A record summer is behind us. A once-in-a-century flood has made many people aware of the consequences of climate change. But there are also some subtle risks from global warming. In the “Krone” an actuary shows what could happen to us.
“It is not just the catastrophic events that worry us at the same time; there is also a gradual change taking place in our environment,” emphasizes Christoph Krischanitz, self-employed actuary and former chairman of the Actuarial Society. Just three examples where climate change causes costs that are not visible at first glance:
New animal and plant species find their way to Austria and bring with them not only tropical fruits, but also diseases, allergies and intolerances. Because among the invasive species spreading in Austria, there are a particularly large number that also cause allergies. Also bad news for people with a pollen allergy: if the winter is mild and the autumn warm, the season lasts longer and hay fever becomes a bigger problem.
An invasive species, for example, is the tiger mosquito, which brings dangerous viruses from the south to Central Europe. “Climate change will lead to rising costs in the healthcare system. “You have to have that on your radar,” Krischanitz says.
And new insects pose a threat to agriculture: more and more species from warmer climates are invading Central Europe. The European Commission has defined twenty plant pests. An example is the green rice bug, which has become increasingly common in recent years.
However, a long-known problem is the bark beetle. In 2023, this caused damage of almost four million cubic meters of timber in one year – a doubling in just two years, eating away not only timber, but also income for farmers and foresters.
The heat also has consequences for the economy. According to AK, 5 to 7 percent more occupational accidents occur on days with temperatures above 30 degrees. Figures from the International Labor Organization (ILO) show the impact: approximately 22.9 million heat accidents at work occur worldwide every year, 19,000 of which are fatal.
Poor concentration is also increasing, as are mental illnesses. When it is very hot outside, many people retreat home. Nearly one in three people in this country are mentally ill, costing the health care system a lot of money.
In addition, the quality of sleep decreases, making employees less productive and increasing aggression. You see this, not least in traffic. According to VCÖ, more than 20 percent more accidents occur on days with temperatures above 30 degrees. As a result, the total accident costs also increased. “Insurers must take these risks into account. If more accidents happen, the benefits will also increase,” says Krischanitz.
Austria is a tourist country. Climate change also has consequences here. This means that many hotels and ski businesses could see not only their snow melt, but their revenue as well. This makes such businesses uneconomical in the long run. According to a study by the University of Bayreuth, there will be 13 percent fewer ski slopes in Europe by the end of the century.
The average number of snow days in the European Alps decreases from 218 (1981-2010) to currently 187 (2024). One in eight ski resorts worldwide could run out of natural snow by the end of the century due to climate change. Broken down by Austria, this means: While in 2010 87 percent of the ski slopes were considered ‘snow-sure’, this will only be two-thirds by 2030. In 2050, with global warming of 2 degrees, only half of the slopes will remain, and in 2100 (+3 degrees) only a fifth.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
