11 February 2026

Climate and Sustainability roundup: Stark warnings cut through after early year calm

In last month's round-up, I posited that climate and sustainability themes might slip down the agenda in 2026 as big-ticket news items steal the spotlight.

And that might be the case given the low number of climate/sustainability stories making headlines in the media over the last month.

However, two big warnings from the industry show that climate and sustainability risks are still at the forefront of insurers' mind.

Half-way through last month, a report from the Institute and Faculty of Actuaries (IFoA) and the University of Exeter, warned that climate risks threaten "planetary insolvency".

Specifically, it said policymakers and financial institutions are underestimating climate risks that could undermine the global financial system.

Also, amidst the noise of the World Economic Forum's (WEF) annual meeting in Davos, the WEFs global risk rankings were released. Geopolitical confrontation topped the short-term rankings, but the top three long-term risks were extreme weather events, biodiversity loss and critical changes to earth systems.

The pressure to focus on these topics does not relent from campaigners, with protestors disrupting Fitch Ratings London insurance conference on 22 January. The same activists targeted S&P Global Ratings' European insurance conference towards the end of last year.

In the UK, pressure is also continuing on the regulatory front as firms scramble to get ready for the Prudential Regulation Authority's tougher climate risk rules (SS5/25). A survey by consultancy Crowe UK suggests much of the market remains in catch-up mode to comply with the rules ahead of the June deadline.

Lastly, there was positive news from the insurance sector sustainability forum, ClimateWise, whose members have on average improved their performance year-on-year against a series of principles on climate transition, disclosure and engaging stakeholders. Meanwhile, French re/insurers Scor and Axa have created a partnership between their respective Lloyd's of London syndicates to advance ecological restoration.