Insights from the mandatory insurer climate risk disclosure survey in the United States

Abstract

We document the implementation of the Insurer Climate Risk Disclosure Survey in the United States and provide an overview of its historical development since 2009. By 2020, the Survey is mandatory in 15 states or jurisdictions for insurers that meet the premium threshold. We find that the coverage of the Survey has reached 80% of Property & Liability premiums and close to 100% of life premiums, but the majority of US insurers—especially small or less diversified insurers who are most vulnerable to climate risk—are not covered by this survey. We highlight research opportunities exploiting the unique institutional setting of the Survey while also documenting the caveats of the Survey.