Ceres has submitted a comment letter to the California Department of Insurance backing a proposed Long-Term Solvency Planning Regulation that would require the state's largest domestic insurers to develop and submit plans for managing financial risks, including those linked to extreme weather. The organization argues the measure would give supervisors clearer visibility into how insurers are preparing for future risks and would strengthen California's insurance market. Ceres said the proposal is consistent with solvency and transition-planning frameworks already used by regulators in other jurisdictions. It also pointed to its May assessment of insurer climate reporting, which found that while more than 83% of assessed insurance groups address all four Task Force on Climate-related Financial Disclosures pillars, fewer than 11% of individual datapoints were substantive and decision-useful, and forward-looking elements such as transition plans and climate targets had weakened since 2021.
Ceres2026-07-22
Ceres submits comment letter supporting California insurer solvency planning rule for extreme weather and other financial risks
Ceres has backed the California Department of Insurance's proposed Long-Term Solvency Planning Regulation in a comment letter. The rule would require the state's largest domestic insurers to submit plans for managing financial risks, including extreme weather. Ceres said the measure would improve supervisory visibility and aligns with existing solvency and transition-planning frameworks.