Prince Charles: Insurance industry ‘exceptionally well placed’ to drive climate initiatives

The Prince of Wales today launched his Sustainable Markets Initiative Insurance Task Force, convening executives from a number of the world’s largest insurers and reinsurers to create an influential platform from which to collectively advance progress towards a resilient, net-zero economy.

The Prince of Wales said: “The insurance industry is exceptionally well placed to understand the impact of climate change and the damage it can cause to us all if we don’t take action now. This is why I am so pleased that a large number of the world’s leading insurance companies have joined together to identify how the insurance industry can help put nature, people and the planet at the heart of our entire economy.”

Publishing its Statement of Intent at the Lloyd’s Building today, the SMI Task Force outlined its commitment to providing “climate positive financing and risk management solutions to support and encourage individuals and businesses around the world to accelerate their transition to a sustainable future”.

These actions include adapting and expanding coverage for offshore wind projects in response to rapid growth and new technologies, alongside the implementation of ‘build back better’ claims clauses in home insurance policies to encourage customers to rebuild sustainably.

The SMI Insurance Task Force will also try to work with governments to establish a public-private disaster resilience, response and recovery framework, designed to help protect developing nations from the evolving economic and societal impacts of climate change.

To support the rapid growth of green projects and innovation, the SMI Insurance Task Force has committed to developing a framework to help unlock the more than £21.6trn in AUM, increasingly directing capital towards investments that drive climate-positive outcomes in both developed and developing nations.

Lloyd’s chairman Bruce Carnegie-Brown added: “As the world begins to recover from a pandemic that has caused significant and far-reaching financial and societal challenges, it does so with an opportunity to build back with sustainability as a foundation and guiding principle. Although climate change poses unprecedented systemic risk, it is one which – through partnership and accelerated action – we have the means to address. As a task force, we are making a resolute commitment to be a catalyst for action to help create a more sustainable future through the risks we manage and the capital we invest.”

SMI insurance Task Force members:

• AIG: Peter Zaffino, President and CEO
• Allianz: Oliver Bäte, CEO
• Amwins: Scott Purviance, CEO
• Aon: Greg Case, CEO
• Ascot: Andrew Brooks, CEO
• AXA: Sean McGovern, CEO AXA XL
• Beazley: Adrian Cox, CEO
• Conduit Re: Neil Eckert, CEO
• Direct Line Group: Penny James, CEO
• Hiscox: Bronek Masojada, CEO
• Howden Group: David Howden, CEO
• Legal & General: Nigel Wilson, CEO
• Lloyd’s: John Neal, CEO
• Marsh McLennan: Dan Glaser, President and CEO
• Munich Re: Joachim Wenning, CEO
• Phoenix: Andy Briggs, Group CEO
• Tokio Marine Kiln: Brad Irick, CEO

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