Generali to no longer insure risks associated with oil and gas expansion

Written by Adam Cadle

23/10/2024

Generali is to no longer provide insurance for risks associated with oil and gas expansion, including new liquified natural gas (LNG) terminals and gas-fired power plants.

The insurer has already made a commitment not to underwrite risks related to upstream oil and gas expansion (new oil and gas fields), and has now expanded this to include risks related to midstream and downstream oil and gas expansion.

While Generali’s commitment not to insure new upstream oil and gas projects applies to all companies, its policy for new midstream and downstream infrastructure only applies to energy companies found to be ‘transition laggards’.

ReCommon public and corporate finance campaigner, Antonio Tricarico, said: “Generali's move is a clear signal to the market that long-term risks associated with oil & gas expansion have become too high. Italian financial institutions should recognise this and stop financing the new gas infrastructure of Italy's fossil giant, Eni, in line with IEA's recommendation to keep global warming under 1.5°C.”

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