Concerns about climate change, social justice, and equality have been increasing for years, but in 2021, these concerns are becoming mainstream in all areas of business, including insurance. This report is the third in a series which will examine how the insurance industry is integrating ESG (Environmental, Social, and Governance) concerns into their operations and reporting. This report is the third in a series which will examine how the insurance industry is integrating ESG (Environmental, Social, and Governance) concerns into their operations and reporting.
This third installment will provide an overview of ESG, current regulations and disclosures, and a summary of some of the current efforts to standardize ESG regulations and disclosures. The next report will, in turn, examine environmental, social, and governance concerns and what companies are doing to each of those areas. As part of each of the reports, the publisher will include a more detailed analysis of individual companies and their efforts in that area based on their 2020 filings.
ESG issues, reporting and disclosure requirements, and regulations are changing quickly, and the changes are almost certain to keep accelerating. Insurance companies that do not stay out in front of the issues will quickly find themselves at a disadvantage.
This third installment will provide an overview of ESG, current regulations and disclosures, and a summary of some of the current efforts to standardize ESG regulations and disclosures. The next report will, in turn, examine environmental, social, and governance concerns and what companies are doing to each of those areas. As part of each of the reports, the publisher will include a more detailed analysis of individual companies and their efforts in that area based on their 2020 filings.
ESG issues, reporting and disclosure requirements, and regulations are changing quickly, and the changes are almost certain to keep accelerating. Insurance companies that do not stay out in front of the issues will quickly find themselves at a disadvantage.
Readers can use this Report to:
- Compare a company’s ESG actions to market leaders
- Monitor pressures for insurance companies to control carbon emissions
- Prepare for likely increases in ESG reporting requirements
- Provide perspective for companies developing their ESG Investment strategy
Key research questions addressed in this report:
- How well are market leaders addressing Environmental concerns?
- Where can the insurance industry wield its power as an investor?
- What are some of the investment strategies being implemented by insurers?
- What is transition risk, and what industries are most exposed to it?
Table of Contents
1. Introduction6. The Path Forward
2. Why Now?
3. Environmental Concerns: The Most Easily Measured Part of ESG
4. Investments: The Insurance Industry’s Largest Lever
5. What Companies Should Insurers Be Willing to Insure?
Companies Mentioned
A selection of companies mentioned in this report includes:
- Metropolitan
- New York Life
- Progressive
- Lincoln National
- Brighthouse
- Unum
- Aflac
- Liberty Mutual
- Prudential Allstate
- Travelers
- Nationwide
