Carbon insurer Artio has secured Lloyd’s coverholder status to support the scaling of global carbon markets through early-stage carbon insurance.  

This designation authorises Artio to write coverage on behalf of the Lloyd’s reinsurance marketplace. 

The approval follows Artio’s participation in Lloyd’s Lab Cohort 13, which began in October 2024.  

The company said that within six months it built its proprietary risk model, launched its initial insurance product and secured approval to operate as a coverholder in partnership with global insurance capacity providers. 

Lloyd’s Commercial Education and Engagement head of innovation Rosie Denée said: “We are pleased to welcome Artio as a Lloyd’s coverholder – a reflection of the market’s commitment to supporting innovative, high-impact solutions to global challenges.” 

Artio is backed by insurers including Tokio Marine HCC, Markel and Apollo.  

Its underwriting approach is based on predictive risk modelling, which assesses the probability of carbon credit under-delivery before project commencement.  

The analysis incorporates a range of risk factors including financial, climatic, political and methodological variables. 

Artio co-founder and CEO Bilal Hussain said: “Securing Lloyd’s coverholder status is a significant milestone. Carbon buyers are ready to back high-quality climate solutions, but uncertainty at the earliest stages continues to hold back critical capital flows. By providing cover before projects even begin, we are helping create the conditions needed to accelerate the scaling of this market. 

He added: “We believe that data-driven, fit-for-purpose risk models can unlock billions in new investment and, with the backing of our Lloyd’s underwriting partners, we now have the platform to do that globally.” 

Currently, Artio offers insurance coverage for afforestation, reforestation and revegetation projects, as well as for biochar initiatives.  

These project types focus on land restoration and carbon sequestration through biological processes.  

The company plans to expand coverage in 2025 to include direct air capture (DAC) and enhanced rock weathering (ERW) technologies.