Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced GHG emissions by 37.8% from 2019 baseline (Scope 1 and 2)
• Committed to invest up to $50 million over five years to scale climate technologies
• Entered into a long-term power purchase agreement to support a 200-megawatt solar facility in Texas
• Reduced paper communications by approximately 70 million in 2021

Social Achievements

• Increased percentage of minority employees from 30% to 40% in the last six years
• Implemented dedicated concierge care for LGBTQ+ employees
• Hosted company-wide panel discussions to destigmatize mental health
• Offered a personalized service for employees to realize their financial goals
• Awarded $25,000 grants to 40 nonprofits through Neighborhood Assist®
• Increased spend with diverse suppliers by two percentage points

Governance Achievements

• Launched a centralized Resiliency program to manage resiliency risks
• Established a new Operational Resiliency General Policy
• Enhanced site reliability engineering capabilities
• Maintained robust information security awareness and privacy training program

Climate Goals & Targets

Environmental Challenges

• Addressing Scope 3 emissions
• Maintaining information security and privacy

Mitigation Strategies

• Preparing analysis and building a strategy to address Scope 3 emissions
• Robust information security awareness and privacy training program
• Layered approach for protecting information covering general organizational direction and detailed operating procedures

Supply Chain Management

Responsible Procurement

• Supplier Diversity program

Climate-Related Risks & Opportunities

Physical Risks

• Wildfires

Opportunities

• Investing in emerging climate technologies

Reporting Standards

Frameworks Used: Science-Based Targets initiative (SBTi), Task Force on Climate-Related Financial Disclosures (TCFD)

Third-party Assurance: Independent third-party attest review engagement over Scope 1 and 2 emissions

Awards & Recognition

• Seramount — 100 Best Companies
• GI Jobs — Military Friendly Employers
• Human Rights Campaign (HRC) — National Recognition for Equality
• Seramount — Top Companies for Executive Women
• AAPD/Disability:IN — Best Places to Work for Disability Inclusion
• Seramount — Best Companies for Dads
• Seramount Inclusion Index — Leading Index Company
• LATINA Style — 50 Best Companies for Latinas to Work
• Seramount — Best Companies for Multicultural Women
• Hispanic Association on Corporate Responsibility — Inclusion Index
• Bronze-level U.S. President’s Volunteer Service Award

Environmental Metrics

ESG Focus Areas

• Enabling our workforce to power the future
• Building environmentally sustainable and resilient futures
• Strengthening communities
• Demonstrating responsible governance

Environmental Achievements

• Reduced GHG emissions by 46.1% since 2019
• 13 State Farm facilities procuring renewable energy, totaling approximately 178,000 Megawatt-hours per year

Social Achievements

• Hired 16,000 new employees in 2022, nearly two-thirds identifying as people of color; 68% female
• Increased diverse workforce representation by 3 percentage points over the last three years
• Awarded nearly 3,000 Good Neighbor Grants totaling nearly $1.5 million to nonprofits and K-12 schools
• Donated $2 million in Century of Good grants for community environmental projects

Governance Achievements

• Issued first TCFD report in November 2022
• Diverse vendor spend of $517M (8%) in 2022

Climate Goals & Targets

Environmental Challenges

• Climate change increasing risk and uncertainty for policyholders
• Maintaining 10% diverse supplier spend goal

Mitigation Strategies

• Monitoring climate change risks and reducing GHG emissions (goal of 50% reduction by 2030)
• Matchmaking events and ongoing activities to increase spend with diverse suppliers

Supply Chain Management

Responsible Procurement

• Supplier diversity program

Climate-Related Risks & Opportunities

Physical Risks

• Catastrophic weather events

Reporting Standards

Frameworks Used: TCFD

Third-party Assurance: Independent third-party attest review engagement over Scope 1 and 2 emissions

Sustainable Products & Innovation

• Energy-efficient home appliances replacement coverage

Awards & Recognition

• Numerous awards and recognitions related to diversity and inclusion and as a top employer

Environmental Metrics

ESG Focus Areas

• Communities
• Environmental & Resiliency
• Governance

Environmental Achievements

• Reduced Scope 1 and 2 GHG emissions by 50.3% from 2019 baseline by 2023.
• Achieved zero waste certifications for two Multi-Regional Services Facilities (MRSF), diverting 96% of waste from landfills.
• Reduced costs by $102M and saved 494M+ sheets of paper (equivalent of 49,400 trees) through paperless initiatives.

Social Achievements

• 155,000 employee and agent volunteer hours contributed to community causes.
• Over $45 million in charitable giving to non-profit organizations and educational institutions.
• Improved employee belonging (92%) and job satisfaction (86%) scores based on internal surveys.

Governance Achievements

• Mandatory & Compliance Training for all associates to ensure ethical and legal behavior.
• Operational Resiliency Program to enhance core operations and adapt to change.
• Implementation of the Three Lines of Defense model for compliance and risk management.

Climate Goals & Targets

Environmental Challenges

• Climate change increasing the frequency and severity of catastrophic weather events.
• Maintaining financial strength to meet customer needs during disasters.
• Managing risks associated with investment portfolios.

Mitigation Strategies

• Production of a TCFD report to address climate-related financial disclosures.
• Investment policies aligned with sustainability framework.
• Enterprise Risk Management (ERM) framework for risk management activities.

Supply Chain Management

Responsible Procurement

• Intentional effort to optimize opportunities for diverse vendors.

Climate-Related Risks & Opportunities

Physical Risks

• Catastrophic weather events

Reporting Standards

Frameworks Used: TCFD

Certifications: TRUE zero waste certifications

Sustainable Products & Innovation

• WattBuy renewable energy options
• Life Enhanced wellness app

Awards & Recognition

• Junior Achievement USA’s Bronze-Level U.S. President’s Volunteer Service Award