aerial view of bridge on dam

Climate transition planning survey

Key Findings

Key challenges

The top three challenges reported by respondents are:

  • lack of clear policy guidance and knowledge of transition plans.
  • difficulty in building a viable business case, with other strategic priorities taking precedence.
  • limited data availability and insufficient analysis capabilities, particularly regarding emissions.

Additional challenges mentioned include difficulties in calculating underwriting emissions, a lack of stakeholder buy-in, and limited resources to carry out the necessary activities.

Key solutions

While opinions on ideal solutions varied, two common suggestions emerged:

  • access to a central database and tools to support data collection
  • the need for more detailed guidance and tools, specifically tailored to the insurance industry.

Additional requests included greater stakeholder buy-in, more training opportunities, and a tool to assess the credibility of clients’ transition plans.

Key takeaways

Get prepared

  • transition plans are here to stay. Firms are increasingly aware of regulations like CSRD, which require evidence of a transition plan. It’s essential to begin preparing now.
  • conduct a gap analysis to identify existing measures and create an action plan to address any gaps in your transition strategy.
  • improve data availability and processes. Transition plans rely on solid data, so begin collecting and organizing data early to avoid challenges down the line.

Use existing frameworks

  • a common concern among respondents is the lack of clear policy or guidance.
  • take the time to understand available frameworks and guidance and determine how best to apply them to your business strategy and sustainability initiatives.

Engage key stakeholders

  • engage senior management/executives. Securing early buy-in from key stakeholders helps shape the strategic direction of the business, including setting priorities.
  • establish strong governance and processes, ensuring clear allocation of responsibilities.
  • involve underwriters by educating them on setting targets and helping to craft an underwriting strategy that aligns with the organisation’s transition plan.

Let's talk

We support our clients’ climate journey by:

  • providing an overview of the existing frameworks and initiatives, as well as the current market and industry insights
  • assisting in the development of their transition plan
  • reviewing their transition plan and providing informal and/or formal feedback.