Climate Change Data

Environmental Metrics

ESG Focus Areas

• Poverty Alleviation
• Rural Revitalization
• Green Finance
• Serving the Real Economy
• Social Security
• Corporate Governance
• Risk Management
• Customer Satisfaction
• Employee Well-being
• Environmental Protection

Environmental Achievements

• Established the Lab for Innovation in Green Insurance Products
• Actively participated in the pilot run of environmental pollution liability insurance, covering 31 provinces and providing RMB 12.2 billion risk coverage for 6,648 enterprises.
• Raised over RMB 20 billion capital for green projects in various sectors.
• Used recycled water in some offices, reducing resource consumption.

Social Achievements

• Provided RMB 185.7 billion risk coverage through the "Shenpinbao Insurance" project for poverty alleviation in 58 counties.
• Dispatched over 1,100 poverty alleviation officers.
• Provided insurance for 770 million mu of crops, 1.19 billion mu of forests, and 180 million boars and breeding sows, providing RMB 2.2 trillion risk coverage for nearly 100 million peasants.
• Supported "San Nong", small and micro enterprises, and the private economy, covering 30 provincial institutions and 162 prefecture-level cities.
• Underwrote 2,009 policy-oriented medical insurance projects for 740 million people.
• Successfully qualified as a legal person of annuity trustee and account management agency.
• Offered RMB 11 trillion risk coverage for international business in over 150 countries and territories.
• Launched the "PICC E-Marketing" tool, with over 202,000 users and 2,007,000 effective policies.
• Expanded the sharing-oriented rural service network, covering 100% of counties, 98% of towns, and 54% of administrative villages.

Governance Achievements

• Improved corporate governance structure in compliance with relevant laws and regulations.
• Implemented the "3411 Project" for high-quality development.
• Consolidated risk prevention foundation and improved legal compliance.
• Introduced 224 anti-corruption rules and conducted 1,173 inspection tours.
• Sent out 884,000 messages to warn against corruption.

Climate Goals & Targets

Environmental Challenges

• Complex landscape of overlapping macroeconomic cycle, technical reform, and a "new cycle" of the insurance sector.

Mitigation Strategies

• Keep its mission in mind, take on responsibility, and better serve the development of the real economy and cater to people's demand for a better life.
• Thoroughly serve the rural vitalization strategy, advance the supply-side reform of agricultural insurance products and services, and constantly enhance the coverage of "San Nong" insurance.
• Resolutely serve the poverty alleviation campaign, fulfill the task of poverty alleviation for designated counties, and improve the weakest link in building a moderately prosperous society.
• Vigorously develop tech insurance to facilitate the manufacturing industry.
• Promote green insurance and participate in financing and investing in green projects to facilitate pollution prevention.
• Make active innovation in insurance and investment mechanisms, and support the development of small and micro enterprises in such fields as risk reduction, credit enhancement, and capital attraction.
• Seek to meet people's expectation and desire for coverage of sickness and pension by improving the social security system, and advancing the health care for senior citizens.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• PICC Supplier Management Regulations
• Integrated management of supplier’s social responsibility into centralized procurement management and suppliers’ code of conduct.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Standards (2016), Guidelines on the Disclosure of Environmental Information by Listed Companies of the Shanghai Stock Exchange, Environmental, Social and Governance Reporting Guide (HKEx ESG)

Certifications: Null

Third-party Assurance: SGS

UN Sustainable Development Goals

• SDG 1
• SDG 2
• SDG 3
• SDG 4
• SDG 5
• SDG 6
• SDG 7
• SDG 8
• SDG 9
• SDG 10
• SDG 11
• SDG 12
• SDG 13
• SDG 16
• SDG 17

Various initiatives contribute to these goals as detailed in the report.

Sustainable Products & Innovation

• Green insurance products
• Environmental pollution liability insurance
• Agricultural insurance products
• Health insurance products
• Pension products

Awards & Recognition

• Ranked No. 117 on the 2018 Fortune Global 500 list
• Ranked on the list of 2018 Top 10 Chinese Charitable Insurers
• Ranked No. 29 on the 2018 Fortune China 500 list
• Various other awards for subsidiaries

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Rural Revitalization
• Supply Chain Management
• Customer Service
• Risk Management
• Community Investment
• Green Investment

Environmental Achievements

• Launched China's first "Carbon Sink Loan" forest insurance
• Green investments reached RMB 19.509 billion
• Reduced energy consumption per RMB 10,000 of output value by 2%-5%
• Annual electronic policies exceeding 250 million sheets

