Scope 3 Emissions for Property/Casualty Insurers

In this policy paper, the Climate Related Financial Disclosures work group has detailed some of the most difficult challenges involved in financial reporting of Scope 3 Emissions for United States insurance companies.  While Scope 1 and 2 Emissions originate in the operations of the reporting company, Scope 3 Emissions originate in the operations of companies upstream and downstream from the reporting company.  While recognizing the stated benefits from proponents of Scope 3 reporting, the paper documents issues of scope, clarity and data availability as problematic for those tasked with this reporting.