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KLS Carbon and Forestry Insurance


The introduction of the ETS has provided New Zealand's first
internationally priced and transparent commodity market. 
While there are significant opportunities in the carbon space
there are also substantial risks if ETS forestry is destroyed or
lost for any number of reasons.

Some of these causes include:

  • Fire
  • Storm damage
  • Wind damage'
  • Natural Disaster
  • Erosion

Furthermore, with Post-1989 ETS forestry, the liability risk is increased
because should an insurable event occur:

  1. Not only is there loss of physical assets (e.g. Forest harvest income potential is lost), but
  2. The owner of the carbon credits is liable for the surrender of NZUs and at risk of price volatility.

 

KLS assisted in developing one of the first financially rated carbon insurance policies in the New Zealand market.  Please see www.tipuinsure.co.nz for further information.