Published in the Journal of City Climate Policy and Economy, Vol. 3, No. 2/3. Open Access | Article Commentary | 27 May 2025. Authors: Kathy Baughman McLeod and Laurie Goering.
Abstract
As climate change drives increasing deadly and costly global and local heat extremes, efforts to limit their impact on the health and incomes of the most vulnerable are increasingly needed. Women workers are among those disproportionately affected by heat. Many work in the informal economy where they have limited protections and lower incomes. Demands on their time in terms of household and family responsibilities — as well as cultural restrictions — can add to their heat exposure and limit their ability to reduce it.
Hotter and Deadlier
The climate crisis is reshaping daily life for informal economy workers worldwide. Extreme heat has become the world’s biggest killer among extreme weather events. Income impacts are profound — workers report losing 40–50% of earnings during heatwaves. Women face compounded burdens: domestic responsibilities add to their heat exposure while restricting their ability to reduce it. The urban heat island effect makes city conditions even more dangerous.
Heat Insurance: A Promising Solution
The Ahmedabad, India parametric insurance program — a partnership between CRA and SEWA — demonstrates that protection is achievable at low cost. Policies cost as little as $5 USD per year. When extreme heat thresholds are crossed, payments go directly to enrolled women. Insurance alone is not the complete answer, but it is a critical component of a comprehensive adaptation strategy that cities can integrate into broader municipal planning.
The Critical Role of Cities
Cities stand at the forefront of the climate battle. Urban adaptation measures — safe cooling spaces, early warning systems, heat action plans — must be integrated into municipal strategies. Public awareness campaigns are essential to help the most vulnerable protect themselves during heat events.
The Urgent Need for Climate Adaptation Funding
Current adaptation funding falls far short of what is needed to protect the billions of informal workers worldwide who face intensifying heat risk. CRA’s pilot programs have demonstrated scalable success. The question now is how to accelerate and expand financing to reach those most at risk.
Conclusion: Toward a Resilient Future
A comprehensive approach — combining insurance, safe cooling spaces, early warning systems, and climate adaptation funding — offers the best path to protecting vulnerable workers from the escalating threat of extreme heat. Cities and national governments must act now.