The United States faces the rising tide of physical risks, as climate change accelerates. In 2024 alone, 27 separate billion-dollar natural disasters caused $183 billion in direct damage. By mid-century, The annual cost of physical climate risks to global societies is projected to reach $1.2 trillion, while climate-induced devaluation of U.S. homes could wipe $1.5 trillion off market value. In total, climate-related disasters have cost the U.S. economy at least $6.6 trillion over the past 12 years. These numbers clearly show that current economic and political structures are not prepared for the climate we face.

The solution is resistance – the ability of individuals, communities and systems to survive, adapt and thrive despite shocks and stresses. Investments in resilience offer both protection and opportunity. Every $1 spent on disaster mitigation measures saves an estimated $13 in avoided losses. But the benefits go beyond just avoided losses, creating jobs, stimulating innovation, protecting business and public service continuity and strengthening community cohesion, known as “resilience dividend". Despite this compelling argument, there remains considerable "resilience gap“, which is the gap between the benefits of proactive adaptation and resilience and the limited pace and scale of current efforts. This gap exposes communities, businesses and governments to avoidable losses and unrealized economic potential. Closing this gap is not just about minimizing losses, but about realizing the comprehensive economic, social and environmental benefits that contribute to sustainable and equitable growth.

The US is showing a pioneering spirit in its approach to resilience, with examples such as the Truckee, California, wildfire plan, the Resilient Houston strategy, and the Rebuilding with Resilience initiative in Los Angeles. Corporate efforts are also gaining momentum, with Coca-Cola investing in watersheds and Duke Energy modernizing its grid. These examples demonstrate that progress is possible, but they remain fragmented and limited in scope.

Despite growing awareness and promising initiatives, the U.S. adaptation and resilience (A&R) ecosystem is not yet equipped to achieve the desired scale of change. There is seven key systemic barriers:

• A&R is not yet mainstream and its benefits are not well known.
• Systems reward restoration over prevention (e.g. through insurance and credit systems).
• The financial ecosystem is underdeveloped, lacking standardized taxonomies and tools.
• Private sector involvement is limited and fragmented.
• Capacity is limited in all sectors, technical expertise and time are lacking.
• The set of solutions is poorly defined, lacking common frameworks for identifying and comparing interventions.
• Coordination mechanisms between government, businesses and civil society are lacking.

Systemic challenges require systemic solutions. A systemic strategy to close the resilience gap operates on three fronts: framing, coordination and implementation.

1. Framing: This is about clarifying the “what” and “how” of resilience. It includes quantifying the economic benefits of resilience, clarifying the resilience “toolbox” (e.g., natural solutions, insurance mechanisms, infrastructure improvements), and incorporating resilience thinking into decision-making processes.
2. Coordination: It focuses on aligning systems and stakeholders for systemic impact. This means creating cross-sector resilience networks (e.g. alliances of companies, investors and communities), launching regional innovation hubs (so-called “living labs”) and creating open resources (publicly available platforms with tools and data).
3. Implementation: Includes practical delivery and financing mechanisms to mobilize capital at scale. Key steps include expanding the portfolio of investable resilience projects (e.g., creating project development facilities), developing innovative financial mechanisms (such as resilience bonds), and establishing resilience implementation units that address knowledge and capacity gaps.

Systemiq, a certified B Corp, is actively involved in supporting efforts to address these systemic challenges in the U.S. Their report “Bracing for impact: A systems strategy for climate resilience in the US” serves as a strategic plan to bridge the United States’ resilience gap. With estimated capital needs of $100 billion to $200 billion annually, investing in resilience is necessary and necessary for the stability, prosperity and security of the nation. This document is a call to action that can transform vulnerability into resilience and risk into opportunity. Spring