Primer on the financial materiality of Nature based Solutions (NbS)

Detalles

Building on CISL's Nature-related Financial Risks workflow, which includes "Why Nature Matters: Nature-related risks and opportunities for insurance underwriting" and "Roadmap: Identification and integration of nature-related risks and impacts in underwriting and insurance brokerage", ClimateWise has developed this Handbook on the Financial Materiality of Nature-Based Solutions, as half of the surveyed insurers/reinsurers believe that nature-related risks are material to their underwriting business. However, most participants in the insurance and reinsurance industry do not currently assess nature-related risks in underwriting. Nature-related risks are also difficult to measure, as there are multiple interrelationships between nature, society, and the global economy that amplify uncertainties.

There are at least four different approaches insurers can take to reduce the impact on nature or contribute to its restoration:
  • Encourage nature-positive behaviors with customers and consumers.
  • Innovate in asset protection.
  • Facilitate capital flows.
  • Collaborate with governments.

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