The U.S. is reported to lead the world in extreme weather catastrophes, and their damaging impact on commercial property is also clobbering insurance companies, leading to staggering rises in the cost of premiums in vulnerable states.

"For states with the greatest extreme weather risk, current costs of $3,077 could almost double to hit $6,062 per building per month, a 10.2% CAGR [Compound Annual Growth Rate] by 2030," according to an analysis by the Deloitte Center for Financial Services. Low-risk states will not be spared. Their premiums could shoot up from $,1,935 per building per month now to $3,299 by 2030 at a 7.9% CAGR. The average premium for commercial buildings outside these states is projected to rise from $2,726 in 2023 to $4,890 in 2030 at a CAGR of 8.7%.

In 2000, the average premium for commercial buildings in a high-risk state was around $1,000. However, exposure to natural hazards in the last five years has pushed premiums on structures in the 10 highest risk states up 108% and 31% year-over-year.