|FOR IMMEDIATE RELEASE
April 22, 2022
CONTACT: Jim Carson, Communications Director
Connecticut Insurance Department Seeks Public Comment on
Proposed Industry Bulletin on Guidance for Managing
the Financial Risks of Climate Change
The Connecticut Insurance Department (CID) has opened a public comment period on a proposed bulletin which will provide guidance to insurers in how to manage the financial risks associated with climate change.
The proposed bulletin details the Department’s expectations for domestic insurers and their taking a strategic approach to managing climate risks that considers both current and future risks and identifies the actions necessary to manage those risks. To review the proposed bulletin and submit comments online, click here.
“The risks associated with climate change are significant. Insurers must adapt to these risks to ensure solvency. The Department plays a critical role in protecting consumers and will continue to work with insurers on climate change issues,” said Commissioner Andrew N. Mais. “I look forward to reviewing the public’s comments and suggestions on how best to manage the industry’s risk associated with climate change.”
The bulletin, once finalized, will be consistent with the objectives of Connecticut Public Act 21-2 and is based upon ongoing dialogue with the insurance industry over the past few years along with initiatives taken by the National Association of Insurance Commissioners (NAIC) and other state insurance regulators.
Once the comment period ends on May 23, 2022 and the public’s suggestions are reviewed, a final bulletin will be issued to all insurers licensed by the Department.
The bulletin would direct insurers to:
- Integrate the consideration of climate risks into its governance structure at the group or insurer entity level.
- Incorporate climate risks into the insurer’s existing financial risk management.
- Appropriately disclose its climate risks and engage with the Task Force on Climate-Related Financial Disclosures, the NAIC Climate Risk Disclosure Survey, and other initiatives when developing its disclosure approaches.