Treasury Urges Insurers to Manage and Disclose Climate-Related Risks

In an extensive report released on June 27, the U.S. Department of Treasury called on insurers and state regulators to ramp up their efforts to evaluate risks posed by climate change. The report stating that global warming presents “new and increasingly significant challenges for the insurance industry.” Additionally, the report calls for state regulators to require insurers to conduct risk modeling and scenario analysis related to various types of climate exposures. It also proposes increased disclosures around how insurers manage climate-related threats and to do so by pushing more state regulators to adopt the annual NAIC Climate Risk Disclosure Survey. Read More