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'The Mother of All Risks': Insurance Giants Call on G20 to Stop Bankrolling Fossil Fuels


#1

'The Mother of All Risks': Insurance Giants Call on G20 to Stop Bankrolling Fossil Fuels

Lauren McCauley, staff writer

Warning that climate change amounts to the "mother of all risks," three of the world's biggest insurance companies this week are demanding that G20 countries stop bankrolling the fossil fuels industry.

Multi-national insurance giants Aviva, Aegon, and Amlin, which together manage $1.2tn in assets, released a statement Tuesday calling on the leaders of the world's biggest economies to commit to ending coal, oil, and gas subsidies within four years.


#3

This is what it will take to make any changes, big corporations losing money. So be it.


#4

Good link thanks, web site title says a lot, "Capitalism and Climate". The fossil fuel billionaires will fight to get the last drop of oil out of mother earth even when it means global disasters like we have never seen.
We don't have to and must not let them drag us down that dismal road.


#5

Welcome to the party. Better late than never I guess, and it should be noted, these are not US corporations. Aviva and Amlin are British, and Aegon is Dutch. Aviva and Aegon include health insurance, which really increases their risk way beyond property damage, pretty much the focus of the article. Once famine, flooding and disease becomes the new normal, property damage will be the least of our worries. (My cursory research found Amlin covering only commercial enterprises.)


#6

I'm pretty sure that the F in FIRE has some interesting derivatives developed to short the I in a BIG way.

;;;
Whoa the games people play now
Every night and every day now
Never meaning what they say now
Never saying what they mean

And they wile away the hours
In their ivory towers
Till they're covered up with flowers
In the back of a black limousine
...

-Joe South


#7

Like Jill Stein says. This is about whether or not we will even have a future.
Stein/Baraka 2016


#8

This is good news but what does Hillary think about it?
Oh, that's right none of us may ever know because Hillary is stonewalling and trying to run out the clock by not being forced to answer that or any other question before the election.
Which is why she hasn't held a news conference for 150 days now.


#9

This is great! Eliminating subsidies should have happened a long time ago. And this is just step one before the house of cards comes down.

Big banks have been ignoring climate change - evidenced by the multi-billion dollar loans they have been making for dirty fossil fuel projects. (Those up-front fees are just so enticing.) But soon we will see the ultimate 'clash of the titans' when Big Insurance and Big Banking go head to head. As SiouxRose would say:

Watch for falling debris!


#10

The problem with selling insurance these days is that you're expected to base future insurance losses on past losses. That no longer works. Insurance companies are going to have larger and larger losses.

Worse for them, too many of the losses are going to come at once. They're going to have boom decades, raiders are going to buy them up because they have to maintain huge reserves, and then suddenly the hurricane hits and they're worried about bankruptcy. In sum, the private insurance industry becomes less sustainable. We may need to un-privatize it. (I heard that "Good Riddance" from the back row!)


#13

Thank you for the reference.

I recently posted that a client leaked me an insurance document around l994 that already--at that time--showed figures for what changes to climate would mean to the insurance industry.

And don't forget, The Pentagon's own study identifies climate-changes and the chaos that will ensue as a chief cause of future destabilization (i.e. a threat).

A disembodied soul viewing earth at this time, and/or one of our space brothers or sisters HAS to see that those with power in the names of freedom, peace-keeping, and prosperity are robbing citizens (and all sentient life) of a future!

It's true that Jill Stein, as a woman and as a doctor sees through the madness and understands the necessary restorative protocols. The problem is that unless more empowered entities MUTINY, the oligarchy is still in charge and Big Oil sits under one of its crowns.


#14

It is hard to think of a more obvious action to fight climate change than ending all subsidies to fossil fuel companies. And another obvious action it to put a price on carbon dioxide emissions. Of course, in the US most elected leaders of one of the two major political parties actually deny that climate change is occurring or if they acknowledge it all that emissions from human sources are the main cause. Clearly it is hard to fight climate change when the validity of mountains of scientific evidence is being denied. And of course one of the deniers is the Republican presidential candidate Donald Trump who claims climate change is a hoax.


