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Europe’s insurers and reinsurers wish to reiterate their willingness to continue playing their important role in climate change mitigation and adaptation in support of the goals of the UN Paris Agreement and the European Green Deal. |
Climate change has been a key priority for the (re)insurance industry for decades. Our industry has a multifaceted role in both contributing to limiting climate change and helping citizens and societies deal with its effects. This includes offering financial protection against natural catastrophe risks, as well as sharing risk management expertise with governments and customers to help reduce and prevent risks. As Europe’s largest institutional investors, with over €10 trillion of assets under management, insurers play a key role in helping to fund the transition to sustainability.
It is now clearer than ever that combatting climate change and building resilience demands urgent and concerted efforts. Indeed, the latest report by UN Climate Change in October 2022 highlighted once again that more ambition is needed, as current efforts would result in a 2.5 degree Celsius warming by 2100, which is far away from the objectives of the Paris Agreement. The insurance industry is determined to play its part, but can only make a real difference if certain conditions are met. These include, notably, a regulatory landscape that facilitates our industry’s contribution to the green transition and a strong focus, notably by public authorities, on prevention and adaptation. The sector stands ready to engage with all interested parties to identify how these conditions can be met in the most efficient way. |
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