Following the news that insurance group Lloyd's of London has issued a warning to its members to take global warming more seriously, environmental activists Friends of the Earth has declared that they are "surprised" by the announcement.
Lloyd's chairman Lord Levene recently said that last year's hurricane season was more costly to the insurance industry than 9/11 had been and that insurance premium increases were on the horizon if climate change was not given more priority.
"I am a bit surprised by these comments because the insurance industry, among all industry sectors, was one of the first to actually start talking about the dangers of climate change," said Friends of the Earth campaigner, Germana Canzi.
"Probably what Lloyds of London meant is that is hasn't filtered through the smaller companies. I think that the large insurance companies, especially the re-insurance groups like Swiss Re, have been doing a lot of work on climate change."
Ms Canzi urged governments to do more for the environment as the economic effects, particularly on the insurance sector, could have potentially far-reaching consequences.
One of the economic and insurance issues that concerns analysts most is the construction of new homes and buildings in areas with a potential flood risk if sea levels rise.To read more about insurance, click here.
© Adfero Ltd