> ...the fact they are losing money to climate change is pretty irrefutable evidence.

Insurance prices risk. If risk goes up, so do prices. They will not lose (much) money (or not for long) [1], your insurance will just get a lot more expensive, maybe to the point you can no longer afford it. If the government tries to control prices, then insurers will just exit the market, or the only entrants will be severely under-capitalized, merely providing the veneer of insurance (e.g., because your mortgage lender requires it). This is already happening in Florida and Louisiana [2]. These insurers will simply go bankrupt in the event of a catastrophe, and you will be stuck with the loss.

[1] Technically, in a competitive environment, many insurance companies will operate with a (small) underwriting loss, but they make up the difference by investing the float during the time between when they collect the premiums and when they pay out on claims. They will not operate with an unbounded loss.

[2] https://www.wsj.com/finance/small-insurance-company-hurrican...