b'Insurance Regulatory | AsiaHong Kong Insurers Could BeAsias Reinsurers Target Growth Encouraged to Disclose Their Despite COVID-19ESG Policies In Asia, slowing demand as a result of underlying The Financial Services Development Council (FSDC)weak economic growth is a bigger concern than has recommended the IA encourage authorizedpandemic losses. insurers to publish and explain their policies on theIn China, Indonesia and Thailand, reinsurers average consideration of ESG risks in their investments as wellsolvency ratios are well above regulatory minimums as provide their boards with information on theirat more than 300%, which should provide a healthy exposure to financial risks arisen from climate change. buffer against a rise in pandemic-related losses.Such actions are expected to strengthen risk man- The top global reinsurers reported $7.6 billion of agement practices and ultimately bring the Asianpandemic-related non-life claims during the first six ESG investment ecosystem on a par with itsmonths of 2020. Asian reinsurers premiums are European counterparts, according to the FSDC in aestimated to have risen by more than 10% on paper entitled Hong KongDeveloping into theaverage in 2019 and that pricing trends has contin-Global ESG Investment Hub of Asia.ued into this year for market players worldwide, even The IA has yet to require the sector to do so. in lines that have not been affected by losses. gMAYER BROWN 87'