Insurance, Climate Change, and the Law


Book Description

"The insurance industry has found itself at the front line of climate change challenges, providing insurance cover in relation to risks associated with climate change. As risk carriers, insurers pay claims for climate change related losses - such as property damage caused by windstorms, flooding, and wildfires - which have been increasing in frequency and severity. As major institutional investors, insurance companies invest in assets that may be increasingly vulnerable to climate risks. Insurance regulators across the globe have therefore started to require insurance companies to identify, manage and report on climate change risks that could pose a threat to their financial stability. However, managing and reporting on the effect of climate risk on an insurer's balance sheet is an inward-looking perspective that does not stem climate change. It needs to be paired with an outward-looking perspective that takes account of the insurance industry's impact on the environment, and the insurance industry's capacity to influence what policyholders, investee enterprises and other business partners do to address climate change challenges. For the insurance industry, the key components of positive outward impact are "impact underwriting" and "impact investment". This book sets out the current legal and regulatory landscape for impact underwriting and impact investment. Whilst the focus of research and regulatory interventions to date has been on inward impact, in this book it will be argued that, to take positive climate action that supports the Paris Agreement goals and the national and international Net Zero targets, the debate should now move on to considering the positive outward impact the insurance industry can make, and how we can create a legal environment to facilitate this. The book puts forward the case for a new vision of the role of the insurance industry as climate action enablers and makes proposals for insurance products and risk transfer and loss resilience structures that can support policyholders in their transition to a Net Zero economy. The audience for this book will include legal practitioners, insurance industry professionals, financial and insurance regulators, policymakers and interested academics"--




Insurance Systems in Times of Climate Change


Book Description

Natural disasters such as large-scale flooding are on the increase. Climate change directly affects our basis of existence. This includes residential buildings, and commercial and industrial properties. The author highlights the requirements that will have to be met by a protection system for buildings in the future. Insurance against natural hazards lies at the heart of such a system. The insurance systems of Germany, France, Spain, Switzerland and the USA are presented. The author explains what type of insurance system is best suited to meet the challenge of climate change. The starting point of the legal section is statutory insurance with a monopoly. The question of whether such insurance is compatible with Swiss and EU law is examined. Keywords in this respect are economic freedom, competition, services of general interest and universal service.




Climate Change and Insurance


Book Description

Climate change has become a significant issue in scientific, political, and legal circles, and this may have profound implications for the insurance industry. More frequent catastrophic events such as floods, droughts, fires, hurricanes, and the like, whether or not attributable to climate change, challenge the insurance industry's abilities to measure and predict risk.




Global Climate Change and U.S. Law


Book Description

This comprehensive, current examination of U.S. law as it relates to global climate change begins with a summary of the factual and scientific background of climate change based on governmental statistics and other official sources. Subsequent chapters address the international and national frameworks of climate change law, including the Kyoto Protocol, state programs affected in the absence of a mandatory federal program, issues of disclosure and corporate governance, and the insurance industry. Also covered are the legal aspects of other efforts, including voluntary programs, emissions trading programs, and carbon sequestration.




Criminology and Climate


Book Description

This book explores the role of the insurance industry in contributing to, and responding to, the harms that climate change has brought and will bring either directly or indirectly. The Anthropocene signifies a new role for humankind: we are the only species that has become a driving force in the planetary system. What might criminology be in the Anthropocene? What does the Anthropocene suggest for future theory and practice of criminology? Criminology and Climate, as part of Routledge’s Criminology at the Edge Series, seeks to contribute to this research agenda by exploring differing vantage points relevant to thinking within criminology. Contemporary societies are presented with myriad intersecting and interacting climate-related harms at multiple scales. Criminology and Climate brings attention to the finance sector, with a particular focus on the insurance industry as one of its most significant components, in both generating and responding to new climate ‘harmscapes’. Bringing together thought leaders from a variety of disciplines, this book considers what finance and insurance have done and might still do, as ‘fulcrum institutions’, to contribute to the realisation of safe and just planetary spaces. An accessible and compelling read, this book will appeal to students and scholars of criminology, sociology, law and environmental studies and provides readers with a basis to analyse the challenges and opportunities for the finance sector, and in particular the insurance industry, in the regulation of climate harms.




Loss and Damage from Climate Change


Book Description

This book provides an authoritative insight on the Loss and Damage discourse by highlighting state-of-the-art research and policy linked to this discourse and articulating its multiple concepts, principles and methods. Written by leading researchers and practitioners, it identifies practical and evidence-based policy options to inform the discourse and climate negotiations. With climate-related risks on the rise and impacts being felt around the globe has come the recognition that climate mitigation and adaptation may not be enough to manage the effects from anthropogenic climate change. This recognition led to the creation of the Warsaw International Mechanism on Loss and Damage in 2013, a climate policy mechanism dedicated to dealing with climate-related effects in highly vulnerable countries that face severe constraints and limits to adaptation. Endorsed in 2015 by the Paris Agreement and effectively considered a third pillar of international climate policy, debate and research on Loss and Damage continues to gain enormous traction. Yet, concepts, methods and tools as well as directions for policy and implementation have remained contested and vague. Suitable for researchers, policy-advisors, practitioners and the interested public, the book furthermore: • discusses the political, legal, economic and institutional dimensions of the issue• highlights normative questions central to the discourse • provides a focus on climate risks and climate risk management. • presents salient case studies from around the world.




