Triple planetary crisis is an unprecedented generational opportunity

The insurance industry has a triple role – as risk manager, insurer and investor – in building climate-resilient communities and supporting the transition to a net-zero emissions economy

Climate change adaptation and mitigation are two sides of the same coin. They can be both viewed from a risk reduction lens. Adaptation and building resilience entails coping with the physical impacts of climate change through, for example, disaster risk reduction measures and insurance as a financial shock absorber. Climate change mitigation and the transition to a net-zero emissions economy can also be viewed as risk reduction as it addresses the root cause of climate change – greenhouse gas emissions. Therefore, insurance can also be a lever to support the decarbonisation of the real economy.