Allianz's board says it's time to save the planet. They can start…

Stark warnings about climate change are everywhere. But last week, one stood out for its clarity, urgency – and unlikely author.

In a measured tone, Günther Thallinger, a board member for the insurance group Allianz, laid out how climate change will destroy society as we know it.

“There is no way to ‘adapt’ to temperatures beyond human tolerance,” he writes. “Whole cities built on flood plains cannot simply pick up and move uphill.”

These are not scare tactics to encourage people to buy more insurance. Once we reach 3°C of warming, he explains, the situation locks in. At that point, no one can take on the risks, so there will be no more insurance.

The prospect of an insurance-free world may not sound immediately concerning. In fact, it would be catastrophic for the entire financial system. No bank will issue loans for property or projects that cannot be insured. There will be no long-term investment and no financial stability. “The financial sector as we know it ceases to function,” and governments already hit by costly climate crises can’t afford to step in. “Capitalism as we know it ceases to be viable,” Thallinger warns.