Lloyd’s joins Net Zero Insurance Alliance

Lloyd’s has announced it is joining the UN-convened Net Zero Insurance Alliance (NZIA), a cross-industry collaboration to mitigate and manage the impacts of climate change and support the speed of the transition to net zero.

In joining the alliance, the Lloyd’s Corporation commits to transition all of its operational and attributable greenhouse gas emissions to net-zero by 2050, at the latest. It will also set, publish, and report against, interim science-based targets every 5 years to drive near term action.

“There is an enormous opportunity for the global insurance industry to step up and support our customers across multiple industries as they transition to a sustainable future,” said Rebekah Clement, sustainability director at Lloyd’s.

In addition to setting out our own commitments to help accelerate this process through the Net-Zero Insurance Alliance, Lloyd’s also has a unique role to play in helping individuals, companies and communities across the world increase their resilience, innovate and transition to a low carbon economy.”

By joining the Net-Zero Insurance Alliance, convened by the UN’s Principles for Sustainable Insurance Initiative (PSI), Lloyd’s also becomes part of the Glasgow Financial Alliance for Net Zero (GFANZ), the UN-backed group for financial institutions to make credible net zero commitments through the UN’s Race to Zero.

GFANZ now includes over 250 financial firms from across the entire financial system, which are responsible for assets in excess of $88 trillion and are committed to aligning capital with net zero.

“Achieving net-zero emissions will require transformation across the entire economy. Insurance will be absolutely critical to enabling that transition and to building resilience to climate shocks,” said Nigel Topping, UN high-level climate action champion.

”I welcome the ambition from Lloyd’s in leading the Lloyd’s marketplace to a net zero underwriting position by using their influence with market participants to full effect. Industry collaboration will also be essential to turning commitment into implementation and achieving real world outcomes. We have no time to lose.”