Global Fire Risk Collaboration Expands with Willis' Work on a Worldwide Scale with UEA
In a move to address the escalating threat of wildfires worldwide, Willis Towers Watson, a leading global advisory, broking, and solutions company, has announced a partnership with the University of East Anglia (UEA). This collaboration aims to provide reliable scientific insights that deepen understanding of how wildfire threats are evolving, particularly in the face of a rapidly changing climate.
Listed on NASDAQ under the ticker symbol WLTW, Willis Towers Watson brings its extensive catastrophe risk expertise to the table, while UEA contributes its climate and fire science research. The partnership focuses on changes in wildfire frequency, intensity, geography, and the increasing threat of urban conflagrations, enabling the insurance sector to better anticipate and mitigate wildfire-related financial losses.
Dr. Matthew Jones, who co-leads the State of Wildfires Report, an annual initiative with an international network of fire scientists, emphasized that wildfires are a growing threat that will worsen as the climate warms, and societies are increasingly feeling the brunt of their impacts worldwide.
One of the key outcomes of this partnership is the development of a wildfire risk solution by Willis Re, the reinsurance division of Willis Towers Watson. This solution assesses location-level wildfire risk in the U.S., correlating the risk to the company's portfolio level wildfire exposure.
The collaboration also sheds light on factors such as urban growth and rising property values that escalate potential losses. It aims to help the insurance sector understand the shifting nature of wildfire risk, including the amplified risk of catastrophic loss from urban conflagrations.
Recent catastrophic wildfire events, such as the US$1.5 billion insured losses from Australia’s 2019-20 Black Summer bushfires and the US$40 billion damage from 2025 fires in Los Angeles, underscore the importance of this collaboration.
In addition to this partnership, Willis Towers Watson, through one of its businesses, has also collaborated with The Nature Conservancy to publish a report showing that ecological forest management can reduce severe wildfire risks in fire-adapted forests and significantly reduce insurance costs. The report models the impact on insurance of controlled burning and ecological thinning of overgrown forests.
Dr. Daniel Bannister, Weather & Climate Risks Research Lead at the Willis Research Network, stated that the insurance industry can no longer treat wildfire as a niche peril. The State of Wildfires Report, an annual initiative, examines the causes of extreme wildfire events of the latest fire season, evaluates future wildfire risks under climate change, and identifies opportunities to minimize risk through climate action and land management practices.
By distilling the latest research into actionable insights, this partnership will empower insurers to better anticipate and mitigate wildfire-related financial losses, helping them keep pace with a rapidly changing wildfire risk landscape where wildfires are now a primary peril rivaling hurricanes in impact.
[1] Broker Update: Willis Towers Watson Partners with University of East Anglia to Combat Growing Global Wildfire Risk [2] Cat Risk Review: Latest Natural Catastrophe Review Reveals Continued Strain on Global Insurance Markets [4] Broker Update: Willis Re Deploys Wildfire Risk Solution for U.S. [5] Willis Towers Watson Report: Ecological Forest Management Reduces Severe Wildfire Risks and Insurance Costs [5] Willis Towers Watson Report: The Nature Conservancy and Willis Towers Watson Publish Analysis on Controlled Burning and Ecological Thinning Impact on Insurance
- The partnership between Willis Towers Watson and the University of East Anglia aims to develop a wildfire risk solution informed by both catastrophe risk expertise and climate and fire science research.
- The insurance sector can benefit from collaboration between financial institutions, like Willis Towers Watson, and educational institutions, such as UEA, to gain a deeper understanding of wildfire threats and their escalation due to climate change.
- As urban growth and rising property values heighten potential losses, it is essential for the insurance industry to focus on the shifting nature of wildfire risk, including the amplified risk of catastrophic loss from urban conflagrations.
- Technology, education, and self-development in the form of resources like the State of Wildfires Report can help the insurance industry adapt to and prepare for increasingly frequent and more severe wildfire events.
- The collaboration between Willis Towers Watson and The Nature Conservancy highlights the importance of environmental science, particularly ecological forest management, in reducing wildfire risks and insurance costs, ultimately working towards a more sustainable and resilient world.
