GAO warns of cost tied to changes in climate

[jpak]

http://pressherald.mainetoday.com/news/local/070419report.html

WASHINGTON - Federal insurance programs for floods and crops have failed to anticipate more numerous and severe storms expected from global warming over the next century, threatening the government with liability for billions of dollars in claims, according to a Government Accountability Office report to be released today.

Auditors said the problem "may not constitute an immediate crisis," but "does have significant implications" for the federal budget. Private and federal insurers paid more than $320 billion for weather-related losses from 1980 to 2005, with the federal government covering about one-quarter of that total.

The GAO report will be released at a hearing today at the Senate Governmental Affairs Committee. The top committee Republican, Sen. Susan Collins of Maine, said the financial implications may get the attention of fiscal conservatives who have been less concerned with the environmental impact of climate change.

"This report shows us that global warming threatens to burden consumers and taxpayers with billions of dollars in additional cost, as insured losses cause increases in federal spending and insurance premiums," Collins said.

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