Carbon offsetting: the insurance use case

Carbon credits are tokens representing the avoidance or removal of greenhouse gases from the atmosphere. Developing markets for trading these credits is becoming an established means of incentivising carbon reduction strategies worldwide.

Insurers are increasingly interested in carbon credits. They are looking to purchase them to help reach their own emission reduction goals as well as to create new insurance products to protect others against the risks associated with carbon offsetting.

This report gives an introduction to the carbon markets and outlines how the insurance industry has been getting involved. The report also highlights some of the future opportunities in this space.