Lloyd’s urged to drop policies for fossil fuels
LLOYD’S of London faces calls to protect the climate by axing insurance for fossil fuel projects to as it reopens its underwriting room today.
Insurers at the 334-year-old market have provided cover to projects including the proposed Adani Carmichael coal mine in Australia and the Trans Mountain tar sands pipeline in Canada.
Financial services firms face growing pressure to cut ties with the fossil fuel industry by refusing to offer insurance and ending investments in projects and firms that are big polluters.
Zurich, which is not part of the Lloyd’s market, reportedly decided in July not to renew its cover for the Trans Mountain pipeline. The project is opposed by environmental campaigners and some indigenous groups.
At least 19 insurers adopted policies restricting the cover they provide to the coal industry by May 2020, according to research from climate campaign group Insure our Future. Lindsay Keenan, of Insure our Future, said: “Lloyd’s has both a moral imperative and a long-term self-interest to act as society’s risk manager.”
A Lloyd’s spokesman said: “We take climate change extremely seriously.”
Lloyd’s began excluding coal from its own central mutual investment fund in April 2018.