Social Achievements

• Provided insurance coverage for Beijing 2022 Winter Olympics and Paralympics
• 95518 national service line achieved a customer service satisfaction rate of over 99%
• Paid RMB 5.028 billion insurance indemnities for Henan rainstorm disaster
• Donated insurances of more than RMB 23.3 billion and purchased agricultural products worth RMB 38.85 million to stimulate rural consumption and help rural areas
• Implemented "undifferentiated rescue" services during Henan flood

Governance Achievements

• Improved corporate governance structure by revising the Articles of Association, Rules of Procedure for the General Meeting of Shareholders, Rules of Procedure for the Board of Directors, and Rules of Procedure for the Board of Supervisors
• Strengthened risk management system and mechanism around the CBIRC's C-ROSS rules
• Concluded 5 cases involving corruption, all of which were reported in previous years
• Strengthened intellectual property protection by establishing an intellectual property agency resource database

Climate Goals & Targets

Environmental Challenges

• Extreme weather events impacting business activities and the economy
• Supply chain disruptions
• Climate change risks
• Fraudulent claims

Mitigation Strategies

• Created a disaster emergency command and dispatching platform
• Established a supplier management database to monitor supplier risks
• Developed a collaborative mechanism for serving carbon peak and carbon neutrality goals
• Upgraded anti-fraud risk control ability by building an anti-fraud system

Supply Chain Management

Responsible Procurement

• Preferentially purchasing energy-saving and environmentally friendly products

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Reporting Standards

Frameworks Used: GRI Standards, HKEx ESG Reporting Guide, UN SDGs

Certifications: ISO 27001

Third-party Assurance: SGS -CSTC Standards Technical Services Co., Ltd.

Sustainable Products & Innovation

• Green insurance products
• Forestry carbon sink insurance
• Energy-saving transformation insurance

Awards & Recognition

• Best Asian Property Insurance Company (13 consecutive years)
• Moody's A1 rating
• Best Customer Contact Center in China (14 consecutive years)
• Various other awards listed in the report

Environmental Metrics

ESG Focus Areas

• Fully Exert the Insurance Guarantee Function and Support the Real Economy
• Improving Corporate Governance Operation by Law
• Strengthening Risk Prevention and Control
• Protection of Intellectual Property Rights
• Standardizing Information Disclosure
• Strengthening Political Security
• Serving Customers Wholeheartedly
• Progression by Collaborating with Partners
• Safeguarding the Happiness of Employees
• Pursuit of Green Development
• Giving Back to Society

Environmental Achievements

• Provided RMB 68 trillion in green insurance guarantee in 2022
• Green investments reached RMB 22.785 billion
• Reduced energy consumption by implementing timed operation measures for electrical equipment
• Recycled and reused no less than 1,500 tons of water at the headquarter

Social Achievements

• Online customer service 20-second response rate was 99.4%, and satisfaction rate reached 99.8%
• 100% of employees had signed labor contracts and received social insurance coverage
• Donated RMB 76.565 billion insurance coverage and RMB 44.15 million for consumption assistance
• Total volunteering hours: 563,578.4 hours; participants: 15,767 persons; beneficiaries: 1,206,551 persons
• Successfully issued earthquake catastrophe bonds in Hong Kong

Governance Achievements

• Strictly abided by the Insurance Law of the People’s Republic of China and other relevant laws and regulations
• Revised the Administrative Measures for Related Party Transactions and Working Rules of Related Party Transactions Control Committee
• Improved compliance management system and strengthened anti-corruption work
• Strengthened risk management system and mechanism

Climate Goals & Targets

Environmental Challenges

• Climate change related risks (extreme weather, natural disasters)
• Maintaining stable and high-quality development amidst economic fluctuations

Mitigation Strategies

• Built a multi-level catastrophe insurance guarantee system
• Strengthened catastrophe risk management capabilities
• Upgraded and optimized catastrophe insurance products
• Implemented economic stabilization policies in inclusive financing
• Developed innovative insurance products and services for various industries

Supply Chain Management

Responsible Procurement

• Strict management of supplier warehousing, contract signing, evaluation, assessment, and malpractice handling

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather and natural disasters

Reporting Standards

Frameworks Used: Appendix 27 Environmental, Social and Governance Reporting Guide to the Main Board Listing Rules (Hong Kong Stock Exchange), GRI Standards, UN Sustainable Development Goals (SDGs)

Third-party Assurance: Pricewaterhouse Coopers (for financial data)

