Biodiversity: managing risk and uncertainty – policy briefing

The World Economic Forum lists biodiversity loss as the fourth top risk over the next 10 years. Around 1 million plants and animals are threatened with extinction (IPBES 2019). Damaged ecosystems exacerbate climate change, undermine food security and threaten livelihoods and health. With over 50% of global GDP moderately or highly dependent on nature (WEF 2020), the potential impacts are global and systemic.

The IFoA recognises the significant social, economic and financial risks posed by nature and biodiversity loss. This policy paper summarises the policy landscape and draws on the extensive work of the IFoA Biodiversity Working Party to highlight the challenges, roles and opportunities for actuaries.