(Radio Iowa) – A new report from the Common Sense Institute indicates the rising cost of insurance premiums may drive more Iowans to reduce their coverage or drop insurance altogether — putting pressure on the state’s insurance industry. Ben Murrey is Iowa policy director for the Common Sense Institute.

Not only does it cost more to repair or replace a home or business that’s damaged, the analysis shows the risk of natural disasters like tornadoes is rising in Iowa. The average cost of homeowners insurance premiums has increased 273 percent in the past 15 years — climbing to a statewide average of 25-hundred dollars this year.

Murrey says states are starting to figure out how to mitigate the risk of property damage to homes and businesses, to address spikes in insurance premium costs.

Murrey says there’s exciting research underway at Iowa State University to determine which types of projects do reduce risk. For instance, heavier shingles may stand up better during a hail storm, but make the roof more vulnerable during a tornado.

If property owners don’t take steps to reduce the risk of storm-related damage, the industry’s National Risk Index predicts insurance companies will pay an average of 580 MILLION dollars a year to cover property losses in Iowa that are caused by severe weather.