Insurers’ Biggest Worry

One of the major problems facing us today is:  With so many media spouting so much conflicting information, it’s difficult to know what to believe.  Is the pandemic real or trumped up?  Is climate change real or trumped up?  Are 3rd world food crises real?  Is climate change really being caused by humans?  Are fossil fuels really all that harmful?

Well, insurance companies adjust their rates according to hard, reliable data.  When they refuse to insure ocean-front homes, they have solid data behind their reason to walk away from collecting their premiums.  I’ll add comments afterwards.

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Climate Change Replaces

Pandemic as Insurers’

Biggest Worry


Alexandre Rajbhandari


September 28, 2021


Climate change has returned to the top of the list of insurers’ biggest concerns as the vaccine roll-out and gradual lifting of health restrictions see pandemic fears ease in many countries.

Global warming was ranked as the biggest risk to society over the next five to 10 years in a report released Tuesday by French insurance giant AXA SA. While that also topped the ranking in 2018 and 2019, it was outstripped by diseases and pandemics last year as the virus spread across the globe.  AXA Chief Executive Officer Thomas Buberl said in a statement …


“Climate change is back at the top

of the agenda.  This is good news,

since last year we feared that the

explosion of health risks may over-

shadow the climate emergency.”


Insurers are being increasingly challenged by global warming as extreme weather events wrought by climate change are expected to keep rising. Just under a fifth of the 3,500 insurance professionals polled across 60 countries expressed faith in public authorities to mitigate the crisis.

Axa, which chairs the Net Zero Insurance alliance, is trying to push the industry’s largest players to exclude polluting companies and focus on those that have clear and credible transition plans, both in their investment and underwriting universes. The latter policy is even more powerful, Buberl said in an interview with Bloomberg TV on Wednesday …


“On the investment side, we are one of

many investors, and if you want to find

funds for a coal factory today, you will.”


But if a company can’t get insurance to protect against risk, then it won’t be able to secure investors, he said.

The survey also found that cyber risks, which ranked second on the list, was a fast-growing fear for insurers. This year, some 61% of respondents put cybersecurity among their top five concerns, up from 54% in 2018. The pandemic dropped to third place.  AXA Deputy CEO Frederic de Courtois said at a press briefing with reporters …


“The pandemic and the lockdown have

certainly accentuated the use of digital

tools, and we insurers have seen that it has

also intensified cyber risks and attacks.”

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As I often do, I’ve asked D, the entity my wife channels, for comments …

“One needs to become aware of the climate change conditions that now exist or may exist in the future, in your area.  For instance, flood insurance in many areas is going to increase over the next couple years. In some cases you will not be able to get insurance at all.

“So, find out if your area is going to be vulnerable for floods, for fires, for storm surge, for tornedoes, for crop failures, or whatever may be surfacing.

“Learn what the future will look like for you.  This may include talking to your insurance agent, as their industry has vast amounts of reliable data upon which they base their decisions – or – do your own research.  What we’re saying is:

“Protect yourself, and prepare.

“You may find some risk is too high for you, and you need to increase your insurance, make changes to your home or landscape, or you may even decide to relocate.”


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