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UNEP FI and Insurance Industry Release Statement on Climate Change Adaptation

6 September 2010: Leading insurance companies within the UN Environment Programme Finance Initiative (UNEP FI), together with ClimateWise, The Geneva Association, and the Munich Climate Insurance Initiative (MCII) have called on governments worldwide to harness risk management techniques and insurance expertise to help the developing world adapt to climate change.

The group released a statement aimed at world leaders and UNFCCC negotiators that highlights the potential benefits of using government action to enable the knowledge and expertise from the insurance industry to play its fullest role in risk management in developing countries, particularly those most vulnerable to the impacts of climate change.

The statement emphasizes the potential role of the insurance industry in supporting adaptation, including through: sharing expertise in risk management; prioritizing adaptation measures; incentivizing loss reduction; developing new insurance products; and raising awareness among stakeholders of the insurance industry.

According to the group, governments must act to create an enabling environment in which insurance can operate effectively. The statement outlines specific proposals for the ongoing climate negotiations, including for governments to support proposals to catalyze adaptation efforts through risk management, loss prevention and risk transfer, particularly in those countries most vulnerable to the impacts of climate change. [UNEP Press Release] [Global Insurance Industry Statement on Adapting to Climate Change in Developing Countries]