Stopping climate change makes business sense
The federal government’s recent climate assessment estimates that the impacts of climate change will wipe out 10 percent of the American economy by the end of the century.
As major customers of commercial insurance, U.S. companies can send a powerful message to the insurance industry by demanding that their insurers not prop up climate-killing fossil fuels. And since most insurance policies are renewed on a yearly basis, businesses have frequent opportunities to raise these issues with their insurance brokers and potential insurers. Aligning a company’s insurance procurement policies with other sustainability goals makes good business sense. Why buy insurance against climate impacts from the same insurance companies that are making the problem worse through their support of fossil fuels?
Businesses that care about the climate should care about insurance
Businesses with sustainability and climate goals should be re-evaluating who they purchase insurance from. Engaging insurance companies to do the right thing on fossil fuels is a logical step in aligning corporate climate and procurement policies across all segments of business. And since the insurance market is competitive and many global insurers have begun to move away from fossil fuels, businesses have a choice in where they purchase their insurance. What’s more, businesses that are among the first to act have a unique opportunity to highlight their climate leadership to customers and partners.
There are simple but effective steps that businesses can take to start the conversation with their insurers about moving away from fossil fuel investments and underwriting. The first step is finding out if your insurer has investments in or underwrites fossil fuels by checking the California Department of Insurance’s database here. If they are a US insurance company, they most likely do.
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Get in touch with us if you want to learn more or talk through how your business can engage its insurers to do the right thing.