Climate Risk Planning Neglect

Adam Jacobson


August 1, 2019

climate change riskAccording to a recent survey released by AT&T, 59% of business leaders see climate change as a medium or high priority and 81% expect that the financial impact of climate change on their company will be at least somewhat significant.

While a majority consider their company “climate resilient” and four out of five said that it is important for businesses to “consider climate resiliency as part of planning and development,” only 38% reported that they have a plan to respond to climate-related events.

Despite consistent warnings regarding climate change’s effects and the resulting business impact if not mitigated, few leaders reported that their company had “embedded climate risks into operating policies” (26%) or “assessed our vulnerability to or identified risk of climate change” (29%). Moreover, only 39% said that their company used “climate change data or advanced technology services to solve and predict climate-change-related issues,” and only 40% said they are “quantifying potential financial impacts of climate change.”

Adam Jacobson is associate editor of Risk Management.