Anna Sweeney looks at what climate change means for the insurance industry. She examines the risks insurers face and what they can do about them.
She approaches the topic through three lenses. First, she defines physical, transition and liability climate risks and sets out the challenge facing the insurance industry. Second, she outlines some examples of good practice that the Prudential Regulation Authority has observed. Finally, she explains the Bank of England's strategy to help the insurance industry respond to the challenge.