State Farm's Position on Climate Change

As the largest insurer of homes in the U.S., State Farm protects against loss from natural and man-made causes of property damage. We are involved in several efforts to help our customers reduce or prevent these losses.

State Farm is concerned about the prospect of global climate change, its possible impact on severe weather patterns, and the challenges this presents to the business of insurance. Regardless of whether climate variations are the result of global climate change (or warming) or whether they are due to natural climate variability, we are committed to working with our industry and government partners to understand the issue and potential ramifications, and to engaging in the public dialogue about these important issues.

State Farm continues to invest in the most current tools and techniques available to model severe weather events to be able to price and underwrite insurance for millions of homes and businesses in the United States and Canada.

What are we doing about it?

We are working with organizations all across the country – organizations like the Institute for Business and Home Safety (IBHS) and Protecting America – to help protect our customers from the human injuries, property destruction and financial impact that can result from natural disasters.  We must make sure the homes built and repaired today are better able to withstand the forces of nature.

In addition, we believe that all businesses should operate in an environmentally responsible manner, and we have long engaged in a variety of internal efforts to reduce our use of energy and other materials, recycle, and focus on renewable resources. We endorse the Business Roundtable Climate RESOLVE (Responsible Environmental Steps, Opportunities to Lead by Voluntary Efforts) initiative that seeks to have every company in every economic sector undertake voluntary actions to reduce the emission intensity of Greenhouse Gases (GHG) by 18 percent between 2002 and 2012.  By 2008, State Farm had already reduced our emissions intensity by 46 percent. We continue to explore other opportunities to improve the environment that are in the best interests of our customers and communities.

What do others say?  Information on global climate change is offered by insurance industry sources other than State Farm. These following links are provided for informational purposes – State Farm does not necessarily endorse all views represented here:

• National Association of Mutual Insurance Companies (NAMIC) Web site on climate change and the insurance industry
• Insurance Information Institute whitepaper on Global Climate Change and Extreme Weather as it relates to insurance

For more information about State Farm’s commitment to the environment visit the State Farm Green Space™ Web Page.

Or State Farm’s profile on The Business Roundtable’s S.E.E. (Society, Environment, Economy) Change Web Site.