EconPapers    
Economics at your fingertips  
 

Awareness of climate risks and opportunities: empirical evidence on determinants and value from the U.S. and European insurance industry

Nadine Gatzert () and Philipp Reichel ()
Additional contact information
Nadine Gatzert: Friedrich-Alexander University Erlangen-Nürnberg
Philipp Reichel: Friedrich-Alexander University Erlangen-Nürnberg

The Geneva Papers on Risk and Insurance - Issues and Practice, 2022, vol. 47, issue 1, No 2, 5-26

Abstract: Abstract In this paper, we study the awareness of European and U.S. insurance companies of climate-related risks and opportunities using a respective indicator from the Refinitiv Eikon database that uses reporting data. Based on this, we examine the determinants and value of the awareness of business risks and opportunities resulting from climate change, which, to the best of our knowledge, has not been done so far, despite its increasing and specific relevance for the insurance industry. We use a logistic regression analysis as well as a linear fixed effects model for a 10-year period from 2009 to 2018. Our results show that larger European insurers are significantly more likely to exhibit such awareness. When controlling for subsectors, property & casualty insurers tend to be aware of the risks and opportunities resulting from climate change. Moreover, when using the linear fixed effects model, we find a statistically significant positive value effect on Tobin’s Q.

Keywords: Climate change; Climate risks and opportunities; Insurance industry; Firm value (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://link.springer.com/10.1057/s41288-021-00227-5 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:gpprii:v:47:y:2022:i:1:d:10.1057_s41288-021-00227-5

Ordering information: This journal article can be ordered from
http://www.springer.com/finance/journal/41288/PS2

DOI: 10.1057/s41288-021-00227-5

Access Statistics for this article

The Geneva Papers on Risk and Insurance - Issues and Practice is currently edited by Christophe Courbage

More articles in The Geneva Papers on Risk and Insurance - Issues and Practice from Palgrave Macmillan, The Geneva Association Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2025-03-19
Handle: RePEc:pal:gpprii:v:47:y:2022:i:1:d:10.1057_s41288-021-00227-5