Time for a ‘climate-conditioned view’ of classic nat cat perils

Effective measurement for environmental, social, and corporate governance (ESG) issues and climate-conditioned risk models are essential for companies adjusting their underwriting strategies to take account of climate change.

That is the view of, Vivek Bajaj, managing director, EMEA,  Moody’s RMS, speaking in June at an interview with Intelligent Insurer at its Re/insurance Outlook Europe 2023 conference in Zurich. The full interview with Bajaj can be viewed here.

He said that the increasing impact of climate change could be seen in the frequency and severity of natural catastrophe (nat cat) events. This shifting risk landscape has major implications for risk models and underwriting strategies. In response to this challenge, Moody’s RMS has developed a climate-conditioned view of the classic nat cat perils such as floods, windstorms, and earthquakes.