Climate Change Data

Environmental Metrics

ESG Focus Areas

• Communities & Giving
• Diversity & Inclusion
• Ethics & Compliance
• Environmental Stewardship

Environmental Achievements

• Reduced greenhouse gas emissions by 232,724 tons of CO2e from 2007 to 2015 (exceeding voluntary goals)
• Reduced total paper consumption by 384 metric tons in 2015
• Zero e-waste sent to landfills in 2015
• Doubled the number of electric vehicle charging stations for employees

Social Achievements

• Donated thousands of gifts to families in need through Hart in the Holidays program
• Provided 630,000 meals through Fight Against Hunger
• Provided 5,500 students with backpacks and school supplies
• Invested $6 million in communities where employees live and work
• 70,000 employee volunteer hours
• 119 employees honored by the White House for volunteering

Governance Achievements

• Consistently recognized for diversity and inclusion efforts (including being named one of the World’s Most Ethical Companies by the Ethisphere Institute)
• 96% of employees believe The Hartford shows a commitment to ethical business decisions
• 92% of employees say they can report unethical practices without fear of reprisal

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• World’s Most Ethical Companies by the Ethisphere Institute

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced company greenhouse gas emissions by 66% since 2007
• Reduced paper consumption by 2.4% over 2016
• 49% of total energy consumption came from renewable energy sources

Social Achievements

• Positively impacted 1,600+ nonprofit organizations
• Invested $7MM+ in communities where employees live and work
• Deputized nearly 12,000 students in classrooms through the Junior Fire Marshal® program
• Reduced opioid use among workers' compensation claimants by nearly 40% since 2015
• Provided access to adaptive sports and equipment to nonprofit organizations

Governance Achievements

• Named one of the World’s Most Ethical Companies by the Ethisphere Institute in 2017 and 2018
• 96% of employees believe that The Hartford shows a commitment to ethical business decisions
• 100% of employees certify annually that they have read, understood and will adhere to code policies

Climate Goals & Targets

Environmental Challenges

• Attracting and retaining talent in the insurance industry
• Climate change and catastrophic weather events
• Opioid crisis

Mitigation Strategies

• Developed strategic initiatives to benefit the company, employees, and the insurance industry (including a new apprenticeship program)
• Used predictive tools to respond to catastrophes, sending mobile response teams to impacted areas
• Instituted a comprehensive strategy to reduce opioid use among workers' compensation claimants, and launched a program to provide resources to small business customers

Supply Chain Management

Responsible Procurement

• Vendor Code of Ethics and Business Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Opportunities

• Renewable energy investments

Reporting Standards

Frameworks Used: Dow Jones Sustainability Index

Third-party Assurance: WSP (ISO 14065)

Sustainable Products & Innovation

• Products that help customers avoid GHG emissions
• Products for the solar, wind, fuel cell, and biomass industries

Awards & Recognition

• Dow Jones Sustainability Indices (6 years)
• Excellence in Apprenticeship and Work-Based Learning award from Jobs for the Future
• Inclusion Champion Award (IICF)
• A- grade from CDP
• LEEP Award from the U.S. Green Building Council
• Exemplary Performance Recognized Participant for Highest Absolute Annual Savings for Troffer Lighting New Construction in the U.S. Department of Energy Better Buildings Challenge – Interior Lighting Campaign, 2017

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced greenhouse gas emissions by 2.9% year-over-year, achieving a 66% reduction since 2007.
• Eliminated all Styrofoam, polystyrene, and plastic food containers in Connecticut locations (30% of workforce).
• Implemented a centralized waste program expected to reduce waste sent to incinerators or landfills by three-quarters in Connecticut facilities.
• Increased hybrid fleet vehicles by 50%.
• Installed LED lighting upgrades in Connecticut.
• Installed smart irrigation controllers in Connecticut.
• Recycled 770 metric tons of materials, including 100% of paper from office recycling bins.
• Saved 15.8 million sheets of paper through responsible printing (86% reduction since 2009).

Social Achievements

• Positively impacted the lives of 2.2 million people.
• 169,262 employee volunteer hours (valued at $4.2 million).
• $2.1 million+ donated by employees.
• Supported 4,000+ nonprofit organizations.
• Deputized 111 million+ children through the Junior Fire Marshal® program.
• Committed $2 million in grants to school districts and fire departments in high home fire risk cities.
• Supported the restoration of properties in Hartford, Connecticut.
• Constructed homes in partnership with Habitat for Humanity (1,000+ employee volunteer hours).
• Supported 39 hunger-fighting organizations.
• Donated 4,100+ gifts to families in need.
• Shipped 3,100 cards to troops.
• Supported Hartford Youth Service Corps.
• Pledged $10 million (part of a $50 million commitment) to support Hartford community institutions.
• Implemented a comprehensive opioid management strategy, resulting in a 43% reduction in opioid usage among workers' compensation claimants since 2015.
• Partnered with Shatterproof to offer an online program on opioids and addiction.
• Supported 48,658 students through the JA Company Program.
• Supported 20 college and career centers through a partnership with Boys & Girls Clubs of America.
• Disbursed 2,500+ loans to small business owners through partnerships with Accion and LiftFund.
• Supported 60 small businesses through HartMobs.
• Reached approximately 1,200 attendees through the Hartford Ski Spectacular and Angel City Games.

