August 31, 2021

Climate-related risks front and center for US Treasury

The Federal Insurance Office, established within the US Department of the Treasury, is soliciting public comment on the insurance sector and climate-related financial risks.  According to the Treasury’s August 31, 2021 announcement, the FIO’s initial priorities will be to increase its engagement on climate-related issues, to leverage the insurance sector’s role in the achievement of climate goals, to assess gaps in climate-related regulation of insurers, and to assess significant disruptions that could arise for insurance coverage in markets that are particularly vulnerable to the impacts of climate change. 

The FIO was established under Title V of the Dodd-Frank Wall Street Reform and Consumer Protection Act, and is empowered to monitor the insurance sector and the quality of service it provides to traditionally underserved communities.  The FIO’s request for information and comments is published in the Federal Register here.  Interested parties have 75 days to submit comments.

US Dept of the Treasury press release