Americans for Financial Reform Education Fund and Public Citizen sent a letter in response to the California Department of Insurance’s Long-Term Solvency Planning Proposal, highlighting the need for insurers to comprehensively address both physical and transition risks across underwriting, investing, and operations.
“Insurers need to develop climate plans that encompass both climate mitigation and climate adaptation and resilience for themselves and their customers, rather than continuing to invest and insure fossil fuel expansion and then retreat from communities as climate costs grow,” said Alex Martin, climate finance policy director at Americans for Financial Reform Education Fund. “Without action from insurance regulators, climate catastrophes will continue to devastate communities while insurers privatize profits and push climate costs onto the public.”