Zurich says it is the first insurer to sign the UN Global Compact Business Ambition Pledge to reduce the impact of the climate crisis.

The pledge commits to action to limit average global temperature rises to 1.5 degrees above pre-industrial levels by 2030.

The insurer says it will engage over 24 months with clients and investee companies to help them adopt plans to reduce their exposure to thermal coal, oil sands and oil shares.

Zurich has also committed to using only renewable power in all global operations by the end of 2022.

“As one of the world’s leading insurers, we see first-hand the devastation natural disasters inflict on people and communities,” CEO Mario Greco said.

“This is why we are accelerating action to reduce climate risks by driving changes in how companies and people behave and support those most impacted.”

Zurich is introducing a range of 30% limits on underwriting and investments related to carbon-intense fossil fuels. It will no longer underwrite or invest in companies that generate more than 30% of their revenue from mining thermal coal.