Insurance and other financial services (original) (raw)
Related papers
The Impact of Climate Change on the Insurance Sector
Financial economic review, 2017
One of the key tasks and core competencies of the insurance sector is to assess natural risks on a continuous basis and to manage the potential impacts of those risks. It is therefore not surprising that from the beginning, the insurance sector has been an active participant in modelling the impact of climate change and in identifying possible solutions. Before coming to our analysis of the relationship between the insurance sector and climate change, it is essential to explain key terms and basic possible impacts. For that reason, we start our paper with a brief summary of the causes of climate change and the most important groups of consequences, and a description of the European milestones on the road to the low-carbon economy. The impact of climate change on the insurance sector is explained through a German and an English example, in each case presenting and construing the assertions of a relevant study. In addition to an explanation of the differences in the approaches which a...
Insurer Resilience in an Era of Climate Change and Extreme Weather: An Econometric Analysis
Having sustained, over the course of more than two decades, record-breaking natural catastrophe losses, American insurers and reinsurers are justifiably questioning the potential linkage between anthropogenic climate change and extreme weather. Here, we explore issues pertaining to this linkage, looking at both the likely short-term implications for the insurance industry, as well as potential longer-term impacts on financial performance and corporate resilience. We begin our discussion with an overview of the implications that climate change is likely to have on the industry, especially as it relates to how catastrophic risks are construed, assessed, and managed. We then present the rudiments of an econometric analysis that explores the financial resilience of the property/casualty (P/C) industry in the face of both natural and man-made catastrophes. In this analysis, we explore the profitability consequences of several illustrative scenarios involving large-scale losses from extre...
The analysis proposed in this study concerns literature reviews among the ways in which insurance companies cope with climate change, natural disasters and climate risk management. The paper aims to explore the several adaptation measures against climate change adopted by insurance companies for the development of models able developing an acceptable risk forecast. The importance of the paper is substantiated in a structural analytical study of the most important literature on the adaptation of insurance companies to climate change, highlighting the methodologies and specific cases. The conclusions of the paper highlight the natural relevance and relationship between insurance companies, the mandatory interface that year after year the insurance companies have to face and especially the numerous tools that have been developed by the latter in the insurance and reinsurance field for the natural hazards