The industry must wake up to the risks of climate change, a new report has warned.
The report by Climate Change Capital said the financial stability of the insurance sector is vulnerable to climate change.
While some companies had begun to include climate change impact in their assessments of insurable risks, its direct effect on its assets and liabilities had not been fully considered, the report said.
It warned that current financial models and assumptions did not adequately factor in climate change, leaving investments exposed to significant risks in the long term.