UN Sustainable Development Goals

• Goal 1: No Poverty
• Goal 2: Zero Hunger
• Goal 3: Good Health and Well-being
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 9: Industry, Innovation and Infrastructure
• Goal 11: Sustainable Cities and Communities
• Goal 13: Climate Action

The report details how various initiatives contribute to these SDGs

Sustainable Products & Innovation

• Green insurance products (environmental pollution insurance, hazardous chemicals ship insurance, carbon quota insurance, carbon offset insurance, carbon capture insurance)
• Agricultural insurance products
• Intellectual property insurance products

Awards & Recognition

• Best Investor Relations Award for Listed Companies in Hong Kong Stocks
• Best Asian P&C Insurer of 2022
• 2022 IDC China Financial Technology Application Scenario Innovation Award
• 2022 Ark Award for Gold Insurance Services
• P&C Insurer of 2022 in the 16th Golden Cicada Award

Environmental Metrics

ESG Focus Areas

• Green Finance
• Rural Revitalization
• Science and Technology
• People's Livelihood and Well-being
• Green Development
• Safety Development
• Regional Development
• Belt and Road Initiative
• ESG Governance

Environmental Achievements

• Green insurance provided RMB 75.5 trillion of risk protection.
• Offered RMB 2.8 trillion of risk protection for wind power, photovoltaic, hydropower and other clean energy enterprises.
• Reduced the replacement of more than 2.28 million parts in motor vehicle insurance claims settlement, contributing to a decline in greenhouse gas emissions.
• Provided insurance guarantee support for 331 green and low-carbon enterprises and helped them obtain financing amounts of RMB 892 million.
• Insured more than 1.08 billion mu of forest, providing more than RMB 900 billion of risk protection for carbon storage and new carbon sequestration capacity.
• Launched the country's first forest biodiversity insurance.

Social Achievements

• Critical disease insurance services covered 481 million people.
• Long-term nursing insurance project served nearly 53 million insured people and paid out more than RMB 1.4 billion.
• Huimin insurance project covered 75 million people, provided claims settlement services for more than 9 million person-times, and paid out more than RMB 2.3 billion.
• Provided risk protection totaling RMB 245 trillion for more than 6 million new citizens.
• Provided 63,000 person-times of claim settlement services for new citizens.
• Launched the country's first aerospace information industry exclusive insurance product "Kongtian Insurance"
• Launched six exclusive products to serve small and micro businesses, serving more than 300,000 small and micro businesses.
• Provided 1.2 million times of claim settlement services for commercial truck owners.
• 100% of complaints were settled, and 99.88% of complaints were resolved within 15 days.

Governance Achievements

• Revised and issued the Red Line Manual for Compliance Management (2023 Edition).
• Revised and issued the Administrative Measures for Patents and Software Copyrights of PICC P&C (2023 Edition).
• Improved the compliance management system.
• 100% coverage rate of anti-corruption training for company employees.

Climate Goals & Targets

Environmental Challenges

• Extreme weather risk (liability side, asset side, operation side)
• Policy and legal risk (liability side, asset side, operation side)
• Long-term risk (liability side, asset side)
• Technology and market risk (liability side, asset side)
• Reputation risk

Mitigation Strategies

• Established scientific catastrophe risk assessment models, risk radar systems.
• Included climate change factors into insurance risk assessment and pricing.
• Conducted climate scenario analysis and stress tests.
• Formulated relevant plans to actively respond to floods, typhoons, earthquakes.
• Conducted climate-related product innovation and development.
• Optimized and adjusted actuarial models.
• Developed green insurance, strengthened capacity building.
• Boosted the formulation of green investment management measures.
• Put green office and green building construction as a major aspect of fulfilling its social responsibility.
• Kept an eye on national policies and regulatory requirements regarding green finance.
• Promoted the inclusion of ESG into investment research and decision-making.
• Considered geographic location and climate risks in selecting a new business location.
• Enhanced the remote control of the business.
• Strengthened the cooperation with third-party professional organizations.
• Followed up the development trend of low-carbon new technologies.
• Ensured the establishment of accurate risk control schemes and product pricing mechanisms.
• Made further efforts for digital transformation and the construction of Internet integrated service scenarios.
• Conducted energy-saving reconstruction.
• Increased the application proportion of online tools and management systems.
• Encouraged employees to develop environmental protection habits.

