SOCIAL RESPONSIBILITY OF INSURANCE COMPANIES 31st May 2012 Stefan Emberger Agenda Changes in the corporate environment Our response: Responsibility at Munich Re 2
Agenda Changes in the corporate environment Our response: Responsibility at Munich Re 3 Changes in the corporate environment Munich Re's stakeholders and their interests - requesting more than shareholder value Social Analysts, rating agencies Employees Clients Innovation Energy efficiency Non-governmental organisations (NGOs) Media/Press Yield/ Share price Environment Trade unions Investments Human rights Society Diversity Anticorruption Politics/ Authorities Science Compliance Shareholders/ Investors Working conditions International organizations Environmental protection Stakeholders Stakeholder interests 4
Changes in the corporate environment Munich Re's stakeholders and their interests - requesting more than shareholder value Social Analysts, rating agencies Employees Clients Innovation Energy efficiency Non-governmental organisations (NGOs) Media/Press Yield/ Share price Environment Trade unions Investments Human rights Society Diversity Anticorruption Politics/ Authorities Science Compliance Shareholders/ Investors Working conditions International organizations Environmental protection Stakeholders Stakeholder interests 5 Changes in the corporate environment Munich Re's stakeholders and their interests - requesting more than shareholder value Social Analysts, rating agencies Employees Clients Innovation Energy efficiency Non-governmental organisations (NGOs) Media/Press Yield/ Share price Environment Trade unions Investments Human rights Society Diversity Anticorruption Politics/ Authorities Science Compliance Shareholders/ Investors Working conditions International organizations Environmental protection Stakeholders Stakeholder interests 6
Changes in the corporate environment Munich Re's stakeholders and their interests - requesting more than shareholder value Social Analysts, rating agencies Employees Clients Innovation Energy efficiency Non-governmental organisations (NGOs) Media/Press Yield/ Share price Environment Trade unions Investments Human rights Society Diversity Anticorruption Politics/ Authorities Science Compliance Shareholders/ Investors Working conditions International organizations Environmental protection Stakeholders Stakeholder interests 7 Agenda Changes in the corporate environment Our response: Responsibility at Munich Re 8
Our response: Responsibility at Munich Re Action fields and their expected impact Strategy & We would like to contribute to the... Responsibility into Business Environmental Management System Reporting & Communication Citizenship increase in reputation and attractiveness for all stakeholders potential early identification of business risks and opportunities educated decisions on global risks and problems strengthening share price 9 Our response: Responsibility at Munich Re Action fields and their expected impact Strategy & We would like to contribute to the... Responsibility into Business Environmental Management System Reporting & Communication Citizenship increase in reputation and attractiveness for all stakeholders potential early identification of business risks and opportunities educated decisions on global risks and problems strengthening share price 10
Our response: Responsibility into business International cooperations of Munich Re a strong commitment towards corporate responsibility Examples since 1999 since 2006 since 2007 since 2007 UNEP-FI Munich Re has signed the UNEPFI climate declaration and is active member of the UNEPFI Climate Change Working Group to establish ESG (Environmental, Social, in our core business. Objective: Principles for Sustainable Insurance Principles for Responsible Investment (PRI) Munich Re has actively developed and signed the UN Principles for Responsible Investment (PRI) as first German company in April 2006. By January 2011, PRI has 872 signatories. By January 2011 Chair of PRI. UN Global Compact Munich Re is member of the UN Global Compact since August 2007. The ten principles of Global Compact are a guidance for action in our business and set the basis for our Responsibility activities. Principles for Sustainable Insurance (PSI) Since September 2010 Munich Re holds the chair in the Insurance Commission with the aim to anchor ESG criteria into business and business operations. 11 Our response: Responsibility into business Added value through innovation: Product solutions for global challenges Our contribution to sustainable development Reinsurance Primary insurance Asset management/ Investment Climate change New coverage concepts in the area of renewable energy Globe of Natural Hazards NatCatSERVICE The "Agro System" Health Managed care and prevention Life insurance Unit-linked life insurance with investment in SRI products Motor insurance 10% premium rebate for environmentally friendly cars Microinsurance Insurance solutions for natural hazards in Asia SRI funds MEAG climate strategy MEAG sustainability equity fund MEAG fair return fund Desertec CO2-free power generation in North Africa RENT Renewable Energies and New Technologies: investments of 2.5bn planned 12
Our response: Responsibility at Munich Re Action fields and their expected impact Strategy & We would like to contribute to the... Responsibility into Business Environmental Management System Reporting & Communication Citizenship increase in reputation and attractiveness for all stakeholders potential early identification of business risks and opportunities educated decisions on global risks and problems strengthening share price 13 Our response: Environmental Management System CO 2 reduction and economic value through efficiency and controlling Building CO 2 reduction and neutrality on environmental management Thousand t 70 MR IO 60 50 MRM 40 30 20 10 0 2006 2008 2010 2012 Environmental management system with 20% of sites certified Energy efficiency in buildings and IT: e.g. MRAmerica, MEAG, MRM. Energy from renewables: e.g. Munich and Milan CO 2 Neutralization: Purchasing CO 2 certificates Achieving CO 2 neutrality Munich Re (Munich) CO 2 -neutral since 2009 Munich Re Group (global) CO 2 -neutral by 2015 14
Our response: Responsibility at Munich Re Action fields and their expected impact Strategy & We would like to contribute to the... Responsibility into Business Environmental Management System Reporting & Communication Citizenship increase in reputation and attractiveness for all stakeholders potential early identification of business risks and opportunities educated decisions on global risks and problems strengthening share price 15 Our response: Citizenship Citizenship is one of the pillars of CR at Munich Re Citizenship (CC) is understood to encompass all the voluntary activities which a company undertakes to benefit its host society. These activities may be of a social, ecological or cultural nature. Involvement in civil affairs is one aspect of corporate responsibility and circumscribes the company s external involvement. CC measures include not only donations, sponsoring and memberships in organisations, but also corporate foundations, corporate volunteering and public-private partnerships. Donations Sponsoring Memberships 16
Our response: Responsibility at Munich Re External confirmation of the success of corporate responsibility management over the last decade Note "Prime" CR rating in 2010; Munich Re is listed among the "best in class" * Among the 50 companies that make substantial and pioneering contributions towards meeting great global challenges* Listed since October 2005. Among the 100 companies worldwide with the greatest commitment to climate protection Rating 2010: in the insurance sector, ranked 4 among 108 * Listing of Munich Re in the Global Challenges Index has been cancelled in 2011 17 Our response: Responsibility at Munich Re... but listings are closely monitored, their granting is sensitive and not a given... Note "Prime" CR rating in 2010; Munich Re is listed among the "best in class" * Among the 50 companies that make substantial and pioneering contributions towards meeting great global challenges* Listed since October 2005. Among the 100 companies worldwide with the greatest commitment to climate protection Rating 2010: in the insurance sector, ranked 4 among 108 * Listing of Munich Re in the Global Challenges Index has been cancelled in 2011 18
Our response: Responsibility at Munich Re Current listing and external confirmation of the success of corporate responsibility management Note "Prime" CR rating in 2010; Munich Re is listed among the "best in class" Listed since October 2005. Among the 100 companies worldwide with the greatest commitment to climate protection Rating 2010: in the insurance sector, ranked 4 among 108 19 Our response: Responsibility at Munich Re Continuous and transparent reporting on Group-wide Responsibility activities http://www.munichre.com/corporate-responsibility 20
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