Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Responsible Investment
• Sustainable Insurance

Environmental Achievements

• Germany operations carbon-neutral since 2019
• Invested EUR 2 billion in renewable energy sources
• Purchased one of Europe's largest solar farms (934 MW)
• Operates 21 wind farms (3 offshore)

Social Achievements

• Appointed Diversity & Inclusion Manager (March 2021)
• HDI Global France offered insurance solutions for COVID-19 clinical research
• HDI Germany covered business shutdown insurance for officially ordered closures due to coronavirus
• HDI Lebensversicherung AG helped customers defer premium payments
• Employee overtime donated to colleagues facing childcare challenges

Governance Achievements

• Joined UN Global Compact
• Joined Principles for Responsible Investment (PRI)
• Committed to Principles for Sustainable Insurance (PSI)
• First-time TCFD reporting
• ESG criteria incorporated into Board of Management remuneration

Climate Goals & Targets

Environmental Challenges

• Coronavirus pandemic impacting operations and compliance training
• Supply chain disruptions not specifically mentioned but implied by pandemic
• Difficulty in assessing the probability and impact of natural disasters due to climate change

Mitigation Strategies

• Transitioned face-to-face training to webinars
• Increased monitoring of compliance rules
• Expanded cyber security training at HDI Global (USA)
• Remote working promoted throughout the Group
• Developed a climate strategy for investments aiming for 30% reduction in carbon intensity of liquid portfolio by 2025

Supply Chain Management

Responsible Procurement

• Code of Conduct for Business Partners
• Green Office catalogue of environmentally friendly office materials
• Preference for regional suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Increased losses from natural disasters

Transition Risks

• Regulatory changes
• Market shifts
• Stranded assets

Opportunities

• Increased demand for natural hazard insurance
• Investments in renewable energy

Reporting Standards

Frameworks Used: GRI Standards (Core option), TCFD, UN Global Compact, Principles for Responsible Investment (PRI), Principles for Sustainable Insurance (PSI)

Certifications: ISO 27001 (Information Security Management System)

Third-party Assurance: PricewaterhouseCoopers GmbH (limited assurance review of consolidated non-financial statement)

UN Sustainable Development Goals

• SDG 4: Quality Education
• SDG 5: Gender Equality
• SDG 7: Affordable and Clean Energy
• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation and Infrastructure
• SDG 12: Responsible Consumption and Production
• SDG 13: Climate Action

Talanx supports these SDGs through investments, insurance products, and operational practices

Sustainable Products & Innovation

• HDI One Click (fully digital motor vehicle insurance)
• Sustainable investment portfolios
• Weather risk insurance

Awards & Recognition

• Equality for Women at Work Certificate (HDI Sigorta)
• EDGE certification (HDI Seguros new headquarters)

Environmental Metrics

ESG Focus Areas

• Climate change mitigation
• Support for climate action
• Climate action and environmental protection
• Responsibility to customers
• Employee matters
• Governance in asset management
• ESG in Board of Management remuneration
• Diversity, equity and inclusion
• Employee’s journey
• Ensuring access to education
• Promoting access to infrastructure

Environmental Achievements

• Reduced carbon intensity (Scope 1 and 2) by 20% compared to 2019 baseline.
• Reached EUR 8 billion in sustainable investments (target for 2025 achieved in 2022).
• Reduced total GHG emissions (market-based) by 52% compared to 2019.
• 56.3% of total electricity consumption from renewable sources.

Social Achievements

• Launched TAUVE e. V. association to support employees in severe economic or personal difficulties.
• Moderate employee turnover rate of 8.0%.
• HDI Group offers 12 different vocational training and degree courses.
• 70% of trainees were given permanent positions in 2022.
• 21 candidates graduated from the Female Empowerment Programme.

Governance Achievements

• Appointed two Supervisory Board members as sustainability experts.
• Strengthened sustainability by expanding ESG teams in all divisions.
• Updated Code of Conduct for Business Partners.
• Implemented a new Board of Management remuneration system linking variable remuneration to sustainability goals.

Climate Goals & Targets

Environmental Challenges

• Climate change risks in asset management and underwriting.
• Data protection and cybersecurity risks.
• Supply chain disruptions and human rights challenges.
• Uncertainty surrounding future regulatory requirements.

Mitigation Strategies

• Integrated sustainability risks into enterprise risk management system.
• Implemented ESG screening processes for investments and underwriting.
• Developed a multi-stage plan for exiting thermal coal by 2038.
• Introduced additional exclusions for oil and gas projects.
• Strengthened compliance management system and whistle-blowing system.
• Developed a Code of Conduct for Business Partners.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of Conduct for Business Partners
• Sustainable procurement practices (e.g., regional sourcing, environmentally friendly products).

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Natural disasters

Transition Risks

• Regulatory changes
• Market shifts
• Carbon pricing

Opportunities

• Insurance for renewable energies and green technologies
• Risk consulting services for climate risk analysis and prevention

Reporting Standards

Frameworks Used: GRI Standards, TCFD Recommendations, UN Global Compact, Principles for Responsible Investment (PRI), Principles for Sustainable Insurance (PSI)

Certifications: ISO 27001 (HDI ISMS)

Third-party Assurance: PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft (limited assurance)

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 5
• SDG 7
• SDG 8
• SDG 9
• SDG 11
• SDG 12
• SDG 13

The Talanx Group's initiatives contribute to these goals through various programs and activities related to employee well-being, education, gender equality, renewable energy, decent work, infrastructure investment, sustainable cities, sustainable consumption and production, and climate action.

Sustainable Products & Innovation

• Insurance solutions for renewable energies
• CleverInvest Green (sustainable investment product)

Awards & Recognition

• Nominated for the German Diversity Award

Environmental Metrics

ESG Focus Areas

• Climate Change
• Social Responsibility
• Governance

Environmental Achievements

• 34% Carbon intensity reduction of liquid investment portfolio compared to the 2019 baseline
• 34% CO2 emissions reduction in global primary insurance operations 2023 vs. 2019
• Reduction in Scope 1 and Scope 2 emissions in Germany compared to the 2019 baseline
• Withdrawal from thermal coal risks by 2038 and oil & gas exclusions
• Exceeded the EUR 8 billion target for sustainable investments in 2025 (reached EUR 11.3 billion)

Social Achievements

• Focus for social activities in the Group (“Employee’s Journey”, “Ensure Access to Education”, “Promote Access to Infrastructure”, “Diversity, Equity & Inclusion”)
• Emergency aid after earthquake in Türkiye
• Decentral social activities and donations aligned with strategic focus

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed