Marriott Cites Costs From Climate Change and Extreme Weather

Key Points

• Marriott International now acknowledges that climate change and extreme weather are already increasing its operational costs, particularly for insurance and energy.
• The company's latest annual report marks a shift from previous filings, which described climate impacts as future risks rather than current realities.
• Rising insurance costs and more frequent natural disasters may affect not only Marriott but also property owners, franchisees, and the broader hotel industry.

Summary

Marriott International has updated its annual report to state that climate change and extreme weather are already driving up its costs, especially for insurance, energy, and other operations—a notable shift from previous reports that framed such challenges as future possibilities. The company emphasized the rising burden of insurance in the wake of more frequent and severe natural disasters, a trend supported by scientific data. These developments could impact not just Marriott but also property owners, franchisees, and the global hotel industry.