The report is very interesting to read (link opens pdf)

What is clear is that costly natural disasters are becoming more frequent, with the average time between billion-dollar events dropping from four months in 1980 to approximately three weeks today. As those risks grow, some insurers are pulling out of states entirely. For example, State Farm and Allstate have left California, and dozens of smaller companies have collapsed or fled Florida and Louisiana.

When that happens, homeowners must turn to government-backed insurers of last resort, which are available in just 26 states and typically cost more than private coverage. Enrollment in those state-run plans has skyrocketed, the JEC report notes, and they now cover more than $1 trillion in assets.

The report also says:

Americans will experience climate risk over the next several decades and beyond much longer than the one-year time frame that insurance policies use to price risk. Insurance policies that are longer than a year can better price the risk that homes face and smooth out the higher costs necessary to account for a changing world. While thirty-year policies that match the length of a conventional mortgage would better align insurance policies with risk to a home, some industry leaders have suggested starting with three-year policies—to begin adapting the business model.

Countries like New Zealand, France, and Japan use public reinsurance programs to support insurance markets facing climate risk. A public reinsurance program could simplify a complicated insurance sector and transfer risks associated with catastrophes to the Federal government.

Pairing this with state and local risk reduction measures and insurance market reforms could ensure that the market is still pricing actual climate risk (and not distorting the price signal) but remove the threat of catastrophic risk that is driving insurance premium increases and leading companies to pull out of markets.