Brokers lack resource and knowledge to tackle the climate crisis – Ecclesiastical

Most brokers don’t have the resource or knowledge to tackle the climate crisis by setting carbon reduction targets, according to new research from specialist insurer Ecclesiastical.

The UK government has committed to a target of net zero emissions across all industries by 2050.

The insurer’s survey of 250 brokers from across the UK, carried out between January and February 2022, however, revealed that only one in five has set a net zero target – this equated to two in five (38%) among national brokers and 5% among regional brokers.

Mitigating sustainable efforts was the perception that brokers did not have the resources to focus on setting a net zero target (62%).

Brokers also reported not knowing how to measure climate impact (29%), with 23% not knowing how to reduce climate impact.

One in five said their company had no interest in being net zero, while 40% felt their company needed more support to understand how it could reduce its climate impact.

Ecclesiastical’s commercial director Adrian Saunders said that “brokers are still feeling the effects of the pandemic, both on themselves and their clients, and achieving net zero is another big challenge for them”.

Broker training

Despite the impacts of the pandemic, 77% of brokers said that they believe reducing their company’s climate impact was the right thing to do for the environment, which Saunders stated was “encouraging to hear”.

Considering steps taken so far, 41% of respondents were minimising business travel, 37% were reducing energy consumption in the office and 23% were increasing awareness amongst employees.

However, only 16% of respondents felt obligated to advise clients on how to reduce their climate risks.

Saunders added: “The research tells us brokers are calling out for support to understand how they can reduce their carbon emissions and that’s why we’re running broker training sessions to help them.”

Ecclesiastical is planning a series of webinars in June to support brokers to develop their carbon reduction plans and set effective targets.