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
  • Jobs
  • IFoA
    • CEO Comment
    • IFoA News
    • People & Social News
    • President Comment
  • Archive

Topics

  • Data Science
  • Investment
  • Risk & ERM
  • Pensions
  • Environment
  • Soft skills
  • General Insurance
  • Regulation Standards
  • Health care
  • Technology
  • Reinsurance
  • Global
  • Life insurance
Quick links:
  • Home
  • The Actuary Issues
  • July 2019
07

Chubb becomes first major US insurer to announce coal restrictions

Open-access content 3rd July 2019

Chubb has become the first major US insurer to announce investment and underwriting restrictions on the coal industry after growing pressure from environmental groups.

2


The firm will no longer invest in companies that produce more than 30% of their energy from coal, or in those that generate over 30% of their revenues from thermal coal mining.

Underwriting for risks related to the construction and operation of coal-fired power plants will end after 2022.

Chubb said that its new coal policy would have a minimum impact on premium reserves, and make no difference to its investment performance.

"The policy we are implementing reflects Chubb's commitment to do our part as a steward of the Earth," said CEO, Evan Greenberg. "Chubb recognises the reality of climate change.

"Making the transition to a low-carbon economy involves planning and action by policymakers, investors, businesses and citizens alike."

Chubb is the largest publicly traded property and casualty insurance company in the world, and is the market leader in insuring the US power sector.

The company currently invests at least $2.9bn (£2.3bn) in fossil fuel firms, according to the California Department of Insurance's Climate Risk Carbon Initiative database.

But it has come under increasing pressure from the Insure Our Future campaign in recent months, which aims to stop US insurers underwriting coal and tar sands companies.

In response, Chubb also announced that it would stop underwriting firms that produce more than 30% of their energy from coal, or over 30% of their revenues from thermal coal mining.

Exceptions to this policy will be considered up to 2022 if a region has no practical near-term alternative energy sources, or the insured is committed to reducing its coal dependence.

"A major US insurer like Chubb restricting insurance for coal projects and companies is a game-changer," said Insure our Future senior strategist, Ross Hammond.

"All eyes are on Liberty Mutual, AIG, and the rest of the US industry to join Chubb in acknowledging the role they have to play in stopping climate change by ending their support for fossil fuels."


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

This article appeared in our July 2019 issue of The Actuary.
Click here to view this issue
Filed in:
07
Share
  • Twitter
  • Facebook
  • Linked in
  • Mail
  • Print

Latest Jobs

Senior Longevity Actuary – Reinsurance

London (Central)
£100,000
Reference
118949

Senior Capital Actuary

London (Central)
£90000 - £110000 per annum + + bonus + benefits
Reference
118965

Capital Project Actuary

£500 - £850 per day
Reference
118964
See all jobs »
 
 
 
 

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
​
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

© 2020 The Actuary. The Actuary is published on behalf of the Institute and Faculty of Actuaries by Redactive Publishing Limited, Level 5, 78 Chamber Street, London, E1 8BL. Tel: 020 7880 6200