(866) 889-5012 Mercury Insurance and UCLA Anderson Forecast Partner to Lead Research on the Impact of Climate Change and the Economy
The relationship we are building with Dr. Li and the Anderson Forecast will further our understanding of the implications of various climate risks.
LOS ANGELES, July 16, 2024 /PRNewswire/ -- Mercury Insurance (NYSE: MCY), a leading provider of property and casualty insurance, has announced a strategic partnership with the UCLA Anderson Forecast to spearhead research into the growing impact and implications of climate change on the California economy. The results of the effort will help create a roadmap for California — and California-based businesses like Mercury — to support Californians living with increased risk from the impacts of extreme climate events.
"As the nation's most populous state and fifth largest economy in the world, California is heavily impacted by climate-related issues," said Jerry Nickelsburg, Faculty Director, UCLA Anderson Forecast and Adjunct Professor of Economics. "The economic modeling and analytic techniques we apply at the Forecast will be enhanced through our relationship with Mercury Insurance."
Mercury Insurance has invested heavily in recent years to develop a better understanding of the impact that climate change is having on the company and its customers, and these learnings have transformed how Mercury operates and manages catastrophic weather risks. As a California company doing business in a number of states that carry their own specific climate risks — from wildfires in the West to convective storms in the Midwest and hurricanes in the Southeast and East — Mercury continues to invest in developing products and services that protect the safety and financial well-being of the communities it serves.
"The relationship we are building with Dr. Li and the Anderson Forecast will further our understanding of the implications of various climate risks," said Victor Joseph, President and Chief Operating Officer of Mercury Insurance. "The research UCLA is conducting in this area is significant, because they are examining links between climate risks and the potential economic impact these risks can have on various facets of the economy. This partnership will support greater collaboration with external stakeholders so we can collectively build better solutions for communities most vulnerable to extreme climate events."
Leading the effort will be Dr. Zhiyun Li, who joined the UCLA Anderson Forecast in 2023. Dr. Li's work on climate change and its impact on the California economy was initially funded by a one-time grant from the California State Legislature. Mercury's involvement will provide ongoing funding of the position to allow Dr. Li to continue her work studying and forecasting climate-related issues at the state and national levels — research that includes how climate change and climate-related disasters affect different aspects of the economy and how the private sector and individuals adapt to climate impacts.
"Climate change has had a major impact on the insurance industry, and as a result, Mercury has continued to refine our approach to wildfire risk," says Joseph. "We review each policyholder individually and have strived toward greater communication and collaboration with our customers and communities. We work with them to implement best practices, and this has helped Mercury stay open for business in areas where other companies have pulled back significantly."
The findings of Dr. Li's work will continue over the next several years and will be shared externally on a periodic basis from Mercury Insurance and the UCLA Anderson Forecast via written communications, during economic conferences and through requests from the media.
About UCLA Anderson Forecast
UCLA Anderson Forecast is one of the most widely watched and often-cited economic outlooks for California and the nation and was unique in predicting both the seriousness of the early-1990s downturn in California and the strength of the state's rebound since 1993. The Forecast was credited as the first major U.S. economic forecasting group to call the recession of 2001 and, in March 2020, it was the first to declare that the recession caused by the COVID-19 pandemic had already begun.
About Mercury Insurance
Mercury Insurance (NYSE: MCY) is a multiple-line insurance carrier predominantly offering personal auto, homeowners and renters insurance through a network of independent agents in Arizona, California, Georgia, Illinois, Nevada, New Jersey, New York, Oklahoma, Texas and Virginia, as well as auto insurance in Florida. Mercury writes other lines of insurance in various states, including commercial, business owners and business auto, landlord, home-sharing, ride-hailing and mechanical protection insurance.
Since 1962, Mercury has provided customers with tremendous value for their insurance dollar by pairing ultracompetitive rates with excellent customer service. Mercury has earned "A" ratings from A.M. Best and Fitch, as well as "Best Auto Insurance Company" designations from Forbes and Insure.com. For more information visit www.MercuryInsurance.com or follow the company on Twitter or Facebook.
SOURCE Mercury Insurance
