The International Union of Marine Insurance (IUMI) says environmental, sustainability and governance (ESG) issues are impacting all forms of business and are a focus for the industry.

President Richard Turner told a spring meeting that climate change and rising sea levels will affect claim frequency and severity, clients will have different sustainability issues, while insurers will see an evolution in transport assets and significant changes to cargoes.

“It is becoming increasingly clear that some industries will have the opportunity to grow and develop while others will shrink as the world moves to a more sustainable footing,” he said. “As an industry we need to recognise these changes and adapt.”

IUMI’s policy agenda includes sustainability impact areas such as artic sailing and lower sulphur fuels, and the group has formed a sub-committee to focus specifically on ESG issues.”

The IUMI conference in Seoul, South Korea in September will have the theme Pathways to a sustainable, resilient and innovative future.

“We will discuss the various options and pathways that marine insurance should pursue to ensure sustainability, both in terms of ESG issues but also to maintain marine underwriting as a healthy and resilient activity,” Mr Turner said.

The group is a supporting institution of the UN’s Principles for Sustainable Insurance.