In this paper, we explore the climate risk exposure of U.S. life insurers’ commercial mortgage loan portfolios, focusing on sea level rise (SLR) and flood risks. Commercial mortgages are an important asset class of life insurers: Approximately 15% of the life insurance industry asset is held...

We examine whether and how institutional investors respond to mandatory climate risk disclosure. We exploit the staggered adoption of a climate risk disclosure regulation by U.S. states that made the disclosure mandatory for insurers. Leveraging detailed data on insurers' investment portfolios,...

We document the implementation of the Insurer Climate Risk Disclosure Survey in the U.S. and provide an overview of its historical development since 2009. By 2020, the Survey is mandatory in 15 states or jurisdictions for insurers that meet the premium threshold. We find that the coverage of the...