The Canadian Institute of Actuaries (CIA) has announced a partnership on climate research aimed at helping protect Canada’s financial sector from climate-related threats.
The project, led by Université du Québec à Montréal (UQAM) and funded by the Natural Sciences and Engineering Research Council of Canada (NSERC), will develop models to assess climate risks facing Canadian financial institutions. The research will focus on hazards, including floods, wildfires, and transition risks linked to the shift to a low-carbon economy.
UQAM professor Mathieu Boudreault will lead the project through the university’s research chair in Actuarial and Climate Sciences (ClimACT). The initiative combines actuarial science with climate modelling to address growing environmental challenges.
The project, which will run until March 2030, secured nearly $1.6 million in total funding. The NSERC provided $1.05 million in grants, while UQAM’s ClimACT contributed $525,000. ClimACT receives funding from three Canadian property and casualty insurers: Co-operators, Definity, and Intact.
The CIA will provide in-kind resources through March 2030 to support project oversight, knowledge integration, and outreach to actuarial professionals.
“This research project reflects our commitment to advancing climate science and supporting the public interest,” Angelita Graham, the institute’s president, said in a statement. “By integrating actuarial expertise with climate modelling, we can help governments, financial institutions, pension plans, and society better prepare for the challenges ahead.”
According to the CIA, the partnership reflects its focus on interdisciplinary collaboration and evidence-based policy development for climate risk management. The institute plans to develop tools and guidance for actuaries, financial institutions, and policymakers.
The project comes amid broader efforts in Canada’s financial sector to strengthen resilience to climate risks. Regulators such as the Office of the Superintendent of Financial Institutions have undertaken exercises to model physical and transition risks for financial institutions, while Canadian pension plan sponsors have cited climate risk as a top concern shaping investment strategies.
The Canadian Institute of Actuaries governs more than 6,800 actuarial professionals across Canada who provide risk management expertise to organizations and individuals.
