Strategic Risk Solutions targets carbon emission risk through partnership
Strategic Risk Solutions Europe (SRS Europe) has introduced a carbon emission risk programme to be run in conjunction with Kenneth Miger of Carbon Risk Solutions.
The programme will initially involve a series of workshops where sustainability directors and risk managers are invited to learn how they can identify, manage and finance the carbon emissions risks their firms face in the transition to the low carbon economy.
Established in 2015, Carbon Risk Solutions identifies how risk management and insurance techniques can be deployed to support the commitments made my corporations to become carbon neutral under the 2015 United Nations Climate Change Conference, held in Paris, France.
In 2016, Carbon Risk Solutions undertook a comprehensive analysis of the impact an unforeseen increase in consolidated carbon emissions might have on a multinationals ambitions to become carbon neutral. From this, a risk identification methodology and and range of insurance-linked solutions were developed, including the use of captives, self-insurance and risk transfer products.
“I am excited to partner with SRS Europe and bring this innovative solution to the market. As a former multinational risk manager, I am acutely aware of the challenges faced by my peers when Executive Management look to their risk department for help on addressing new and emerging risks”, said Kenneth Miger, director of Carbon Risk Solutions.
He continued: “It became apparent early on the importance of building a communication bridge between sustainability and risk management departments. Through our structured workshops, invisible barriers will be removed and solutions realised. By educating and equipping sustainability and risk management departments with the necessary methodology and tools we are confident challenges can be overcome”.
Stuart King, president of SRS Europe, added: “Carbon Risk Solutions has developed a methodology and a range of potential options for multinationals to manage carbon related risks. With our strong network of industry partners and independent global captive management capabilities, we are pleased to partner with Carbon Risk Solutions to bring this program to market and enhance the options available to finance carbon risk. The insurance market has been rather slow to respond to carbon risk transfer solutions for multinationals. We see an opportunity to develop these programs within captives and cells, while the commercial market develops and becomes more comfortable with this emerging risk.”