The Tokio Marine Holdings has joined the Net-Zero Insurance Alliance (NZIA) which was established under the United Nations Environment Programme to promote decarbonisation in the insurance industry.
The company is the first Japanese insurer to join the initiative.
"The insurance industry is already taking a number of steps towards achieving a decarbonised society, and Tokio Marine believes it is essential to continue supporting the promotion of renewable energy and the development of decarbonisation technologies through its insurance underwriting and engagement with customers," Tokio Marine said in a statement.
The company said it would seek to develop insurance products that encourage decarbonisation in line with the goals of the NZIA.
Tokio Marine is a leading global insurer with a market capitalisation of $33bn.
Its international marine insurance services are provided from London through Tokio Marine HCC, which covers all the main marine insurance lines, including hull and machinery and war risk. Tokio Marine Kiln also provides cargo insurance from Singapore.
Poseidon Principles
Tokio Marine's participation in the NZIA raises the prospect that it could also put its name to the recently formed Poseidon Principles for Marine Insurance.
Many marine insurers among the signatories to NZIA have joined the Poseidon Principles. These include Swiss Re, SCOR and Hellenic Hull.
The Poseidon Principles for Marine Insurance was established in December last year. The initiative seeks to encourage decarbonisation by monitoring the performance of ships in each member's underwriting portfolio.
The idea is to ensure that the underwriter's marine portfolio is performing in line with the International Maritime Organization's decarbonisation targets.
