A new analysis reveals a troubling disconnect between what insurers say about climate action—and what they actually measure.  

Though 87% of the 45 U.S. insurance groups we analyzed have set broad climate goals, none provide the targets necessary to track progress on those goals.  

This report delves further into our third annual analysis of insurers’ climate risk disclosures against the Task Force on Climate-related Financial Disclosures (TCFD) framework, focusing on their metrics and targets.  

Key Findings 

• Limited target setting adoption: Companies are providing only minimal reporting on emissions targets 

• Neglect of indirect GHG emissions: Companies rarely report on their full climate impact—particularly indirect emissions, which make up the vast majority. 

• Weak progress tracking: Even when insurers do set climate goals, they're not monitoring whether they're actually meeting them or learning from what works and what doesn't. 

• Analytical capacity disconnect: Despite using tools like scenario analysis, insurers are not applying these capabilities to measure key risks such as portfolio exposure to climate impacts or tracking financial impacts.  

Why It Matters 

This analysis comes at a time when the insurance industry is under mounting pressure from climate-driven losses. With extreme weather events intensifying and the global protection gap projected to rise 5% to $1.86 trillion in 2025, insurers must move beyond rhetoric and invest in real climate accountability.