US insurer Chubb has announced it will not make new debt or equity investments in companies that generate more than 30% of revenues from thermal coal mining or that generate more than 30% of energy production from coal.
It will also no longer sell insurance for new coal-fired power plants and to companies that derive more than 30% of their revenues from thermal coal mining.
"The coal policy is expected to have a de minimis impact on premium revenues and no impact on investment performance," the insurer said in a statement.
According to disclosures to the California Department of Insurance, in 2017 Chubb National Insurance Company had $2.1m of coal investments over the 30% threshold and the formally separate Chubb Indemnity Insurance Company had $11.9m over the threshold.
In that same year, Chubb National Insurance Company had $22.7m of assets (12% of total assets under management) invested in fossil fuels including coal, and Chubb Indemnity Insurance Company $8.3m (4% of total AuM) invested in fossil fuels including coal.
Chubb was contacted for comment.
Companies:Chubb