In 2015, the OIC:
- Joined the Paris Pledge for Action (parispledgeforaction.org) to limit global temperature rise to less than 2 degrees Celsius.
- Became a supporting institution for the UNEP FI Principles for Sustainable Insurance (PSI) Initiative (www.unepfi.org), along with more than 50 other organizations in the largest collaboration between the UN and the insurance industry, backing the aims of the Paris Agreement.
National and international climate work
Commissioner Kreidler chairs the National Association of Insurance Commissioners’ (NAIC) Climate Change and Global Warming Working Group (www.naic.org). The group’s goals include:
- Reviewing risk-management efforts by insurers regarding the effects of climate change.
- Investigating the use of modeling by insurers and reinsurers regarding climate-change impacts.
Commissioner Kreidler has spoken nationally and internationally to insurers, other insurance regulators and investment experts about climate risks to the insurance industry.
Evaluating insurers' climate risk
The OIC led a national work group that developed the guidance for other state regulators to use when they evaluate insurers’ climate change risks and investments during financial examinations.
In March 2015, several of the agency’s financial examiners and analysts participated in a practice run of the training, which will assist other states’ departments of insurance in helping insurers identify climate change risk to their business and evaluate how these factors may affect their claims and investments.
Since 2010, the OIC has partnered with other states to require insurers with a certain dollar amount of premiums to reply to a survey regarding their preparedness to address climate change risks.
A group called Ceres (www.ceres.org) has summarized the insurers' survey responses in a report:
- Insurer Climate Risk Disclosure Survey Report and Scorecard: 2016 Findings & Recommendations (PDF, 4MB)
- Insurer Climate Risk Disclosure Survey Report & Scorecard: 2014 Findings & Recommendations (PDF, 1MB)
- Insurer Climate Risk Disclosure Survey Report & Scorecard: 2012 Findings & Recommendations (PDF, 1MB)
- Climate Risk Disclosure by Insurers: Evaluating Insurer Responses to the NAIC Climate Disclosure Survey, 2011 (PDF, 1MB)