Swiss Re No Longer Offers Re/Insurance to Firms with More Than 30% Coal Exposure
(Insurance Journal) Swiss Re announced it no longer is providing re/insurance to businesses with more than 30 percent exposure to thermal coal across all lines of business.
The thermal coal policy applies to both existing and new thermal coal mines and power plants, and is implemented across all lines of business and Swiss Re’s global scope of operations.
This move marks the implementation of Swiss Re’s thermal coal policy announced in June 2017, which aims to manage carbon-related sustainability risks and support the transition to a low-carbon economy, the company said in a statement.
Further, the 30 percent threshold is in line with its previously stated thresholds on the investment side: in early 2016 the company stopped investing in companies that generate 30 percent or more of their revenues from thermal coal mining or that use at least 30 percent thermal coal for power generation. It also divested existing holdings.
Swiss Re is joining other insurers that have decided to abandon investments in coal-based businesses and/or stop providing coverage for such risks. These insurers include, Allianz, AXA, SCOR and Zurich Insurance, as well as the Lloyd’s marketplace. READ MORE
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