UK insurers urged to prepare for climate change

A new report from the UK Climate Impacts Programme (UKCIP) said that the UK can expect greater rises in sea levels and heavier rainfall in winter as a result of climate change. In the south of the country – under a medium-impact scenario - the wettest winter day could be as much as 20% wetter by 2050. Commenting on the report, Risk Management Solutions (RMS) said UKCIP’s work extends beyond the usual five-year horizon to support underwriting decisions but that more information is needed to allow insurers to assess more accurately the longer-term impact on flooding. “Ultimately the insurance industry wants to know how future climate will impact the occurrence of damaging events such as floods and severe storms, and unfortunately this can’t yet be accurately predicted,” said Domenico del Re, director of RMS. Mr del Re added that the UK’s insurers should take the lead in planning for the effects of future climate change by promoting adaptations to buildings. Insurers could offer premium incentives for property adaptation schemes and the industry should lobby development planning policy, he said.