Climate Risk: Regulators Sharpen Their Focus

Overview

A new Deloitte report on climate risk finds that a majority of US state insurance regulators are either unaware or not fully convinced about how prepared insurers are to deal with climate-related risks.

This report is the first to examine the views of state insurance regulators based upon Deloitte’s Insurance Regulator State of Climate Risks Survey:

Findings include:

• A significant majority of state regulators feel it is of high importance for insurers to provide disclosures in accordance with the TCFD recommendations.
• A majority of US state insurance regulators expect climate-related risks for insurers to increase in the next 5 to 10 years.
• More than half of the regulators surveyed indicated that climate change was likely to have a high impact or an extremely high impact on coverage availability and underwriting assumptions.

We thank Deloitte for sharing this report with our audience.