The European Insurance and Occupational Pensions Authority (EIOPA) just published its 2021 report on the main risks facing the insurance market.
The study ranks environmental risks as the number one concern for European insurers and reinsurers due to the ever-growing intensity and frequency of weather events.
EIOPA is urging supervisors to establish effective risk management practices to deal with climate change [4].
In addition to this first threat, cyber risks [5] are becoming more prevalent with the acceleration of digital transformation and the use of remote working in times of health crisis.
The report also notes that pandemic-related uncertainties, supply chain disruptions, continued low interest rates and inflation are weighing on the sector's growth prospects.