Governance Achievements

• Named one of the World’s Most Ethical Companies by the Ethisphere Institute for the tenth time.
• 97% of employees believe The Hartford conducts business ethically (3 points above the top 25% benchmark).
• 92% of employees believe they can report unethical conduct without fear of reprisal (12 points above the top 25% benchmark).
• 94% of employees believe senior leadership supports high standards of ethical conduct.
• Conducted an annual compliance risk assessment for each business area.
• 100% of operations assessed for corruption-related risks.
• Full compliance with all laws and regulations in 2018.

Climate Goals & Targets

Environmental Challenges

• Climate change and its risks to policyholders, businesses, and the economy.
• Attracting and retaining talent in the insurance industry.
• Addressing ethical and governance questions around data, AI, and automation.

Mitigation Strategies

• Investing in data and analytical capabilities to advise customers in vulnerable areas and forecast loss probabilities.
• Proactively investing in risk management and mitigation strategies.
• Developing strategic initiatives to attract and retain diverse talent, including an apprenticeship program and reskilling initiatives.
• Implementing a strong ethics and compliance program with robust training and reporting mechanisms.
• Strengthening cybersecurity and privacy measures.

Supply Chain Management

Responsible Procurement

• Vendor Code of Ethics and Business Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Reporting Standards

Frameworks Used: GRI Standards

Third-party Assurance: WSP (GHG emissions data)

Sustainable Products & Innovation

• Insurance products that help customers avoid GHG emissions.
• Products for the solar, wind, fuel cell, and biomass industries.

Awards & Recognition

• Dow Jones Sustainability Indices (7 years in a row)
• World’s Most Ethical Companies (10 times)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced Scope 1 and 2 GHGe by 10.9% (from 2022); 86.1% reduction since 2007.
• Reduced facilities energy usage by 39% since 2019.
• Reduced water usage by 65% since 2019 (excluding sewer).
• Reduced non-recyclable, non-biodegradable solid waste from facilities by 64% since 2019.
• 100% of domestic facilities’ energy consumption is derived from renewable energy sources or offset.

Social Achievements

• 92% employee retention rate.
• 32% of external hiring needs filled through employee referrals.
• 1.4 million hours (~80 hours per employee) of formal training provided.
• 5.2% of controllable procurement spend with certified diverse suppliers.
• 440 Courageous Conversation Circles involving 6,900 participants.

Governance Achievements

• 0 corruption incidents in 2023.
• 97% of employees believe The Hartford is committed to ethical business decisions and conduct.
• 90% of employees believe they can report unethical conduct without fear of retaliation.
• 97% of employees believe their manager demonstrates ethical behavior.

Climate Goals & Targets

Environmental Challenges

• Lack of widely accepted standards for measuring greenhouse gas emissions associated with underwriting, insurance, and investment activities.
• Challenges in capturing decision-worthy emissions information from customers, investees, and business partners for Scope 3 emissions.
• Evolving and shifting weather patterns and potential implications of climate-related impacts.

Mitigation Strategies

• Implementing a carbon accounting platform to quantify and manage greenhouse gas emissions.
• Engaging with stakeholders and the industry to pursue solutions for reliable data and disclosures on net zero journey.
• Incorporating climate change risks into catastrophe risk assessment and management strategies through product pricing, underwriting, and management of aggregate risk.

Supply Chain Management

Supplier Audits: 35 top suppliers engaged in 2023 to baseline ESG commitments and practices.

Responsible Procurement

• Vendor Code of Ethics and Business Conduct; commitment to diverse suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency and severity of natural catastrophe events.

Transition Risks

• Regulatory changes; market shifts.

Opportunities

• Underwriting emerging climate technologies; providing products and services to support the energy transition.

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, UNGC

Certifications: LEED

Third-party Assurance: Apex Companies (GHG inventory)

Sustainable Products & Innovation

• Products supporting renewable energy; green rebuilding endorsement; equipment breakdown coverage with efficiency upgrade incentive.

Awards & Recognition

• Computerworld’s Best Places to Work in IT
• Fortune’s List of America’s Most Innovative Companies
• CIO 100 Award
• JUST 100 list
• World’s Most Ethical Companies
• Catalyst Award