#15

The oily oligarchs will fight for their subsidies to the bitter end, as much of their wealth/collateral is still under ground. It is difficult to get a loan on your house after it burns to the ground.


#16

But even when the last human being disappears from the Planet Earth, the Koch Brothers will have a nuclear powered computer depositing vast amounts of money into their tax free bank account.


#17

My area is currently "under the gun" insofar as a tropical storm is due to blow in. Many of us live in mobile homes and if winds do exceed 50 MPH it could be serious here.

As I've been relaying for years, the balance is off. What's happened in my area is that since late May temperatures by day have NEVER gone under 91-degrees and it's been hot as hell with heat indexes over 100 daily. I have to constantly water plants because it rains once or twice a week, if that. And in this heat, plants need more.

What I've noticed--and this is by no means limited to my area--is that when there is a "rain deficit," our out-of-balance, profoundly stressed out Earth Mother lets loose in torrents. So it's either sink or swim, floods or droughts.

And THAT is becoming the "new norm."

Florida has a state insurance plan for properties the Big Names refuse to cover. And since there's been no major hurricane here for 10+ years, one would think the State Fund is super thick with capital. But Republican Governors, in particular, have a way of using funds for other things by shifting laws around.

The point is: If a large enough weather event hit I would not be at all surprised if my insurance company (that state-run one) would not declare bankruptcy and tell homeowners to take a long walk.

That's the business protocol that makes for hostile take-overs, after all. One chump who knows a banker walks in with a guaranteed loan and buys out the company from its rightful owners, fires the employees, sells off the valuable infrastructure any assets that aren't nailed down, and then declares bankruptcy and walks away.

THAT is the model today.

Power has NO accountability--not in terms of vast sums lost in fighting idiot wars, not in how the loose regulatory framework made for the financial implosion of 2008 and the only "remedy" was to hand the criminals MORE of citizens' assets... add in the way Oil Barons, Frackers, Coal companies ruin nature and peoples' lives and livelihoods and the unbroken chain of impunity glows darkly.


#18

So you would say that the profit motive--the Capitalist economic model--is the root of all evil?
If so, then we agree.


#19

Have you seen any of the short documentaries on You Tube that show the kinds of underground bunkers the rich already have along with many miles of tunnel networks that are quite deep beneath the earth's surface? Word is, there are food and energy supplies shored up there to protect the 1% (and their government tools) from either World War III strikes, a planetary pole shift, or other sets of climate-weather events that bode poorly for life on the surface.


#20

Many of my friends living in Northern California have lost their house insurance because of the dangers of forest fires. Millions of trees are dead and dying. Climate Change is coming on fast. Planet Earth does not care about our political posturing or small steps to save ourselves. Planet Earth is following the universal laws of physics. Our happy days of happy motoring and meat eaters are coming to an end!


#21

I don't know why you engage me. You know how I feel about you.

You are incapable of understanding what I believe chiefly because you cling to a linear mind (and mindset) that can only process linear equations such as "this or that."

The Circle (which is the foundation of what I believe in) cannot be squared nor does it conform to the linear constructs that so many men--due to their linear "members"--mistake for truth.


#22

You can't say that I didn't try.


#23

one of the negative side effects of our western capitalistic paradigm is that governments protect first the profits of mega-corporations. remember the bailouts after the 2008 crash? in essence governments loyal to the imf privatise profits and socialise costs.

According to a recent report by the International Monetary Fund (IMF), fossil fuel companies receive an estimated $5.3tn a year in global subsidies—a figure that included, as the IMF put it, the "real costs" associated with damage to the environment and human health that are foisted on populations but not paid by polluters.

in other words as long as these too-big-to succeed monopolies find any blood to suck from the people their profits remain sacrosanct. today at the tip-top of our food chain stand the few financial and insurance institution who create money out of thin air in order to loan that money for interest. although both the principle and interest on this eternally increasing debt can never be repaid, it looks good on the p and l statement. if in a sudden attack of sanity congresses and parliaments were to forgive all loans, we might begin to create an economy that works for all. however the debt to Mother Nature will require several generations to repay.