Insurance industry receives a UN guide for plotting a path towards zero carbon emissions

The Forum for Insurance Transition to Net Zero (Fit), a global initiative chaired by the United Nations Environment Programme (UNEP), has launched a comprehensive guide to assist insurers and reinsurers in planning for a net-zero economy.

Established in April 2024, Fit currently boasts over 50 members and aims to bring together insurers, regulators, academics, and civil society to accelerate the green transition. The guide, launched at the Fit's inaugural summit hosted by the European Insurance and Occupational Pensions Authority in Germany, is a significant step towards achieving this goal.

The guide includes real-world examples of leading insurers, reinsurers, and brokers adjusting their underwriting portfolios to support the transition. It provides a checklist to assess the credibility of a transition plan, helping insurers navigate changing requirements for sustainability disclosure and reporting.

The launch of this guide comes at a critical time. Experts have warned that the impact of climate change on insurance markets has been systematically underestimated. This underestimation could have profound implications for financial stability and the sustainability of the risk-sharing services insurance companies provide.

The European Central Bank has echoed these concerns, stating that insurers are at increasing risk from the physical risks of climate change. Similarly, the International Association of Insurance Supervisors stated in April that insurance regulators need to assess climate change risks and integrate them into their supervisory practice.

Butch Bacani, UNEP head of insurance and chair of Fit, emphasised the role of the insurance industry in helping build inclusive, resilient, and sustainable communities and economies. He stated, "The insurance industry can lead in helping build inclusive, resilient, and sustainable communities and economies by underwriting with foresight and accelerating a just transition to a resilient net-zero economy."

The guide builds on the Fit's inaugural report, which was launched at Cop29 in 2024. The report highlighted the need for a coordinated approach to address the risks and opportunities presented by the transition to a net-zero economy. The new guide is a practical tool that will help insurers and reinsurers take concrete steps towards this transition.

The forum for the insurance transition to net-zero in 2024 was founded by the Glasgow Financial Alliance for Net Zero (GFANZ). Fit's work is a testament to the growing recognition of the role of the insurance sector in addressing climate change and supporting a sustainable future.

This page was last updated on July 10, 2025. The guide is a valuable resource for insurers and reinsurers seeking to align their business strategies with the global commitment to a net-zero economy. As the risks and opportunities presented by climate change continue to evolve, the guide will undoubtedly prove to be an invaluable tool in navigating this transition.

Insurance industry receives a UN guide for plotting a path towards zero carbon emissions