b'Insurance Regulatory | US/NAIC | Insurance Industry Regulators Address Climate RiskNotably, the FAQ, among other things, explained: The Road Ahead That the Circular Letter is applicable to all New2021 should continue to see activity as it relates to York-domiciled and authorized foreign insurers; climate-related insurance supervision. The 2021That NYDFS does not plan to issue new regulationsUnited Nations Climate Change Conference is pertaining to its climate-related supervisory activi- scheduled to be held in Glasgow, Scotland in ties, with the exception of Insurance Regulation 203,November 2021. This conference will be consequen-which the NYDFS is proposing to amend to includetial to the direction of international insurance climate change as one of the reasonably foreseeableregulators going forward, as insurance issues are and relevant material risks to be addressed by insur- expected to be raised prominently. On the domestic ers enterprise risk management function; front, the US Federal Reserve, in November 2020, forThe NYDFS plans to launch the global knowledgethe first time called out climate change among risks exchange seminar series on climate change at theenumerated in its biannual financial stability report. end of 2020, with sessions scheduled to take placeMoreover, the Biden Administration is expected to through the first quarter of 2021; have a robust climate-related agenda. President Biden has appointed John Kerry as his SpecialThe NYDFS plans to issue proposed detailedPresidential Envoy for Climate and the US guidance on insurers approaches to managingCongressional climate agenda calls on the NAIC and the financial risks from climate change in the firstthe Federal Insurance Office to establish climate quarter of 2021 and provide 90 days for publicstandards and to follow international systemic risk comment; initiatives related to climate risk. It is clear that effortsThe NYDFS plans to organize an industry roundand discussions regarding climate-related insurance table to gather feedback on proposed guidance,supervision are advancing and will increase in sophis-and, after incorporating the feedback, issue thetication and scope in coming months and years. gdetailed guidance in the third quarter of 2021; The NYDFS plans to analyze the financial risk exposure to New York-domiciled insurers assets from climate change; The designation of a board member or board committee as accountable for an insurers assess-ment and management of the financial risks from climate change may be done at the holding company level or at the insurer level; and The NYDFS is still developing its approach to stress testing and will seek input from industry and other interested parties prior to issuing additional guidance.78 GLOBAL INSURANCE INDUSTRY|YEAR IN REVIEW 2020'