Insurance & Climate Risk EMEA

KEYNOTE ADDRESS: THE ROLE OF THE INSURANCE SECTOR IN HELPING TO BUILD RESILIENCE TO THE CONSEQUENCES OF CLIMATE CHANGE AND TO CLOSE THE PROTECTION GAP

• Vulnerability of developing nations
• Action at an industry level
• Action at a company level
• How and where can we help build resilience?
• What solutions can we be playing a role in?
• Insurers in a risk advisory capacity
• Bridging the gap – the insurer's role in society
• The importance of clear and regular communication and dialogue with the wider public.
• Maintaining and regaining credibility: – building education and awareness around sustainability measures and the need for action.
• Opportunities for new partnerships
• Opportunities for new products as a result of helping towards adaptation to climate change
• Opportunities for investment
• How could recommendations for 2020 SII reforms help insurers use their balance sheets to finance long-term sustainable infrastructure investments?
• Scope, goals, and work of the Centre for Global Disaster Protection

Keynote Speaker: John Scott, Head of Sustainability Risk, ZURICH INSURANCE

PANEL DISCUSSION: HOW IS REGULATION AND THE ROLE OF THE SUPERVISOR IN SUSTAINABLE INSURANCE SET TO EVOLVE?

• Response to the HLEG's final report
• IAIS Issues paper on climate change risks to the Insurance Sector -industry's response.
• How and to what extent are the different supervisors engaging in insurers approaches to sustainability? Comparison of approach and level of engagement
• The move from recommendation to regulation – what might a supervisory approach to climate change look like and how might sustainable factors be integrated into the regulation and supervision of insurance firms?
• Weighing up pros and cons of voluntary disclosure approach vs. mandatory climate risk reporting
• Implications for the financial services and insurance sector specifically
• How is the debate on the following issues evolving?
• A common sustainability taxonomy
• Capital charge
• Mismatch between risk monitoring horizons and long term horizons that are relevant for climate change
• Where are we in the journey towards harmonized metrics, comparability, standardized reporting requirements? How prescriptive do we want to be?
• How to overcome the gap between EU and non EU insurers commitment to ESG integration
• TCFD recommendations as building blocks towards a framework for action?

Panelists:
Representative, EUROPEAN COMMISSION
Mark Cornelius, Head of Major Life Groups Division, PRUDENTIAL REGULATION AUTHORITY, BANK OF ENGLAND
Miroslav Petkov, Director, Sustainable Finance, Financial Services, S&P GLOBAL RATINGS
Justin Wray, Deputy Head of Policy Department, EIOPA
Paddy Arber, Senior Analyst, Global Public Policy, AVIVA

Moderator: Rowan Douglas, Head of Capital, Science & Policy Practice, Willis Towers Watson

PANEL DISCUSSION: CAPTURING AND MANAGING PHYSICAL AND CLIMATE RELATED RISK EXPOSURES. IMPLEMENTING AND INTERPRETING TCFD RECOMMENDATIONS, THE PATH TO INDUSTRY BEST PRACTICE?

• Feedback/ Lessons learnt from TCFD disclosure projects/reports.
• Challenges in implementing
• What metrics need to be in place?
• Scenario analysis approach
• Paving the way to regulation – To what extent can and should these TCFD recommendations form the basis of a future regulation
• What do these TCFD recommendations mean for insurance sector
• Where next – How do we use these TCFD recommendations as a means to move forward?

Panelists:

Maryam Golnaraghi, Ph.D. , Director Extreme Events and Climate Risk Programme, THE GENEVA ASSOCIATION
Zelda Bentham, Group Head of Sustainability, AVIVA
Masaaki Nagamura, General Manager, International Initiatives, Strategy & Synergy Department, TOKIO MARINE HOLDINGS.
Michael Lewis, Managing Director, Head of ESG Thematic Research and Member of the CIO for Responsible Investments Team, DWS
Martin Weymann, Head Sustainability, Emerging and Political Risk, Director, Swiss Re

PRESENTATION OF THE FINDINGS OF THE 2018 CLIMATE AND COAL INSURANCE SCORECARD

• New developments in 2018, separation of leaders and laggards;
• Comparison of direct insurers and reinsurers;
• Developments in Europe, the U.S. and Japan;
• Market response and challenges for 2019.

Speaker: Peter Bosshard, Finance Program Director, The Sunrise Project

DEVELOPMENTS IN INCORPORATING ESG INTO UNDERWRITING PRACTICES

• Insurance industry-wide ESG standards – progress to date
• What is the impact of digitalization and algorithms for ESG screening and assessments
• using ESG assessments for predictive risk assessments and new coverage and risk mitigation solutions within underwriting.
• How to leverage "good clients". Does ESG performance equate to better insurance risk?
• Move away from underwriting coal.

