Environmental pollution liability insurance has been around for several decades but its full potential to address both traditional pollution risks and a broader range of new and emerging environmental risks remains largely untapped.
As part of the UNEP FI’s mission to support the global insurance industry in insuring for sustainability, the Principles for Sustainable Insurance (PSI) with support from DB Insurance conducted a global study on environmental pollution liability insurance.
This report highlights the study findings including the fundamental importance of appropriate legal and regulatory frameworks; the proper enforcement of environmental protection laws and regulations; strong loss prevention and risk reduction measures by companies; and environmental pollution data availability, accessibility and quality in order to support the development and expansion of environmental pollution liability insurance markets worldwide.
Based around six key themes that emerged from the research, the report also outlines recommended strategies, actions and next steps for the global insurance industry in order to play a leading role in preventing pollution, reducing greenhouse gas emissions, protecting biodiversity and ecosystems, and supporting the transition to a sustainable economy.