KIRI and Presidential Commission Explore the Role of Insurance in Promoting Low-Carbon Transition

Seminar Held at Press Center on the 25th
Presentations on the Climate Crisis and the Role of Insurance

The Korea Insurance Research Institute, together with the Presidential Commission on Carbon Neutrality and Green Growth 2050, held a seminar titled "The Role of Insurance in Promoting Low-Carbon Transition" at the Korea Press Center in Jung-gu, Seoul on August 25.

In the first session's keynote presentations, speakers addressed topics such as the climate crisis and the role of insurance, climate risks and implications for the steel industry, and strategies for introducing domestic low-carbon transition insurance.

Lee Seungjun, a research fellow at the Korea Insurance Research Institute, gave a presentation on "The Climate Crisis and the Role of Insurance," explaining how the insurance industry can contribute to addressing the climate crisis through its unique business models, particularly in the context of low-carbon transition and climate adaptation. He also proposed institutional measures to expand the future role of the insurance industry.

Jung Kwangmin, a professor at Pohang University of Science and Technology, discussed "Strategies for Introducing Domestic Low-Carbon Transition Insurance," recommending the establishment of policy insurance systems and dedicated organizations as short-term strategies to foster the insurance market in the low-carbon transition sector. As mid- to long-term strategies, he suggested activating specialized risk assessment agencies and the corporate insurance brokerage market.

In the second session's panel discussion, moderated by Choi Yongsang, a professor at Ewha Womans University, experts from the insurance industry, industrial sector, and academia engaged in a lively debate. The panelists discussed in depth solutions to address transition risks such as technology development failures, changes in market demand, and investment uncertainties-challenges often cited as major obstacles to low-carbon transition-as well as directions for cooperation between the industrial and insurance sectors.

Kim Jongryul, Deputy Secretary-General of the Presidential Commission on Carbon Neutrality and Green Growth, stated, "If the insurance industry can serve as a stepping stone, it will greatly help Korean companies transition to low-carbon practices," adding, "This will also open up new markets for the insurance industry, creating opportunities for both industry and insurance to grow together."

An Chulkyung, President of the Korea Insurance Research Institute, emphasized the importance of the insurance industry's role in Korea's eco-friendly and low-carbon transition. He said, "Along with institutional support from the government to back the insurance industry's contribution, it is necessary to share roles through public-private cooperation."