Christopher Bonnet, Head of ESG Business Services, ALLIANZ

PANEL DISCUSSION: THE CHALLENGE OF ASSESSING TRANSITION RISK IN THE ASSET PORTFOLIO

• Raising awareness of the consequences of transition risk and potential devastating impact on the investment portfolio
• Could too rapid a movement to a low carbon economy cause material damage to financial stability? Is this a risk in itself?
• Key potential triggers of transition risk
• Unpredictability of transition risk – vulnerability to sudden swings in policy and regulation
• Progress towards capturing and modeling transition risk within portfolios

Panelists:
Kajetan Czyż, Programme Director, Sustainable Finance, CAMBRIDGE INSTITUTE FOR SUSTAINABILITY LEADERSHIP
Toby Belsom, Head of Investor Research and Analytics, ShareAction
Jakob Thomä, Managing Director, 2° Investing Initiative

Moderator: David Lunsford, Head of Development & Co-Founder, Carbon Delta

KEYNOTE ADDRESS: From individual action to collaboration: Why collaborative initiatives are key to driving sustainability action and ambition

A range of major initiatives is being carried out by UN Environment's Principles for Sustainable Insurance, the largest collaborative initiative between the UN and the insurance industry, to drive sustainability action and ambition through the industry's triple role as risk managers, insurers and investors.

From climate risk assessment and the TCFD recommendations, underwriting ESG risks, the ocean economy, and cities; to World Heritage Sites, tobacco, life & health business, and insurance supervision, find out how these initiatives are driving change in insurance industry thinking and practice.

Butch Bacani, Programme Leader, UN Environment's Principles for Sustainable Insurance Initiative

QUANTIFYING FINANCIAL IMPACTS OF CLIMATE CHANGE RISKS – PROGRESS TO DATE

• How well are we currently identifying, measuring and mitigating weather related risks?
• Bridging the gap between nat cat modeling and climate modeling – challenges with incorporating climate change considerations into nat cat modeling
• Event attribution – determining when events are climate change related or not
• Understanding the "interconnectedness" of climate change with other factors
• How are tech start ups helping on that journey?

Tom Philp, Manager of Science, AXA XL

PANEL: INVESTMENT LEADERS – RISKS AND OPPORTUNITIES IN APPLYING ESG APPROACHES TO THE INVESTMENT PORTFOLIO

• Comparing strategies/approaches for integrating ESG into investment decisions
• Engagement vs. divestment – when to engage and when to divest? Is coal divestment an easy win?
• Where do the opportunities lie for risk-adjusted return whilst doing good?
• Overcoming obstacles to facilitate a broader move towards responsible investing
• Pros and cons of standardized taxonomy
• Importance of specialist expertise
• Working effectively with external managers
• What do you think will be the impact of the EU Sustainable Finance proposal which includes provisions that require asset managers to take sustainability into account in the investment process, and advise clients on the basis of their preferences on sustainability

Panelists:
Michèle Lacroix, Head of Group Investment Office, SCOR
Erick Decker, Chief Investment Officer, Mediterranean and LATAM, AXA
Jelle van der Giessen, Chief Investment Officer, NN GROUP
Panos Seretis, Head of ESG Research, EMEA, MSCI
Hilde Jenssen, CFA, Product Manager of the Fundamental Equities Team, Nordea Asset Management

Moderator: Vincent Huck, Editor, Insurance Asset Risk

PANEL: IMPACT INVESTMENT STRATEGIES

• What constitutes true impact investing?
• Should the goal in impact investing be risk-adjusted market returns?
• Constraints specific to impact investing and how to overcome them
• Shortage of products – how do you access viable, appropriate investments
• Illiquid and volatile nature of qualifying investments
• High transaction costs
• Measuring impact
• Scaling your impact investment programme – are there enough investible assets to meet ambitious impact investing goals?
• Alternative viable asset classes?

Panelists:

Grant Clemence, Head of UK European and International Casualty, QBE Business Insurance
Jon 'JB' Beckett, Co-Lead Responsible Investing Framework, Scottish Widows
Louise Kooy-Henckel, Managing Director and Associate Director, Equity Product Management, WELLINGTON MANAGEMENT

Moderator: Michael Hurley, Staff Writer, Environmental Finance

LIABILITY RISK – HOW IS CLIMATE RISK LITIGATION EVOLVING

• Understanding the principal sources of legal exposure.
• Overview of cases ongoing.
• To what extent are insurers at risk?
• Best estimate of the scale of the problem.
• How do we mitigate this risk?

Stephanie Morton, Climate Finance Lawyer, CLIENTEARTH

PANEL DISCUSSION: REPOSITIONING THE IMAGE OF THE INSURER – PARTNERING WITH CLIENTS TO INCENTIVISE THEM TOWARDS SUSTAINABLE CHOICES AND OPENING UP OPPORTUNITIES

• Engagement – promoting positive dialogue.
• Helping clients to understand long-term risks & the impact on their business.
• What are they doing to manage their risk and how can their insurance partner help them?
• Joining up the dialogue at client firms  - closing the gap between those with sustainability remit and the risk team 
• Creating awareness around the need for more sustainable solutions
• Innovation in climate risk products -Where do the opportunities lie for products that help transition to the low carbon economy?
• How do we ignite consumer awareness and demand

Panelists:
Linda Freiner, Group Head of Sustainability, ZURICH INSURANCE GROUP
Marisa Parmigiani, Sustainability Manager, UNIPOL GROUP
Faye Lageu, Senior Vice-President, Business Intelligence, INTERNATIONAL COOPERATIVE AND MUTUAL INSURANCE FEDERATION (ICMIF)
Greg Schiffer, Global Head of Trade and Infrastructure, Managing Director, SWISS RE

Moderator: Peter Cripps, Editor, Environmental Finance

CLOSE OF CONFERENCE AND DRINKS RECEPTION