Allianz Trade launches sustainability product Surety Green2Green

It insures sustainability-related projects, and premiums received are invested in certified green bonds.

Allianz Trade has unveiled Surety Green2Green, which uses the premiums as investments in certified green bonds.

Surety Green2Green enables Allianz Trade clients to engage in low-carbon technologies and renewables projects through issuance of surety bonds and guarantees securing their proper completion, the insurer said in a press release.

Once a project aligned with Allianz Trade’s low-carbon technology standards is identified, the insurer’s sustainability experts assess the project. If it meets their criteria, the premiums Allianz Trade earns from the transaction are then held as investments in certified green bonds.

“This way, we create a full-circle benefit: we issue bonds that ensure low-carbon project’s success, and we fuel the sustainable transition of the overall economy,” Soenke Schottmayer, head of commercial – global surety at Allianz Trade.

With the launch of Surety Green2Green, Allianz Trade aims to duplicate this approach and enhance its capabilities to support projects on renewable energy, heat generation to carbon removal, and green buildings, amongst others.