The Guardian (April 3)
“The world is fast approaching temperature levels where insurers will no longer be able to offer cover for many climate risks.” Günther Thallinger, a member of the board of Allianz SE, warned “that without insurance, which is already being pulled in some places, many other financial services become unviable, from mortgages to investments.” The climate crisis could “destroy capitalism…with the vast cost of extreme weather impacts leaving the financial sector unable to operate.”
Tags: Allianz, Capitalism, Climate risks, Cost, Cover, Crisis, Destroy, Extreme weather, Financial services, Insurance, Insurers, Investments, Mortgages, Temperature, Thallinger, Unviable, World
The Economist (April 13)
Extreme weather incidents are increasing in frequency due to climate change. “In the decade from 2000 to 2009 only three thunderstorms cost the industry more than $1bn at current prices. From 2010 to 2019 there were ten. Since 2020 there have already been six. Such storms now account for more than a quarter of the costs to the insurance industry from natural disasters.”
Tags: $1bn, 2010, 2019, 2020, Climate change, Costs, Extreme weather, Frequency, Incidents, Industry, Insurance, Natural disasters, Storms, Thunderstorms
Council on Foreign Relations (August 25)
“American homeowners already coping with extreme weather now face a new risk: disappearing property insurance. Private companies have increasingly reduced coverage, concluding that the risks—and potential losses—threatened by climate change outweigh probable profits. As of now, this primarily affects a handful of coastal U.S. states, including California. In other states, insurers have substantially increased the price of property insurance.”
Tags: California, Climate change, Coastal, Coverage, Extreme weather, Homeowners, Potential losses, Private companies, Profits, Property insurance, Risks, U.S.
Tampa Bay Times (July 11)
“On Tuesday, Farmers Insurance informed the state it was dropping home, auto and umbrella policies across Florida, potentially affecting tens of thousands of people. It’s the fourth company to leave the Florida market in the last year — most citing rising risks from hurricanes. Farmers, a large company with a national presence, also has reduced new business in California, citing extreme weather and wildfire threats.”
Tags: Auto, California, Dropping, Extreme weather, Farmers Insurance, Florida, Home, Hurricanes, New business, Policies, Rising risks
New York Times (August 12)
The fires ravaging Evia, Greece’s second-largest island “seem less a random act of God than another inevitable episode of Europe’s extreme weather brought on by the man-made climate change that scientists have now concluded is irreversible.”
Tags: Act of God, Climate change, Europe, Evia, Extreme weather, Fires, Greece, Inevitable, Irreversible, Man-made, Random, Scientists
Scientific American (April 11)
The Atlantic Ocean appears be in “slow motion,” with circulation now the “weakest in 1,600 years.” If further research bears out the conclusion that “hemisphere-spanning currents are slowing, greater flooding and extreme weather could be at hand,” especially on the U.S. east coast, but possibly extending to Europe, which could battle more severe heat waves.
Tags: Atlantic, Circulation, Currents, Europe, Extreme weather, Flooding, Heat waves, Ocean, Slowing, U.S.
USA Today (August 30)
“Climate change didn’t cause Harvey, but it almost surely made the storm worse.” And extreme weather “isn’t just happening in North America. Even as Harvey riveted the nation’s attention this week, the death toll topped 1,000 from unusually severe monsoonal rains half a world away in Bangladesh, India and Nepal.” With such destruction creating “a torrent of human misery, the question isn’t whether the nation can afford to get serious about global warming. We can’t afford not to.”
Tags: Bangladesh, Climate change, Death toll, Destruction, Extreme weather, Global warming, Harvey, India, Misery, Monsoons, Nepal, Rain, U.S.
Institutional Investor (October 29)
“Just as information from barometers and thermometers can help us prepare for tomorrow’s weather, so corporate information on environmental, social and governance (ESG) issues can help investors make better decisions and prepare for the future” by providing such information “as whether supply chain management takes account of climate risk, whether fixed assets are based in areas prone to flooding and cyclones and whether the scale of a company’s greenhouse gas (GHG) emissions is contributing to more extreme weather events over the long term.” But the problem is “too few companies report on such ESG factors. And when they do, it is often voluntarily reported, which tends to mean different methodologies and measures too inconsistent for investors to compare efficiently.” There is an obvious solution. Global stock exchanges should “coordinate the reporting of sustainability metrics just as they do with financial metrics.”
Tags: Climate risk, ESG, Extreme weather, Fixed assets, GHG emissions, Investors, Methodologies, Stock exchanges, Supply chain management
National Geographic (April 1)
“The world is not ready for the impacts of climate change, including more extreme weather and the likelihood that populated parts of the planet could be rendered uninhabitable,” according to 772 scientists who worked on a report released in Yokohama by the United Nation’s Intergovernmental Panel on Climate Change (IPCC). The report “warns that the world is close to missing a chance to limit the global warming that has occurred since the Industrial Revolution.”
Tags: Climate change, Extreme weather, Global warming, Impacts, Industrial Revolution, IPCC, Planet, UN, Uninhabitable, Yokohama
CFO Magazine (May Issue)
“In the face of extreme weather and natural disasters, companies are reengineering their supply chains for added reliability.” ATMI, Kimberly-Clark, Royal Caribbean and Ford Motor are just a few of the companies “that have elevated climate change in their enterprise risk management methodologies. Indeed, according to a September 2012 survey by the independent Carbon Disclosure Project, 83% of S&P 500 companies are integrating climate change into ERM processes.”
Tags: Carbon Disclosure Project, Climate change, Enterprise risk management, Extreme weather, Natural disasters, Reliability, S&P 500, Supply chains
