The next major disaster may not resemble Hurricane Katrina, but it could be equally or more devastating. Risks include infrastructure failures, urban sprawl into high-risk areas, and cascading effects from interconnected systems like power grids and digital networks. Climate change is amplifying the frequency and intensity of extreme events, making traditional risk models less reliable. Additionally, post-event loss amplification and coverage disputes could escalate costs and delays, further straining recovery efforts. The industry remains underprepared for these evolving threats, with experts rating readiness as low in several critical areas (Insurance Journal, 2026).