Increasing climate losses threaten the insurance industry and financial stability
Ilan Noy writes: The impact of climate change on insurance markets has been systematically underestimated, with profound implications for financial stability and the sustainability of the risk-sharing services insurance provides. In my research on the economic impacts of climate change and other disasters, I’ve observed a persistent pattern: insurers treat climate change primarily as a future risk while failing to recognise how it has been transforming the risk landscape for some time now. This misunderstanding is now coming home to…