CROMWELL, CT – The Travelers Championship, a prominent event in the world of Travelers Golf, became the stage for a climate protest today as activists from the Connecticut Citizens Action Group (CCAG) rallied at the tournament’s entrance. Their aim was to draw attention to Travelers Insurance’s significant role in fueling the climate crisis. Bearing banners that declared “Travelers Underwrites Climate Change,” the activists highlighted the insurance giant’s position as a leading global insurer of fossil fuel industries.
This demonstration is part of a larger global movement urging insurance companies to divest from fossil fuels. Tom Swan, Executive Director of CT Citizen Action Group, stated, “It is increasingly evident that insurance companies are playing a detrimental role in financing and underwriting climate change. Travelers stands out as one of the few major global insurers still without any restrictions on coal underwriting. Despite public statements about sustainability, Travelers holds over $3.5 billion in fossil fuel investments.”
Travelers, recognized as the second-largest property and casualty insurer in the US, announced in April 2021 its goal to achieve carbon neutrality in its direct operations by 2030. However, critics argue that this commitment overlooks the more substantial impact of Travelers’ underwriting and investment portfolios on climate change. The company is identified as a top-three global insurer for oil and gas and remains a major insurer of coal projects. The activists emphasized that insurance is crucial for the viability of these environmentally damaging projects, as they cannot operate or be constructed without it.
Adding to the concern, Travelers’ investment portfolio includes a significant $3.5 billion in fossil fuel companies. Investments are spread across major oil corporations like Chevron, Exxon, and Shell, as well as Connecticut Natural Gas Corporation, and pipeline operators such as Halliburton and Kinder Morgan.
Swan further explained the purpose of the protest: “Our presence here today is part of an escalating campaign targeting Travelers and other insurers, demanding they cease underwriting and investing in activities that are destroying our climate. They must realize that their current greenwashing efforts are insufficient. We are demanding concrete action to address the climate crisis.”
Travelers’ headquarters in Hartford, Connecticut, places it in the heart of the insurance capital of the world. The company’s sponsorship of the annual Travelers Championship Tournament, a popular event attracting thousands daily, underscores its local connections. However, Connecticut, like the rest of the nation, is experiencing the escalating effects of climate change, including increased frequency and severity of floods, droughts, and heatwaves.
These climate-related disasters are not only impacting communities but also Travelers’ financial performance. In 2020, global industry losses from natural catastrophes reached $82 billion. Travelers itself faced after-tax losses of $1.3 billion in 2018 due to natural catastrophes, including a $314 million loss from the Camp Fire in Northern California.
The insurance industry is facing growing pressure to cut ties with fossil fuels. This pressure comes from various sources, including US senators and UN Secretary General António Guterres, who has specifically called on the insurance sector to phase out fossil fuel underwriting.
Adding to the regulatory landscape, Connecticut recently passed a landmark bill requiring the state’s Department of Insurance to address the climate-related risks associated with insurers. This legislation mandates the state insurance regulator to incorporate emission reduction targets into its oversight of Connecticut insurers, including Travelers, marking a significant step towards holding the insurance industry accountable for its climate impact.
The Connecticut Citizen Action Group, founded in 1971, actively engages Connecticut residents in addressing critical issues related to consumers, the environment, economic justice, and social justice. As part of the Insure Our Future coalition, CCAG is focused on ensuring Connecticut-based insurance companies are held responsible for their role in the climate crisis and are urged to divest from the fossil fuel industry.
Insure Our Future in the US is a coalition of environmental, consumer protection, and grassroots organizations working to make the US insurance industry accountable for its contribution to the climate crisis. It is affiliated with the global Insure Our Future campaign, advocating for a rapid shift within the insurance industry away from supporting fossil fuels and towards accelerating the transition to a clean energy economy.
