How climate change will impact insurers in 2021

Expect a sharp rise in climate change lawsuits against companies and their executive in the coming year, according to Clyde & Co. LLP. (Credit: 24Novembers/Shutterstock.com)

Climate change will create a forked path for insurers in 2021.

On one side, U.S. regulators are expected to increase scrutiny of insurers’ disclosures regarding, and efforts to manage, the potential risk from climate change. Down the other route, regulators are likely to increasingly facilitate the development of innovative products that work to mitigate exposure to climate change risks for prospective insureds, according to Clyde & Co. LLP.