Skip to main content
The Actuary: The magazine of the Institute and Faculty of Actuaries - return to the homepage Logo of The Actuary website
  • Search
  • Visit The Actuary Magazine on Facebook
  • Visit The Actuary Magazine on LinkedIn
  • Visit @TheActuaryMag on Twitter
Visit the website of the Institute and Faculty of Actuaries Logo of the Institute and Faculty of Actuaries

Main navigation

  • News
  • Features
    • General Features
    • Interviews
    • Students
    • Opinion
  • Topics
  • Knowledge
    • Business Skills
    • Careers
    • Events
    • Predictions by The Actuary
    • Whitepapers
    • Moody's - Climate Risk Insurers series
    • Webinars
    • Podcasts
  • Jobs
  • IFoA
    • CEO Comment
    • IFoA News
    • People & Social News
    • President Comment
  • Archive
Quick links:
  • Home
  • The Actuary Issues
  • May 2018
05

AXA ranked top insurer for climate change leadership

Open-access content Wednesday 23rd May 2018 — updated 5.50pm, Wednesday 29th April 2020

French insurance firm AXA has been ranked the number one company in the industry for managing the financial risks associated with dangerous climate change.

2


That is according to a new report by the Asset Owners Disclosure Project (AODP), which rates Aviva as the next best insurer for climate change leadership, followed by Allianz.

However, it was found that nine out of ten investment strategies make the Paris Agreement unattainable, with just three US insurers planning to address climate-related financial risks.

"We applaud the leading and innovative approaches taken by the sector's leaders," AODP project manager, Pavel Kirjanas, said. "Unfortunately, there is no time to celebrate.

"While the world is being shaken by climate-induced catastrophes, insurers keep pressing the snooze button."

The report ranks 80 of the world's largest insurers on their management of climate risks, with the companies studied representing $15trn (£11.2trn) in assets under management.

The top 10 firms are shown below:


Top 10 firms for climate leadership


The UK takes two of the top four spots, with Legal & General the most improved insurer since last year, moving up eight rating bands into fourth position for climate action.

In contrast, US insurers are among the worst for addressing climate risks, with Prudential Financial, AIG and New York Life all scoring one of the lowest possible ratings.

This is despite the country introducing climate disclosure rules much earlier than in Europe, with US portfolios found to be consistent with 6°C of global warming.

That is significantly higher the Paris Agreement's upper limit of 2°C, with the report also revealing that just 0.5% of insurers' assets are in low-carbon investments.

AODP calculated the aggregate allocation of assets in green investments to be around $70bn - far short of the $1.1trn that the UN say is needed to transition to a low-carbon economy.

Unfriend Coal coordinator, Peter Bosshard, said: "Responsible insurers need to urgently address the risks which their investments and insurance services pose to the climate."


Sign up to our free newsletter here and receive a weekly roundup of news concerning the actuarial profession

This article appeared in our May 2018 issue of The Actuary.
Click here to view this issue
Filed in
05

You might also like...

Share
  • Twitter
  • Facebook
  • Linked in
  • Mail
  • Print

Latest Jobs

Origination Analyst (Pensions to life)

London, England
£50000 - £80000 per annum + generous bonus + benefits
Reference
145979

Senior Pensions Data Specialist (Nationwide)

England / London, England / Greater Manchester, England, Manchester
£45000 - £80000 per annum + dependent on entry level & bonus
Reference
145978

DC Investment Associate/Consultant

England, London / Scotland / England
£45000 - £80000 per annum + generous bonus + benefits
Reference
145977
See all jobs »
 
 

Today's top reads

 
 

Sign up to our newsletter

News, jobs and updates

Sign up

Subscribe to The Actuary

Receive the print edition straight to your door

Subscribe
Spread-iPad-slantB-june.png

Topics

  • Data Science
  • Investment
  • Risk & ERM
  • Pensions
  • Environment
  • Soft skills
  • General Insurance
  • Regulation Standards
  • Health care
  • Technology
  • Reinsurance
  • Global
  • Life insurance
​
FOLLOW US
The Actuary on LinkedIn
@TheActuaryMag on Twitter
Facebook: The Actuary Magazine
CONTACT US
The Actuary
Tel: (+44) 020 7880 6200
​

IFoA

About IFoA
Become an actuary
IFoA Events
About membership

Information

Privacy Policy
Terms & Conditions
Cookie Policy
Think Green

Get in touch

Contact us
Advertise with us
Subscribe to The Actuary Magazine
Contribute

The Actuary Jobs

Actuarial job search
Pensions jobs
General insurance jobs
Solvency II jobs

© 2023 The Actuary. The Actuary is published on behalf of the Institute and Faculty of Actuaries by Redactive Publishing Limited. All rights reserved. Reproduction of any part is not allowed without written permission.

Redactive Media Group Ltd, 71-75 Shelton Street, London WC2H 9JQ