There are roadblocks preventing companies from transitioning to net zero in line with a 1.5°C temperature pathway, according to new research by Zurich Insurance and global insights agency Horizon. Following a survey of 668 executives with responsibilities related to sustainability within their companies, the report determined that 50% of companies cited the costs and scale of capital expenditure involved in the climate transition as the biggest barrier, as well as lack of feasible technological solutions, regulatory challenges, and difficulties in measuring and monitoring impact. Matt Holmes, Group Head of Political and Government Affairs at Zurich, said: “Policymakers can support businesses’ climate transition by making systemic, economy-wide interventions, such as carbon pricing mechanisms, that can harness the power of capital markets and incentivise innovation and decarbonisation at scale.” The commercial risk advisory and services unit of Zurich Insurance, Zurich Resilience Solutions, has also announced a strategic collaboration with professional services firm KPMG Switzerland to offer advisory services to address physical and transition risks associated with climate change. Both firms aim to help businesses better understand and manage their exposures to these risks, while simultaneously strengthening their physical and operational resilience, contributing to their transition plans, and identifying transition-related opportunities. The offering is currently only available in Switzerland, but will be extended in other markets across Europe, the Americas and Asia-Pacific Regions. Also, this week, Dirk De Nil has been appointed Global Head of Zurich Resilience Solutions. De Nil has been with the firm since 2008, holding a variety of leadership positions – most recently CEO Zurich Benelux and Nordics – and leading teams in customer management, distribution, and operations across multiple countries. “Zurich Resilience Solutions is a key pillar to deliver on our strategic priorities,” said Sierra Signorella, CEO of Commercial Insurance at Zurich. “In this rapidly evolving risk landscape, it is more important than ever that we continue to focus on supporting our customers manage both traditional and emerging risks through prevention and mitigation services that go beyond traditional insurance.”