Research Handbook on Climate Change Adaptation Law


Book Description

ÔThe present book is a much needed publication on climate change adaptation law. It is a collaborative effort of distinguished experts from around the world and adopts a holistic approach to adaptation, taking a global view, with a focus on the international, the regional and domestic levels. This publication has a wealth of information, illustrating the issue of adaptation with many examples from all over the world. One of the most valuable aspects of this book, ensuring that it will have a lasting value, is that it discusses all fields of law, which are vulnerable to climate change (such as tort law; insurance law; disaster law; marine law; water law; planning law; construction law; environmental law; forestry; energy law; biodiversity). The book also includes general issues of adaptation, such as climate justice and the relationship between adaptation and development; human rights in the context of migration law and compensation. It is written in a very accessible language and will be an indispensible reading for both scholars and practitioners. The content and structure of the book make it a definitive book on climate adaptation.Õ Ð Malgosia Fitzmaurice, Queen Mary, University of London, UK ÔThis book indeed will become the definitive text on climate adaptation law for the coming years! From a global law perspective, Verschuuren and his team analyse in an outstanding way the legal challenges and barriers to climate change adaptation and how they can be overcome. Just like climate change, this book is here to stay!Õ Ð Kurt Deketelaere, KU Leuven/League of European Research Universities (LERU), Belgium This timely Research Handbook discusses the challenges brought about by the need to adapt to a changing climate. It considers how adaptation is necessary to address impacts resulting from the warming of the EarthÕs atmosphere which is already unavoidable due to past emissions. With adaptation policies around the world still in their infancy, the book examines the legal challenges and barriers to climate change adaptation and how can they be overcome. It brings together expert contributors to consider topics ranging across tort and insurance law, disaster law, water law, marine law, planning law, biodiversity law, green buildings, pollution control, displacement, agriculture and energy. With its transnational and multilevel approach, the Research Handbook on Climate Change Adaptation Law will be an essential resource for academics in the field of climate change policy and law, policymakers and other government officials working on climate change, and NGOs working in the field of climate change.







Climate Change Liability and Beyond


Book Description

Climate change and its adverse impacts on nature and human society are clearly felt. Who should bear the responsibility? Should anyone be held liable for grave losses and damages related to climate change? In what way and to what extent can these issues be addressed in legal mechanisms both globally and locally? Will an international liability regime an ultimate solution? Are courts ready for and capable of resolving these disputes that find intricacy of law, policy and science? To shed light on these issues, this book is structured with four main themes on the discussions of climate change liability and related mechanisms. They are: 1) state liability and responsibility, 2) climate change litigation, 3) climate change liability and alternatives, and 4) dispute resolution and remedies. Reflections on the concepts of liability/responsibly/accountability have provided for nuanced understandings of their functional dynamics in climate change governance. Our findings also suggest that International and domestic courts have become a vital player in attribution or distribution of climate change liability. In addition to formalistic rights discourse and rigid liability regime, a few alternatives such as carbon market, insurance, mediation or soft law are also finding their ways to ensuring sustainability of climate change governance.




Climate Change and Existing Law


Book Description

This report surveys existing law for legal issues that have arisen, or may arise in the future, on account of climate change and government responses thereto. At the threshold of many climate-change-related lawsuits are two barriers—whether the plaintiff has standing to sue and whether the claim being made presents a political question. Both barriers have forced courts to apply amorphous standards in a new and complex context. Efforts to mitigate climate change—that is, reduce greenhouse gas (GHG) emissions—have spawned a host of legal issues. The Supreme Court resolved a big one in 2007—the Clean Air Act (CAA), it said, does authorize EPA to regulate GHG emissions. Quite recently, a host of issues raised by EPA's efforts to carry out that authority were resolved in the agency's favor by the D.C. Circuit. Another issue is whether EPA's “endangerment finding” for GHG emissions from new motor vehicles will compel EPA to move against GHG emissions under other CAA authorities. Still other mitigation issues are (1) the role of the Endangered Species Act in addressing climate change; (2) how climate change must be considered under the National Environmental Policy Act; (3) liability and other questions raised by carbon capture and sequestration; (4) constitutional constraints on land use regulation and state actions against climate change; and (5) whether the public trust doctrine applies to the atmosphere. Liability for harms allegedly caused by climate change has raised another crop of legal issues. The Supreme Court decision that the CAA bars federal judges from imposing their own limits on GHG emissions from power plants has led observers to ask: Can plaintiffs alleging climate change harms still seek monetary damages, and are state law claims still allowed? The one ruling so far says no to both. Questions of insurance policy coverage are also likely to be litigated. Finally, the applicability of international law principles to climate change has yet to be resolved. Water shortages thought to be induced by climate change likely will lead to litigation over the nature of water rights. Shortages have already prompted several lawsuits over whether cutbacks in water delivered from federal projects effect Fifth Amendment takings or breaches of contract. Sea level rise and extreme precipitation linked to climate change raise questions as to (1) the effect of sea level rise on the beachfront owner's property line; (2) whether public beach access easements migrate with the landward movement of beaches; (3) design and operation of federal levees; and (4) government failure to take preventive measures against climate change harms. Other adaptation responses to climate change raising legal issues, often property rights related, are beach armoring (seawalls, bulkheads, etc.), beach renourishment, and “retreat” measures. Retreat measures seek to move existing development away from areas likely to be affected by floods and sea level rise, and to discourage new development there. Natural disasters to which climate change contributes may prompt questions as to whether response actions taken in an emergency are subject to relaxed requirements and, similarly, as to the rebuilding of structures destroyed by such disasters just as they were before. Finally, immigration and refugee law appear not to cover persons forced to relocate because of climate change impacts such as drought or sea level rise.