Euler Hermes to tackle climate change

Euler Hermes, the world leader in trade credit insurance, announced that Natixis is one of its first participating partners in its Green2Green Single Risk credit insurance solution, a pioneering product that contributes to tackling climate change by insuring green transactions and investing the premium in certified green bonds.

Euler Hermes Transactional Cover Unit (TCU) announced that Natixis, a French multinational financial services firm specialized in asset & wealth management, corporate & investment banking, insurance and payments, has bound one of the first Green2Green policies, as well as three additional green policies in the solar and wind energy sector, building on the 10-year relationship between the two companies.

The Green2Green Single Risk credit insurance product was first launched by TCU team in November 2020, in the aim of leveraging the firm’s in-house ESG expertise along with its comprehensive approach to initiating the integration of environmental issues to its activities and commitment to transitioning to the green economy.

The insurance solution in question is particularly innovative and unique as it implements a virtuous “green cycle” with 100% of the generated investable premium invested back into the green economy. This investment comes in the form of certified green bonds completing a green economic cycle. This approach is fully transparent with a certificate of investment issued by Euler Hermes Asset Management, ensuring the full traceability of the invested premium throughout the transaction term.

This partnership was made possible with the support of two leading insurance brokers, BPL Global and Howden Broking Group, which play a key role in placing the insurance policy, and even more so for an initiative such as this one, which requires a common commitment from all stakeholders.

“Partners such as Natixis are ready to make a difference in the fight against climate change and we are thrilled to welcome them as one of the first participating partners in this important program. As a lead banking client, we are a strong supporter of Natixis’ business and are excited about the developing interest in this product. Through our Green2Green solution, Natixis will participate in establishing a virtuous green cycle by investing back into the green economy. Enabling a green value chain is a significant step forward in accelerating the energy transition,” said Christophe White, Head of Transactional Cover at Euler Hermes.

The Green2Green Single Risk credit insurance solution focuses on providing insurance on green transactions, which are eligible based on a bespoke environmental evaluation. The initial sectors in scope are renewable energy, energy efficiency, recycling, water treatment, and mass public transportation. The Green2Green Single Risk solution is available on all eligible TCU policies for banks, multilaterals and corporates.