Supply Chain Management

Responsible Procurement

• Strictly abides by applicable national laws and regulations, including the Bidding Law of the People’s Republic of China and the Interim Provisions on Centralized Procurement Management of State-owned Financial Enterprises.
• Promotes the standardization of supplier management.
• Prioritizes public solicitation as methods for sourcing suppliers.
• Regularly assesses and evaluates suppliers’ execution of the contract.
• Conducts comprehensive assessments of suppliers’ performance, capability, credit, service.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather risk

Transition Risks

• Policy and legal risk
• Technology and market risk
• Reputation risk

Opportunities

• Products, services and market opportunities
• Resource efficiency and energy source opportunities

Reporting Standards

Frameworks Used: HKEX ESG Reporting Guide, GRI Standards 2021

Third-party Assurance: SGS-CSTC

Sustainable Products & Innovation

• Green building performance insurance
• Full house decoration insurance
• Enterprise sustainability insurance (ESG insurance)
• Local environmental pollution insurance products
• Natural gas residual pressure utilization insurance
• Carbon offset insurance
• Carbon asset pledge financing loan surety insurance
• Dual-carbon insurance
• Intellectual property insurance products
• Rural Insurance series of rural revitalization insurance products
• Rural public security insurance
• Rural road disaster insurance
• Rural public service facility insurance
• Rural self-built housing security insurance
• Data intellectual property infringement loss insurance
• Science and technology innovation insurance portfolio products
• Network security insurance
• Digital enterprise customized insurance
• Sharing economy insurance
• Digital asset insurance
• Truck insurance
• Freight transport insurance
• Carrier liability insurance
• Comprehensive insurance for industrial parks
• Small and micro loan assistance insurance
• Government and Banking Insurance
• Comprehensive store insurance
• Customer security insurance
• Diner worry-free insurance
• Shopkeeper security insurance
• Shop assistant security insurance
• Small store husband and wife insurance
• Rural housing insurance
• Comprehensive treatment insurance
• Crop seed production insurance
• Meteorological index insurance
• Critical illness insurance
• Huimin insurance
• Long-term nursing insurance
• New citizen insurance exclusive products
• Fengyu Insurance
• Ecological environmental green insurance
• Forest biodiversity insurance
• Ocean-going P&I insurance
• Coastal and inland river P&I insurance
• Short-term export credit insurance
• Import and export freight insurance
• Cross-border e-commerce insurance
• Overseas warehouse insurance
• 9610 cross-border e-commerce cargo transport insurance
• Intellectual property overseas rights protection insurance
• Qiang Xin Bao for the automotive chip industry chain
• Suyan Insurance

Awards & Recognition

• Forbes China Customer Service Enterprise Top 100
• Annual Insurance Service Award
• Outstanding Cases of Enterprise ESG Green Finance
• 2022 Fintech Development Award by the People's Bank of China
• 2023 China Financial Technology Application Scenario Innovation Outstanding Award
• Selected into the Industry Inclusive Insurance Typical Case Collection
• Top 10 Innovative Models of Financial Support for Agriculture by the Ministry of Agriculture and Rural Affairs
• Jinrui Award · Best Insurance Risk Model Innovation Award
• Selected into the "Collection of China -SCO Countries Digital Cooperation Cases"
• Outstanding Property and Casualty Insurance Company Award
• The Best Annual Property and Casualty Insurance Company
• 2023 Enterprise ESG Green Finance Excellent Case
• 2022 Fintech Development Award by the People's Bank of China
• 2023IDC China Financial Technology Application Scenario Innovation Outstanding Award
• Outstanding cases of service innovation in China's banking and insurance industry
• Excellent Cases of China Insurance Digital Transformation for 2023
• Collection of China-SCO Countries Digital Cooperation Cases
• 2023 "Jinzhi Award" Outstanding Property and Casualty Insurance Company Award
• Top 10 Innovative Models of Financial Support for Agriculture
• Jinrui Award Best Insurance Risk Model Innovation Award
• 2023 Chinese Financial Institutions Gold Medal List · Golden Dragon Award the Best Annual Property and Casualty Insurance Company
• Gold and Silver Awards of the 3rd China RPA+AI Developer Competition
• Digital-Real Integration: Fintech Innovation Practice
• Top 10 Excellent Practices of 2023 China Fintech Innovation Sailing Scheme
• 2023 Xinchuang "Big Competition" Financial Business Innovation Application Excellence Award
• 2023 New Financial Blockchain Application Innovation Award
• Top 10 Call Centers (with more than 1000 seats) Outstanding Customer Experience Award
• 2023 "SSE·Jinlicai" Annual Insurance Service Award
• Fintech Innovation Award
• Top 10 cases of "2023 "Jinxintong" Fintech Innovation and Application"
• National May Day Labor Award
• National Worker Pioneer
• First tier in the insurance industry in asset liability management capability regulatory assessment