Permanent Carbon

Our policy is both ETS and PFSI compliant and can also insure for voluntary units. It insures the weight of sequestered Carbon in the event of an emission liability from defined events for permanent forests. The cover allows two options to the ‘Standard Cover’ which insures your current carbon stock sequestered, these are:

  1. ‘Indexed Growth’ which allows you to insure your current carbon stock plus the increase of carbon stock sequestered during the period of insurance.

  2. ‘Future Carbon Loss’ which in addition to the standard cover allows you to insure projected carbon not yet sequestered for up to 5 years into the future. As long as you replant following a loss, this option, if insured correctly will allow you to repay your obligation to replace units and could fulfil a shortfall from a contract you may have entered into with a third party to supply a fixed number of units by the contract expiry date.

Under section 2 you can insure NZU, AAU or voluntary (VER) units for either:

  1. Post 1989 to pre 2008 carbon stock

  2. Post 2008 obligation period increased carbon stock.

  3. Those units for which you have an obligation to replace only.

Defined Events include:

  • Fire

  • Lightning

  • Impact

  • Malicious Damage

Additional Benefits and Options may include:

  • Claim Preparation Costs

  • Removal of debris & Replanting Costs

  • Fire-fighting Expenses

  • Windstorm – Sub limits apply

  • Earthquake

  • Volcanic Eruption

Our policy is a not a reworded standing timber policy and does not respond as one.

Our policy is annually renewable by way of offer and acceptance and is based on an agreed value with various deductible levels