No. 06 : a Comparative Analysis of the Role of Insurance in the Management of Environment-Related Risks.

From the increasing incidence of environmental pollution and soil contamination to recurring natural disasters, the risks posed by the links between human activities and the environment are diverse and often catastrophic in their consequences. This report focuses on the role of insurance and reinsurance companies in the management of environmental risks, particularly those relating to environmental pollution and natural catastrophes. Issues discussed include: insurability of such risks; the development of environmental liability regimes in OECD countries; the role of traditional insurance markets; and alternative options of coverage, from governmental disaster schemes to new financial market instruments.