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3 reasons to talk to your clients about the weather

While the weather is a subject for small talk, it can also pose a risk to your clients' retirement plans.

Natural disasters have become more frequent, more intense, and more costly. Extreme weather can erode your clients’ wealth – just like inflation and rising health care costs. People who are hit by extreme weather often need to pay for recovery efforts, such as repairing their homes after a storm. Even those who are not directly affected may incur increased costs for insurance, taxes, and energy. In the end, extreme weather can rain on your clients’ retirement plans.

Here are three reasons to talk to your clients about the weather.  
1

Americans are worried about extreme weather affecting their finances

Americans are noticing that extreme weather can inhibit their ability to achieve their long-term financial goals.

The majority of Americans (61%) worry about rising costs, financial losses, or even health effects from extreme weather, according to the 2026 Annual Retirement Study* from the Allianz Center for the Future of Retirement®. What’s more, one in four (25%) rank rising costs, loss of insurance, and damages due to extreme weather among the top three risks to their retirement.

While many worry about rising costs or the need to relocate due to risks from extreme weather, few have talked about this worry with a financial professional. Just 13% of Americans working with a financial professional say they have discussed this concern. But a significant number (44%) of those who haven’t talked to their financial professional about this worry are interested in doing so.
2

Experiencing a natural disaster can be a real financial hit 

Most Americans are exposed to weather risks. While many popular retiree destinations are prone to natural disasters, these events occur across the country.

In the study, 37% of Americans affected by a natural disaster used money intended for savings or investments to recover from or protect against extreme weather. This had long-term consequences. Of those affected by a natural disaster, 25% had to change their retirement plans due to the impacts of extreme weather.

And even those who are not directly hit by a natural disaster can be burdened by increased cost-of-living expenses, such as housing and insurance. In some places, housing insurance costs are rising even faster than inflation.
3

You can help ensure your clients are prepared

The overwhelming majority (98%) of Americans who have experienced an extreme weather event say creating a plan to address rising costs related to extreme weather would help ensure that they can financially support all the things they want to do in life.

To set your clients up to live the retirement they have been planning for, encourage them to consider how extreme weather could affect their retirement. You can help them understand the impact of extreme weather on their cost of living, health, and choice of retirement location.

With this knowledge, you can help them incorporate risk management strategies into their long-term financial plan. These strategies can help provide stability and ease worries about retirement – ensuring your clients are prepared to weather any storm.

*Allianz Center for the Future of Retirement® conducted the 2026 Annual Retirement Study in January 2026 with a nationally representative sample of 1,000 respondents age 25+ with an annual household income of $50K+/$75K+ (single/married) OR investable assets of $150K+.

The Allianz Center for the Future of Retirement® produces insights and research as a part of Allianz Life Insurance Company of North America.

This content is for general educational purposes only. It is not intended to provide tax or legal advice and cannot be used to avoid tax penalties or to promote, market, or recommend any tax plan or arrangement. Please note that Allianz Life Insurance Company of North America, its affiliated companies, and their representatives and employees do not give tax or legal advice, or advice related to Social Security or Medicare. Clients are encouraged to consult their tax advisor or attorney, or Social Security Administration (SSA) office, for their particular situation.

Annuities and life insurance are issued by Allianz Life Insurance Company of North America, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. In New York, annuities are issued by Allianz Life Insurance Company of New York, 1633 Broadway, 42nd Floor, New York, NY 10019-7585. Registered index-linked annuities are distributed by their affiliate, Allianz Life Financial Services, LLC, member FINRA, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. Only Allianz Life Insurance Company of New York is authorized to offer insurance products in the state of New York. www.allianzlife.com/new-york

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