The American Insurance Association said it has written to state insurance regulators asking them not to mandate reporting by insurers on their exposure to climate risk.

AIA in a letter to the National Association of Insurance Commissioners said that rather than requiring reporting, the NAIC should instead closely monitor voluntary reporting already being done by the industry, as well as reporting already required by the Securities and Exchange Commission.

"Regulators acknowledge through statements that a lot of activity is occurring and is evolving very rapidly in the area of climate risk disclosure," said David Snyder, AIA vice president and assistant general counsel.

"We see no need in the NAIC taking further action on fashioning its own, and potentially duplicative and burdensome, disclosure process," explained Mr. Snyder in a statement.

The letter also urges the NAIC and regulators to support risk-based pricing and industry efforts to improve land use, introduce new "green" insurance products and strengthen building codes.

"Indeed, sharing the insurance industry's expertise and ongoing commitment to property loss mitigation and personal safety is one of the most critical roles regulators and the industry can play in helping society adapt to any potential risks posed by climate change," said Mr. Snyder.

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Don't Mandate Climate Reports, AIA Tells NAIC

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