Delivering on the promise to be around in 50 years time is how Sovereign defines its sustainability challenge.
Sovereign became the first New Zealand signatory to the United Nations’ Principles of Sustainable Insurance, the leading edge global initiative designed to make sustainability a fundamental concern of the insurance industry. In further support to this, Sovereign is also a founding signatory to the Natural Capital Declaration, a complementary global initiative that further supports long term thinking and links the importance of bio diversity loss, and economic and environmental challenges, with quality of life.
The Principles in Rio de Janeiro, Brazil, at the International Insurance Society seminar.
Sovereign, which played a role in developing the Principles, is one of 27 founding signatory insurance companies worldwide, and 7 supporting institutions, representing approximately USD $500 billion in gross premiums written. Signatories pledge to make environmental, social and governance concerns key to their operations, particularly in regards to risk management.
“Sovereign is very proud to be a signatory to this very important initiative, after years of hard work to get it to this stage,” says Sovereign CEO Charles Anderson.
“Becoming a signatory obliges us to think about the consequences of the way we do business. It’s about going beyond the balance sheet to consider the impact of our actions on society as a whole and on the world we live in. It’s about embedding principles of sustainability into our day-to-day business.
And it’s about taking a leadership and advocacy role within the industry, including working with the government, to promote positive impact.
“We’re confident that by making this pledge – and following it up with measurable actions – we can become an even stronger and more responsive company, while working together with the wider industry to make a positive difference to New Zealand in the long term.
“We are also proud to support the Natural Capital Declaration as a global initiative to measure, disclose and take action to value natural resources as an extension of capital. Sovereign is committed to understanding the impact that our investments have on natural capital and we look forward to working with others to realise this ambition.”
United Nations Secretary-General Ban Ki-moon said the launch of the Principles of Sustainable Insurance was a further evolution of the important movement to build a green economy.
“Insurers are increasingly recognizing the need to develop products and services that address the needs of a rapidly changing world, including inclusive insurance that caters to low-income communities, people with HIV/AIDS or disabilities, and ageing populations.
“The Principles for Sustainable Insurance provide a global roadmap to develop and expand the innovative risk management and insurance solutions that we need to promote renewable energy, clean water, food security, sustainable cities and disaster-resilient communities.”
The Principles recognise the vital role the insurance industry plays in fostering economic development and innovation, and protecting society, in a landscape of increased risk.