Rather than act to protect its customers, Australian insurance company Suncorp (which owns the brands; AAMI, Vero, Bingle, GIO, APIA and Shannons) is fueling bushfires, floods, heatwaves and storms through its support for the coal, oil and gas industries
Contact Suncorp today to let Suncorp’s CEO and Board know it must stop investing in and insuring fossil fuels if it is to have any climate credibility and align its business to keeping global warming below 1.5 degrees. Doing so can help ensure a safe climate and Suncorp’s bottom line.
Suncorp is still supporting coal, oil and gas expansions
Suncorp is now the last big Australian insurer still open to providing insurance (underwriting) for new thermal coal projects. Suncorp should be more sensitive to the need to mitigate global warming as much as possible, given it poses a direct threat to the company’s bottom line, along with the financial and physical safety and security of current and future customers.
Within Suncorp’s Climate Change Action Plan 2018-2020, former Chairman Ziggy Switkowski noted:
“As a responsible global citizen, Suncorp seeks to mitigate the causes of global warming. Addressing climate change not only makes good environmental sense, but will enable our business to protect and enhance shareholder value under various climate scenarios”
However, this “action” plan doesn’t include any specific targets or actions for reducing exposure to the coal, oil and gas industries.
We are calling on Suncorp to adopt an explicit policy ending support for new coal, oil and gas projects and a plan to detach itself from ongoing insurance and investment in current coal, oil and gas ventures. Not doing so puts Suncorp’s credibility on climate at risk.
Suncorp’s ongoing inaction means it is failing the obligation to meet the requirements set out within the Paris Agreement to limit global warming to 1.5 degrees. The list of climate-related issues is long:
- Floods, fires, cyclones and other natural disasters linked to climate change have cost Suncorp more than AUD $2 billion over the last decade.
- Suncorp has under-provisioned for natural hazards in eight of the last 10 years.
- In the six months to 31 December 2018, profit was slashed by 45% year-on-year as a result of extreme weather events.
- Suncorp has also announced it would allocate an extra $100 million to cover claims related to natural disasters in the next financial year.
- These costs have been on-shifted to everyday Suncorp insurance customers through a 3-5% insurance premium.
Suncorp is yet to take any verifiable and concrete action to detach itself from the fossil fuel industry. Its competitor QBE recently pledged to phase out its entire thermal coal business so Suncorp’s inaction is earning it the well-deserved title of climate action laggard.
INTERNATIONAL INSURANCE COMPANIES RESTRICTING THEIR UNDERWRITING OF COAL:
- Hanover Re
- Munich Re
- Swiss Re
- Vienna Insurance Group
INTERNATIONAL INSURANCE COMPANIES DIVESTING FROM COAL:
- La Mondiale
- Legal & General
- Hannover Re
- Lemonade Inc.
- Munich Re
- Nippon Life
- Swiss Re
Campaign update: 2 May 2019
Market Forces, with the help of volunteers, recently visited and leafleted Suncorp staff in front of their Brisbane HQ and Melbourne offices.