Bill > LD1674

This bill establishes the Insuring Our Communities Act, which requires insurers to address climate risk through several key provisions. The legislation mandates that insurance companies operating in Maine with over $10 million in direct premiums must annually report on their investments and underwriting activities related to fossil fuel projects, including detailed disclosures about investments in and insurance policies for companies involved in oil, gas, and coal exploration, extraction, and infrastructure. Insurers must integrate a "precautionary principle" approach to climate risk, which means taking preventative actions even when full scientific certainty is lacking. The bill requires insurers to submit plans for aligning their activities with science-based greenhouse gas emissions reduction targets and prohibits underwriting for new fossil fuel projects. By September 15, 2030, insurers must completely divest from companies deriving 10% or more of their revenue from fossil fuel activities. The superintendent of the insurance bureau is required to submit biennial reports to the legislature detailing insurers' climate risk readiness, the impact on insurance affordability for disadvantaged communities, and potential regulatory actions. The bill aims to push the insurance industry toward more environmentally responsible practices by creating transparency and incentives for reducing fossil fuel involvement.

Health and Social Services

https://legislature.maine.gov/legis/bills/display_ps.asp?LD=1674&snum=132