US legislating and policy-making often lacks input and consideration for marginalized and discriminated communities. This week, we spoke with Dr. Andrew Rumbach, a Fellow at the Urban Institute, about how involvement in climate policy can be more accessible and engaging, to these communities especially. For a transcript, please visit https://climatebreak.org/including-marginalized-communities-in-policy-decisions/.
The increase in climate-related disasters, such as floods, wildfires, and heat waves, has created serious financial burdens on households across the country. Since 1980, the world has seen a fivefold increase in the number of billion-dollar natural disasters. 2018 to 2022 alone saw an estimated $617 billion in damages from climate and weather related events. Beyond the public health and safety concerns, these disasters have hit Americans in the pocketbook. An estimated 13% have reported facing severe economic hardship following such disasters, with this number projected to rise as climate extremes become more frequent. For particularly vulnerable households, high financial costs from disasters can further exacerbate existing inequities. In order to adapt to a changing world of more frequent climate catastrophes, policy makers will need to develop solutions to assist populations in disaster recovery.
The impacts of climate-related disasters are numerous. In addition to harming businesses and infrastructure, extreme weather events can lead to worker displacement, job loss, and migration. Catastrophic climate events, known as climate hazards, create financial strain on households from damage done to one’s property. Many households may not have the immediate resources or savings needed to repair the damage, leading to long-term displacement and financial instability. Healthcare costs, transportation expenditures, and inability to access proper insurance coverage are other burdens many individuals face following a natural disaster.
Low-income communities will face the brunt of climate change impacts. By understanding the historical inequities that have pushed marginalized communities into regions particularly vulnerable to climate change, policy makers can create more equitable outcomes. Many officials are now encouraging increased access to education, “democratized” climate decision making, and new ways to engage and empower people to take a stance in decisions about the climate.
The US Department of the Treasury further suggests that households consider utilizing government incentives to adopt climate-resilient property modifications, such as tax credits and rebates for energy-efficient home improvements. Policymakers further plan to support financial well-being by assisting households in financial resiliency efforts with programs through the Federal Emergency Management Agency (FEMA) and U.S. Small Business Administration (SBA).
Initiatives designed to address vulnerable communities affected by climate disasters can assist in adaptation towards climate extremes. Having access to resources, whether political or social, is key to providing impacted communities with the support they need to adapt to a changing environment. With increased educational awareness and government assistance, households facing financial distress and instability following a climate-related event will have the support they need to recover.
In order for these goals to be realized, policy makers will need to overcome significant challenges. For example, many households across the country face underinsurance, as climate extremes become more common and push insurers to raise rates or pull out of the insurance market altogether. As a result, vulnerable regions may be left without the proper resources to recover. A recent report found that policies for 39 million properties (about a quarter of all homes in the US) are under-priced for the climate risk needed to insure those properties. Without insurance coverage, homeowners are unable to fix damaged property.
Furthermore, the most severe effects of climate change disproportionately affect socially vulnerable populations. Less than 60% of single-family homeowners living in areas where mandatory flood insurance is required actually have the necessary insurance. As such, policy makers need to pay more attention to those communities most vulnerable to climate change in order to ensure they have access to the insurance needed to recover from a disaster and achieve financial stability following a climate-related event.
Dr. Andrew Rumbach, Senior Fellow in the Metropolitan Housing and Communities Policy Center at the Urban Institute, studies household and community risk to natural hazards and climate change. Dr. Rumbach is involved in the policy implementation and research of numerous federal and state-declared disaster events and is on the forefront of addressing disaster vulnerability and environmental risk.
For a transcript of this episode, please visit https://climatebreak.org/including-marginalized-communities-in-policy-decisions/.
Ethan: I’m Ethan Elkind, and this is Climate Break. Climate solutions in a hurry. Today’s proposal, helping people adapt to climate change by fighting inequality. Andy Rumbach, a senior fellow at the Urban Institute, explains.
Dr. Rumbach: We’re always looking for people, groups, communities that seem to, sort of, slip between the cracks of policy conversations. Folks who have least access to resources are also those who are least able to adapt.
Ethan: He believes that effective climate policies require discussions about environmental discrimination, including environmental racism.
Dr. Rumbach: A lot of Black neighborhoods and neighborhoods of color that have been historically disinvested in, you’re going to see a greater and greater burden on low-income people. Being equitable in our climate actions means making sure that everyone is able to adapt in a way that works with their situation.
Ethan: Rumbach wants more inclusive decision-making processes that include representatives from these marginalized communities.
Dr. Rumbach: Traditional participation in decision-making processes tends to skew heavily towards people who are older, they tend to be whiter, they tend to be wealthier. We need to come up with new ways of engaging people around decisions around climate.
Ethan: Rumbach believes that accessible post-disaster assistance is in need of reform, like implementing disaster relief in renter and homeowners’ insurance.
Dr. Rumbach: One of the biggest issues that’s become apparent has been the issue of underinsurance. It’s when you buy an insurance policy on a home, but you never update your insurance to cover more and more risk. And so when the disaster happens, suddenly they find out that the recovery’s going to be much more expensive than they thought. We really need wholesale reform to really make our system ready for the climate future.
Ethan: For more information on fighting climate change and inequality, visit climatebreak.org.