State insurance firms bankroll fossil fuel projects

Global warming poses an existential risk to humanity and Connecticut companies such as The Hartford continue to provide insurance for oil and gas projects that are contributing to the climate crisis.

As a scientist, I devoted my career to discovering antiviral drugs in the pharmaceutical industry, and later teaching and carrying out research at the University of Connecticut. For decades, you could usually find me in the lab, the classroom or my office. Or, if the weather was good, I might take a few hours to go cycling on the quiet roads of Eastern Connecticut.

However, these days I am devoting my energy to combating climate change, and on Monday, Feb. 26, I plan to join other concerned citizens for a demonstration outside of The Hartford insurance company.

Here’s why. Global warming poses an existential risk to humanity and Connecticut companies such as The Hartford continue to provide insurance for oil and gas projects that are contributing to the climate crisis.

The science is clear: our climate is warming due to human activity. Burning fossil fuels releases carbon dioxide, a greenhouse gas that traps and radiates heat that would otherwise escape into space. We are already seeing the effects of global warming in extreme weather events, sea level rise and wildfires. Average global temperatures have increased by about 1.2degree Celsius and alarmingly, are on track to reach 1.5-degree Celsius warming in the next decade. Under the 2015 Paris Agreement, world leaders committed to limiting climate change to 1.5-degree Celsius, and climate scientists warn us that exceeding this level of warming will result in unprecedented droughts, floods, species extinctions and crop failures that will tax our ability to adapt. To meet this target we need to immediately stop developing fossil projects.

Insurance companies play a dual role in fueling the climate crisis by underwriting coal, oil and gas projects and by investing in fossil fuels companies. Without insurance, most new fossil fuel projects cannot proceed and existing ones have to close. As the insurance capital of the world, Hartford is home to two companies, the Hartford and Travelers, which are major supporters of fossil fuel projects. A third Connecticut company, W.R. Berkley, is among the top 10 insurers of oil and gas projects worldwide. Insure our Future, a global coalition of environmental and consumer protection organizations, issues an annual scorecard rating 30 of the largest insurance and reinsurance companies based on their fossil fuel policies and practices. All three of the Connecticut companies rank among the worst on the list based on their underwriting and investment in oil and gas. Coal is the most greenhouse gas-intensive fossil fuel and most of the insurance companies on the list, including The Hartford and Travelers, have restricted their underwriting of coal projects. W.R. Berkley has not.

Insure our Future has called for a global week of action from Feb. 26 to March 3 to hold the insurance industry accountable for its role in the climate crisis. As part of this action, we are focusing on The Hartford, recently identified in a report as an underwriter of liquified fossil gas (LNG) terminals in the U.S. Gulf coast region. Although LNG has been touted as a transitional fossil fuel that produces less climate pollution than coal, a recent study found that the total greenhouse gas emissions of LNG are significantly greater than coal when accounting for the entire life cycle. Furthermore, LNG terminals release pollutants that threaten the health of nearby communities in Texas and Louisiana.

Recently, The Hartford announced they will no longer write new homeowners policies in California, joining a list of insurance companies that are withdrawing coverage or drastically increasing premiums in regions most affected by climate change. Think about this: insurance companies derive income from underwriting and investing in fossil fuels companies responsible for climate change. Now, they are abandoning customers whose homes are most at risk from wildfires, adverse weather events and rising sea levels associated with global warming. We should expect better from a company that has been named one of the most ethical companies in the world. Join us at 11:30 a.m. Feb. 26 at The Hartford to demand change.

Jim Cole of Andover is an emeritus professor of Molecular and Cell Biolog y at UConn. He is a member of Third Act Connecticut, an advocacy organization campaigning for a sustainable society and planet.