research, and community engagement.

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