An estimated $163bn of assets are underinsured in the world today, leaving an exposure gap that poses a significant threat to livelihoods and global prosperity, according to new research from Lloyd’s and the Centre for Economics and Business Research (CEBR).
In this consultation paper (CP), the Prudential Regulation Authority (PRA) seeks views on a draft supervisory statement (SS) on banks’ and insurers’ approaches to managing the financial risks from climate change (see Appendix).
Every year natural and man-made catastrophes cause a distressing loss of lives and considerable economic costs around the world. Both industrialised and developing countries are affected, and surprisingly, both are also materially underinsured. This is the 3rd edition of the Closing the Protection Gap – Smart Solutions for the Public Sector, which outlines various insurance based tools and approaches proven to help governments, regions and cities, and the constituents they represent, to become more resilient.
At USD 144 billion, the insured losses from natural and man-made disasters worldwide in 2017 were the highest ever recorded in a single year. The main driver of the high insured losses was an active hurricane season in the North Atlantic. In particular, three major hurricanes -- Harvey, Irma and Maria left a trail of destruction across the Caribbean Islands, Puerto Rico, Texas and parts of western Florida. In other major disasters, wildfires ravaged parts of California in particular, as well as regions outside of the US.