1.
Nature-based
solutions for climate
change: from global
ambition to local
action
Chip Cunliffe
Director, Sustainable Development, AXA XL
22nd May 2020

2.
Ocean Risk in context
Sea level and
population
density
projections
indicate that
800m will be at
risk from coastal
flooding and
storm surges by
2050¹
Small Island
Developing
States and the
Least Developed
Countries are
most threatened
by ocean risk
The IPCC states
that climate
change and
anthropogenic
pressures require
‘transformative
changes’ to
restore and
protect nature
¹ https://www.c40.org/other/the-future-we-don-t-want-homepage
² https://www.preventionweb.net/risk/direct-indirect-losses
³ http://www.lloyds.com/~/media/Files/News%20and%20Insight/360%20Risk%20Insight/Global_Underinsurance_Report_311012.pdf
In the last 10
years, insurers
alone have paid
out more than
$300 billion for
coastal storm
damage – but
this is dwarfed by
amounts paid out
by governments
and taxpayers²

3.
Lack of understanding of how investing in natural capital can provide a
timely and productive return
Limited pipeline of risk adjusted investable projects to attract financing
Insufficient data and modelling capabilities for investors to quantify
ocean-derived risk
Inadequate enabling policies to shift investment away from
unsustainable infrastructure
Apparent need for investment returns to be available in a short time
period
1
2
3
4
5
Barriers to private investment in natural capital

4.
Science and Research
Accelerate research and
data to better
analyse, predict, model
manage ocean risk
Practice and
Innovation
Build risk-adjusted
scalable projects that
deliver a return on
investment while
increasing resilience to
ocean-derived risks
Policy and
Governance
Inform and advance
ocean resilience policy,
governance, private
sector and public
understanding
Pioneering finance products to regenerate coastal natural capital and build
resilience in the most exposed and vulnerable regions and communities

5.
ORRAA uses the expertise of its membership to develop pioneering
finance products
Blue carbon credits
Resilience credits
Sovereign bonds
Corporate bonds
Catastrophe bonds
Risk modelling expertise
Parametric cover
Policy wording
Credit risk
Risk pools
RISK & INSURANCEFINANCE PRODUCTS
Practice & Innovation