![]() This will help to ensure their business models remain resilient and that they can continue to serve their customers effectively, while ultimately accelerating the transition to a low-carbon economy.” Now is the time for insurers to take action to address these risks and opportunities related to their investments and underwriting. Tom Reichert, Group CEO of ERM, said: “As the climate crisis intensifies, the insurance industry is finding itself uniquely exposed to climate-related challenges. This includes State Farm’s May 2023 decision to stop offering new home insurance policies in California due to wildfire risk, Farmers’ July 2023 announcement that they will stop renewing almost a third of the policies the company has written in Florida, and close to 20 home insurers in hurricane-prone Louisiana either pulling out of the state or declaring insolvency. Some insurers are currently moving to curtail climate-related risk, with a growing number ceasing to offer certain policies in some locations. The quantitative analysis was undertaken using US Insurers’ 2019 assets compiled by the California Department of Insurance, the most complete and recent dataset currently available. The report, Changing Climate for the Insurance Sector, conducted by Ceres, ERM, and Persefoni, reveals that the top 16 US insurers alone held more than 50% of the half trillion dollars in fossil fuel-related assets owned by the sector. A new report unveiled today finds that the US insurance sector held $536 billion in fossil fuel- related assets in 2019, despite some insurers citing climate-related risk and natural disasters as factors in raising premiums and/or dropping coverage within certain high-risk regions.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |