Gold Standard has appointed insurance and reinsurance broking group Howden to assess and approve insurance policies that support the eligibility of carbon credits under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).
CORSIA, developed by the International Civil Aviation Organization (ICAO), aims to curb greenhouse gas emissions from international flights. Airlines participating in the scheme are required to offset any emissions that exceed a set baseline, using either approved carbon credits or sustainable aviation fuels (SAF).
Under the new arrangement, Howden will act independently to verify insurance policies that meet the standards set by Gold Standard. These policies will enable carbon offset project developers to manage political and regulatory risks associated with carbon credits, helping to ensure compliance with CORSIA’s first phase, which runs from 2024 to 2026.
The collaboration is expected to strengthen carbon market integrity and attract wider institutional investment by reducing associated risks. A newly introduced insurance assessment process will broaden access to insurance products, improving confidence among buyers and project developers alike.
Charlie Pool, Head of Carbon Markets, Climate Risk and Resilience at Howden, said: “By broadening access to insurance products and reducing risks, this partnership will provide additional security through independent verification. It’s a vital development in supporting the issuance of credible carbon credits and enabling compliance with CORSIA.”
He added that the initiative sets a precedent for how insurance mechanisms can unlock capital flows previously deterred by risk, thereby enhancing the scale and integrity of carbon markets.
Margaret Kim, CEO of Gold Standard, echoed this view, stating: “To enable meaningful climate action, we must broaden access to evolving markets such as CORSIA. Recognising insurance through a rigorous assessment framework will help more projects qualify for CORSIA credits in a way that is credible, reliable, and underpinned by strong standards.”
The partnership marks a key development in efforts to de-risk climate investments and scale voluntary carbon markets to support the global transition in aviation.
