Cambridge University and ClimateWise | Physical risk framework: Understanding the impact of climate change on real estate lending and investment portfolios

Physical risks– such as rising temperatures, flooding, drought, sea level rise and water scarcity – are already being felt globally, and the associated financial losses (both insured and uninsured) have significantly increased in recent years. The ClimateWise Insurance Advisory Council has developed the ClimateWise Physical Risk Framework, which demonstrates how the risk analysis tools of the insurance industry can inform other parts of the financial sector and demonstrate the role of adaptation in mitigating these risks. The framework offers real estate investors and lenders a means of understanding the potential physical risks of climate change on their portfolios. Click here to read the report