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Tokio Marine makes strategic investment in carbon insurer Kita
The investment extends Kita’s work with Tokio Marine Kiln and aims to develop coverage for nondelivery of prepaid carbon credits, plus satellite-based project risk assessments.
Tokio Marine Group has made a strategic investment in carbon insurance specialist Kita, with financial terms not disclosed, according to Coverager.
Kita, founded in 2021 and headquartered in Worcester, United Kingdom, said the deal expands its existing relationship with Tokio Marine Kiln. That partnership has focused on political risk insurance for carbon credit transactions, and Kita will now work with additional Tokio Marine companies including Tokio Marine & Nichido Fire Insurance.
The companies plan to develop coverage protecting buyers against the nondelivery of prepaid carbon credits. They will also explore carbon-project risk assessments using satellite analytics.
Tokio Marine also intends to combine these capabilities with services provided through engineering consultancy Nippon Koei, potentially creating a product suite spanning project screening, due diligence, implementation, and ongoing monitoring. Kita has raised more than $5 million and is backed by Chaucer Group, Munich Re Specialty, RenaissanceRe, and Tokio Marine Kiln.