Aon has announced the launch of a new climate risk advisory team to help inform clients’ decision-making on climate-related financial risks. 

The team will utilise catastrophe and climate change models at Aon as well as from third parties to help formulate physical risk diagnostics and advise financial institutions, public sector groups and large real estate firms on climate risks. 

Aon says increasing natural catastrophe costs and frequency are among key reasons for the group’s formation, with disaster events accounting for $US132 billion ($195.63 billion) in insured losses last year, according to Aon’s statistics. 

The new team will be headed by Liz Henderson, who previously served as co-head of Reinsurance Solutions for US Catastrophe Management. She will report to Global Growth leader of Reinsurance Solutions Joe Monaghan. 

“Our advice goes beyond analysing the results of any individual approach, to helping organisations develop holistic climate risk programs that can navigate the inherent uncertainty in climate change to make better decisions on risk management,” Ms Henderson said.