ClimateWise members have today written the following open letter to the UK’s Prudential Regulation Authority (PRA) in response to the Authority’s report into the impact of climate change on the insurance industry.
The PRA report, 'The impact of climate change on the UK insurance sector’, is one of the first examples globally of an insurance regulator examining the impact that climate change risk could have on the insurance industry and its customers.
For further information please see our press release.
c/o Cambridge Institute for Sustainability Leadership,
1 Trumpington Street,
Cambridge CB2 1QA
1 October 2015
c/o Prudential Regulation Authority,
Bank of England,
London, EC2R 8AH
RE: ClimateWise CEOs respond to the Prudential Regulation Authority’s report ‘The impact of climate change on the UK insurance sector’
Dear Mr Carney,
As leaders from across the global insurance industry, we share the view that climate change poses one of the greatest challenges to the long-term health of global economies and societies and, as such, demands urgent action. Consequently, we have voluntarily committed to ClimateWise – the insurance industry leadership group on climate change risk – to help identify ways that the insurance industry can support the societal transition to a low carbon, climate-resilient future.
As members of ClimateWise, we welcome the UK insurance regulator, the Prudential Regulation Authority (PRA), taking the initiative to examine the impact of climate change from the perspective of the insurance industry. We are already trying to respond to climate change as framed by reports such as The World Economic Forum 2015 Global Risks Survey which identified a failure of climate adaption as one of the top four high-impact, high-likelihood risks.
We commend the PRA for leading insurance regulators globally in focusing on this critical issue. We also look forward to this engagement being only the first step in a much broader journey of collaboration aimed at managing the impact of climate change risk for the industry and its clients. As members of the insurance industry, we want to work together towards achieving a regulatory regime that allows our industry to fulfil its full potential as society’s risk-manager and to help maintain risk exposure within insurable levels. Such a regime is one that would enable us to better align our investment and risk management capabilities, while maintaining the financial security of our clients.
Andrew Kendrick (President)
ACE European Group
Charles Philipps (CEO)
Dominic Christian (Executive Chairman)
John Spencer (Non-Executive Chairman)
ArgoGlobal - Syndicate 1200
Maurice Tulloch (CEO)
Aviva UK & Ireland General Insurance
Andrew Horton (CEO)
Phil McNeilage (CEO)
Bronek Masojada (CEO)
Torbjörn Magnusson (President & CEO)
Andrew Roberts (CEO)
Inga Beale (CEO)
Stephan Coward (President of Technical Risk)
Richard Murphy (CEO)
Stephen Hester (CEO)
RSA Insurance Group
Gary Shaughnessy (CEO)
 ClimateWise secretariat is provided by the Cambridge Institute for Sustainability Leadership (CISL). Positions taken by ClimateWise members do not represent the policies or positions of CISL or of the wider University of Cambridge or vice versa.