Climate risk is no longer a distant concern—it’s already shaping how banks, insurers, and homeowners approach property. In this episode, we sit down with Philip Tapsell from XDI Systems, part of the Climate Risk Group, to explore how climate-related risks are being measured and factored into financial decisions. How close are banks to pricing in climate risk with mortgages? What happens when certain areas become uninsurable? And what can property owners do to safeguard their investments? Philip breaks down the growing impact of extreme weather on property values and highlights the information gap between financial institutions and everyday buyers. We discuss the challenges of outdated flood maps, the shifting approach to risk assessment, and whether institutions are doing enough to prepare for future disasters. We also touch on how other countries are responding—some taking proactive steps, others simply waiting for someone else to move first. If you’re a property owner or buyer, this conversation is a must-listen to understand what climate risk means for your biggest asset. Episode Highlights: 00:00 - Introduction 01:00 - Who is Philip Tapsall? 02:10 - What made Philip leave the banks? 04:15 - Philip's major concerns when it comes to climate risk and property 06:55 - Why flood maps have been redone, and its impact on property buyers 11:33 - Are banks and insurers avoiding the reality of climate risk? 15:17 - Proactive or reactive: Are we handling climate risk the wrong way? 18:45 - Is climate risk hitting lower-income communities the hardest? 21:04 - What needs to change in the next decade to protect property from climate risk? 24:05 - Should we focus on protecting existing homes instead of restricting new builds? 26:43 - How property value, population, and location impact climate risk 30:48 - Are affluent nations taking action on climate risk, or still in denial? 40:06 - What climate risk ratings really mean for homeowners 47:47 - Climate risks beyond fire and flood homeowners should watch for 54:15 - Philip Tapsall’s property dumbo About Our Guest: Philip Tapsall is the Head of Corporate and Finance Sector Engagement at XDI Systems. He leads XDI’s engagement with regulators, corporates, and financial institutions, helping them assess climate risk. XDI, part of the Climate Risk Group, quantifies the cost of extreme weather on physical assets. He also serves as General Manager of Climate Valuation, which helps individuals and communities understand climate-related property risks. With over 20 years in finance, policy, and engineering, Philip has worked with ANZ, Westpac, HSBC, and WWF-India. He holds degrees in Commerce, Political Science (Hons), and Civil Engineering and is a graduate of the Australian Institute of Company Directors. Connect with Philip Tapsall: LinkedIn https://au.linkedin.com/in/philiptapsall Website https://xdi.systems/ Resources: Visit our website https://www.theelephantintheroom.com.au If you have any questions or would like to be featured on our show, contact us at: The Elephant in the Room Property Podcast
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