AIG Announces Climate Goals; Commits to No New Investment or Insurance for Dirtiest Energy Sources

AIG announced several commitments on Tuesday in line with an overall plan "to achieve Net Zero greenhouse gas (GHG) emissions across its global underwriting and investment portfolios by 2050, or sooner." Along with other pledges, AIG said it will no longer invest in or provide insurance for any new energy exploration activities in the Arctic. As the first major U.S. insurance company to make such an announcement, AIG joins the six largest banks in the United States and Canada's five largest banks in declining to help oil and gas companies do business in the Arctic. This announcement includes any new exploration in the Arctic National Wildlife Refuge, which saw its first lease sale in January 2021, and expands beyond the refuge to include the Western Arctic - much of which has been leased to oil companies.

AIG will also stop investing in or insuring new coal-fired power plants, thermal coal mines or oil sands for companies who earn 30% or more of their revenues from those industries or that produce more than 30% of their energy from coal.

Alaska Environment is a state partner of Environment America.

Environment America Public Lands Campaign Director Ellen Montgomery issued the following statement:

"This is a good day for public health, for our climate and for wildlife. We are thrilled that AIG has made the right decision. Insurers are meant to protect against calamity in our society. The company is living up to that responsibility by not only turning its back on burning coal, which is one of the dirtiest forms of energy, but also by deciding to take specific steps to protect the Arctic. By denying oil companies a safety net for actions that damage a sensitive ecosystem, put the region at risk from spills and make the climate crisis worse, AIG is both prioritizing a large vital wild space and the health and future of our world. Without insurance, you cannot drill for oil, so we hope that other insurance companies will follow the lead of AIG."

Alaska Environment State Director Dyani Chapman issued the following statement:
"When we drill, we spill. In the Arctic, permafrost is melting and sea swells are getting bigger. When you combine those factors with the long documented challenges of extracting fossil fuels in the best of conditions, it's clear the environmental risks of drilling in the Arctic are too high to tolerate. We're glad to hear AIG agrees. The wildlife and Indigenous communities in the Arctic deserve a healthy ecosystem and that requires us to neither drill for nor burn more fossil fuels. Banks are getting on board, insurance companies are next. Thank you for leading the way AIG."