Climate change is a key issue for everyone, and recent natural disasters show the very real cost that climate change could cause insurers in the future. Lloyd’s recognises the effects of climate change and the direct impact on the business community and we are in regular dialogue with insurers, businesses and policy makers to address the challenges of climate change, both for our industry and for the wider world.
The insurance sector enables business and individuals to manage risk including long-term threats such as climate change. The long-term stability of our economy hinges on an appropriate response to this threat. Lloyd’s continues to support action to tackle climate change and has played a leading role in ClimateWise – a collaborative endeavour by insurers to drive action on climate change.
The ClimateWise principles have been developed following consultation between The Prince of Wales’s Business & Sustainability Programme, Lloyd’s, the ABI, and other insurance market participants. Lloyd's is an active member of the group.
Over 30 insurance companies are members, including ten managing agents in the Lloyd's market. ClimateWise's six core principles form the framework of Lloyd's approach to responding to climate change.
The ClimateWise principles:
- Lead in risk analysis
- Inform public policymaking
- Support climate awareness
- Investment strategies
- Reduce environmental impact
- Report and be accountable