What the growing focus on ESG means for insurers

Table of contents

• Impact of ESG issues
• ESG disclosure requirements
• The UK
• The EU
• The US
• Other likely initiatives
• General considerations regarding disclosure liability
• Opportunities arising from considering ESG and the insurance industry’s response

Article summary

Law360: Lloyd’s of London announced in December 2020 that it would be asking its managing agents to stop accepting new business on certain coal and oil activities from 1 January 2022, and to phase out existing coverage by 1 January 2030. It also announced that it would pioneer setting targets for responsible underwriting and investment to help accelerate society’s transition from fossil fuel dependency. It is not just Lloyd’s making moves in this space. Many key players in the insurance and reinsurance industries, including Zurich Insurance Group AG, AXA SA and Legal & General Assurance Society Ltd, have been vocal and proactive in highlighting how they intend to tackle environmental, social and governance (ESG), issues. James C Scoville is a partner, Clare Swirski is an international consultant and Benjamin Lyon is international counsel at Debevoise & Plimpton LLP consider these issues.