Canadian insurance regulators applaud industry response to climate change position paper

Canadian insurance regulators applaud industry response to climate change position paper | Insurance Business Canada

Insurance News

Canadian insurance regulators applaud industry response to climate change position paper

The collaborative efforts are “encouraging,” says chairman

Insurance News

By
Terry Gangcuangco

The Canadian Council of Insurance Regulators (CCIR) and the Canadian Insurance Services Regulatory Organizations (CISRO) are pleased with the positive response from both insurers and intermediaries to CCIR’s 2023 position paper Climate Change, Natural Catastrophes, and Consumer Awareness.

The document outlines steps for the insurance industry to help Canadians understand the risks of natural catastrophes and the relevant policy coverages.

Since the position paper’s release, CCIR and CISRO have been working closely with the property and casualty insurance sector to implement its recommendations. The Insurance Bureau of Canada and the Insurance Brokers Association of Canada have formed a joint working group to improve practices that help Canadians comprehend how natural disasters could impact their properties.

The industry group’s initial efforts include developing a phased approach to tackle the challenges highlighted in the 2023 position paper. The first phase focuses on enhancing training within the property and casualty insurance sector regarding natural catastrophes and related coverages. Future phases will involve creating tools and resources to support discussions about property risks during the sale and renewal of insurance policies.

CISRO chair Patrick Ballantyne commends these industry initiatives, saying: “CISRO welcomes industry efforts to heighten consumer awareness. Meaningful information on climate change and natural catastrophes is particularly relevant. This proactive approach, we believe, will improve consumer protection.”

In conjunction with these efforts, CISRO designated natural catastrophe coverage as the theme for this year’s National Insurance Awareness Day on June 28. Homeowners were encouraged to review their insurance policies and discuss their coverage needs with licensed insurance professionals to ensure they are adequately protected.

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