Travelers Insurance Faces Second Consecutive Shareholder Vote on Long-Term Viability of Its Homeowners Business Line
FOR IMMEDIATE RELEASE
Investors seek scenario analysis of climate-related catastrophes on its pricing and coverage decisions
MEDIA CONTACT: Ryon Harms, [email protected], 310.730.9407
EL CERRITO, CALIFORNIA— MAY 7, 2025 – For the second consecutive year, shareholders of The Travelers Companies Inc. will vote on a resolution, filed by As You Sow and Trillium Asset Management, asking the company to explain how its aggressive price increases and reduction of geographic coverage in response to growing climate-related damages will affect the sustainability of its homeowners insurance business under a range of climate scenarios.
Travelers has seen its catastrophe losses nearly double from $1.85 billion in 2021 to $3.69 billion in 2025. These numbers follow a nationwide trend, with U.S. insured catastrophe losses hitting $117 billion in 2024 — more than 50% above the ten-year average. Climate impacts show no sign of slowing.
“In light of rising losses, Travelers is raising rates and reducing coverage in vulnerable areas. Investors need to know whether this strategy of repricing and retreat is viable as the climate crisis worsens, or whether it leads to an unsustainably shrinking customer base," said Mary Zuccarello, Senior Associate Climate and Energy, As You Sow.
As insurers raise rates, the financial burden of climate change shifts to policyholders, investors, and taxpayers. Homeowners insurance premiums rose approximately 24% between 2021 and 2024, nearly double the rate of inflation. At the same time, more locations are becoming uninsurable due to rising climate risk, leading to a potentially smaller customer base.
The stakes are material. “Investors need information to assess whether Travelers’ business model is durable,” said Danielle Fugere, President and Chief Counsel of As You Sow. “Travelers has built a strong near-term financial position by managing climate exposure aggressively. The unresolved question is whether this same approach will be viable in the long-term, under climate scenarios that reflect the dramatically warming climate. This proposal calls for transparency.”
About As You Sow
As You Sow is the nation’s leading shareholder representative, with a 30-year track record promoting environmental and social corporate responsibility. Its focus areas include climate change, ocean plastics, toxins in the food system, the Rights of Nature, racial justice, and workplace diversity. Click here to view As You Sow’s shareholder resolution tracker.