Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate change
• Data security
• Diversity
• Community engagement
• Ethical business practices
• Environmental responsibility

Environmental Achievements

• Reduced energy consumption by 5.9 million kWh and GHG emissions by 9.4 million pounds annually since 2016.
• Dallas office achieved LEED Gold certification.

Social Achievements

• 56% of promotions went to women in 2017.
• Gender alignment (94% to 110% of female-to-male compensation) within salary grades.
• Assisted more than 1,750 educators in refinancing $4.4 million in student loans.
• Presented nearly 3,000 financial wellness workshops to over 91,000 educators.
• Donated $650,000 to DonorsChoose.org and The NEA Foundation.
• Donated nearly $380,000 to United Way of Central Illinois.
• Donated three vehicles to schools.

Governance Achievements

• Majority of independent directors on the board.
• Board diversity in terms of expertise, experience, age, ethnicity, and gender.
• Formal oversight of ESG programs by the Enterprise Risk Management (ERM) Committee.
• Divested investments in gun manufacturers.

Climate Goals & Targets

Environmental Challenges

• Rising numbers of severe weather-related insurance claims due to climate change.
• Need to continually improve data security and privacy measures.

Mitigation Strategies

• Ongoing climate risk assessments to improve risk modeling, pricing, and underwriting.
• Extensive cross-functional enterprise information security program, security operations center, and vendor management program.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Ethical standards written into every contract; equal opportunities for potential business partners.

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events (hurricanes, windstorms, hail, winter weather, wildfires, earthquakes)

Transition Risks

• Changes in reinsurance coverage affordability and availability.

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI (Global Reporting Initiative) Core Option

Certifications: LEED Gold (Dallas office)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• LOMA Excellence in Education Award (five-time winner)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced absolute Scope 1 and Scope 2 emissions by 55% from the 2019 base year

Social Achievements

• Maintained workforce diversity, with 57% female in 2023
• Established three new Employee Resource Groups (ERGs)
• Horace Mann Educators Corporation and the Horace Mann Educators Foundation contributed almost $1 million to charitable causes in 2023
• Named to the Bloomberg Gender-Equality Index for the fourth consecutive year in 2023

Governance Achievements

• Published first Task Force on Climate-related Financial Disclosures (TCFD) report
• Enhanced workforce demographic disclosures with publication of U.S. Equal Employment Opportunity Commission (EEO-1) report
• A portion of long-term compensation of selected executives is linked to the achievement of ESG objectives

Climate Goals & Targets

Environmental Challenges

• Elevated weather losses experienced in the first nine months of 2023 in the Property & Casualty segment

Mitigation Strategies

• Rate and non-rate actions in Property & Casualty segment
• Installing a new, more efficient HVAC system, replacing single-pane windows, adding LED lighting and motion sensors, and investing in solar panels at corporate headquarters

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: TCFD, GRI, SASB