When you think of the global challenges we are facing and the myriad of inspiring technologies that are being invested in, developed, and deployed where do insurance companies fit in?
It wasn’t something that immediately came to my mind, but looking deeper, there is something particularly exciting about this.
Insurance in the era of accelerating climate crises
Axios recently reported that the time between billion dollar climate crises has now reduced from an average of 82 days, to just 18 days. Meaning every 18 days there is a climate catastrophe that costs societies, companies and governments in excess of $1bn to deal with.
The increasing frequency and severity of climate catastrophes coupled with other macro-economic and political events (wars, inflation) is leading to a period of significant difficulty for the insurance, and reinsurance sectors.
With this in mind, the insurance industry should be thinking not just about how to mitigate their immediate exposure to these increasing risks, but also how to develop the business to provide support for those companies trying to tackle the bigger problem of climate change at large.
And, indeed it is!
In this article on Well, That’s Interesting Tech! we look at the role of a new type of climate insurance that could help accelerate carbon removal projects by a factor of at least 10!
Speaking with us on this topic:
“Our goal is to achieve one gigatonne CO2 impact before 2050. To achieve this we can’t go slow! That’s just one of the reasons we love what Natalia, Paul and the team at Kita are doing. By reducing carbon removal purchasing friction, and increasing capital flow into the projects they stand to accelerate the entire market by 10x, if not more.” — Peet Denny, FOUNDING PARTNER, CLIMATE.VC
“What we kept hearing was around shortage of supply. The barriers to entry are huge, both for developers and buyers. Whether you’re selling or buying, because of the shortage of supply, money needs to be put down upfront to finance the projects.” — Natalia Dorfman, CO-FOUNDER, KITA
Discover more
Read the full article to find out more and discover how this relates to the great 15th century explorers.
