Allianz Commercial has launched a new platform designed to support businesses in identifying and managing climate-related risks.
The Climate Adaptation & Resilience Services (CAReS) tool enables companies to assess their exposure to physical climate perils and plan mitigation strategies across different time horizons.
The launch comes amid rising global losses linked to climate change. In 2024, the total economic losses from natural catastrophes – including floods, windstorms and hail – reached US$327 billion, with insured losses amounting to US$138 billion.
CAReS combines a data-led platform with Allianz’s in-house risk consulting expertise. It translates climate risk into both physical and financial impact metrics at the level of individual sites and broader asset portfolios.
Through a structured five-step process, businesses can identify locations with high exposure to 12 climate perils – including tropical storms, flooding, wildfires, hail, and extreme heat – using a dashboard that provides risk scores. The tool offers projections across four timeframes: present day, 2030, 2050 and 2080.
Michele Williams (pictured above, left), global head of Allianz Risk Consulting at Allianz Commercial, emphasised that the issue is not whether a company will be affected by climate risks, but when.
“No industry is immune to risks such as floods, droughts, storms, or fires. We all remember the severe consequences from events such as the LA wildfires or Hurricanes in the US. Businesses are interrupted, and economic and insured losses are exploding into hundreds of billions of US-dollars per year,” Williams said.
Allianz Commercial’s release of CAReS coincides with findings from the 2025 Allianz Risk Barometer, which ranks climate change as the fifth most pressing risk to global businesses. Rising concern over the impact of extreme weather, regulatory pressures, and supply chain disruptions has elevated climate issues from longer-term strategic risks to near-term operational challenges across multiple sectors.
These concerns are also supported by recent data on natural catastrophe losses. In particular, wildfire activity has intensified in scale and frequency. Allianz has noted that wildfires are increasingly affecting not only rural but also urban and industrial zones, leading to more complex loss events.
For instance, the 2025 California wildfire season alone is estimated to have resulted in US$28 billion to US$40 billion in insured damages, underlining the growing financial strain on carriers and reinsurers.
Michael Bruch (pictured above, right), head of Global ARC Advisory Services at Allianz Commercial, said resilience should be viewed as a continuous process.
“By proactively managing climate risks you can mitigate potential disruptions to your business and stay one step ahead,” Bruch said.
What are your thoughts on this story? Please feel free to share your comments below.
