CEA welcomes EC White Paper on adaptation to climate change

The CEA, the European insurance and reinsurance federation, welcomes the conclusions of the White Paper published today by the European Commission on adapting to climate change. The White Paper sets out a framework for reducing the EU's vulnerability to the impacts of climate change.

"The CEA is pleased that, despite the difficult economic times, climate change remains high on the European agenda. Urgent action is required to reduce the losses that result from weather-related disasters," said Michaela Koller, CEA director general. "The Commission's efforts to build a more resilient society through adaptation measures need to go hand in hand with the EU economic recovery package."

"The CEA supports the Commission's two-pronged approach of introducing measures that favour the building of a more innovative and competitive European economy while at the same time working to ensure that public funding and state aid do not foster maladaptation," said Koller.

The CEA especially welcomes the Commission's conclusion that public-private partnerships should be promoted to ensure effective adaptation. "Certain effects of climate change are best managed by an active cooperation between public authorities and insurers at both the national and European level. Active public-private partnerships can help to improve insurability, thus facilitating wider insurance coverage," said Koller.

The CEA also welcomes the knowledge platform that the Commission wishes to set up to develop and exchange information on the impact of climate change. This is especially important for insurers as they develop the insurance solutions that are required for the new risks resulting from climate change, but is also important if other private and public stakeholders are to take appropriate action.

The CEA has always supported and continues to call for voluntary insurance solutions wherever possible, as these have shown themselves to be more efficient than compulsory cover, especially with regard to raising risk awareness and furthering adaptation. "Whatever the insurance solution, it needs to be linked to loss prevention/risk management efforts," said Koller.

The CEA will cooperate with the Commission on the design and implementation of appropriate solutions. "Europe's insurers will continue to contribute whenever and wherever possible to initiatives that promote adaptation to climate change," pledged Koller.

The CEA is the European insurance and reinsurance federation. Through its 33 member bodies, the national insurance associations, the CEA represents all types of insurance and reinsurance undertakings, eg pan-European companies, monoliners, mutuals and SMEs. The CEA, which is based in Brussels, represents undertakings that account for approximately 94% of total European premium income. Insurance makes a major contribution to Europe's economic growth and development. European insurers generate premium income of EUR 1,122bn, employ one million people and invest more than EUR 7,200bn in the economy.