EmilyHolbrook
(Credit: Pixabay)
The Hartford today announced a goal to achieve net zero Greenhouse Gas Emissions (GHGe) for its full range of businesses and operations by 2050, in alignment with the Paris Climate Accord. This goal is in addition to the company’s existing targets to operate with 100% renewable-energy-source consumption for its facilities by 2030 and to reduce select GHGe by at least 2.1% each year starting in 2015 for a total reduction of 46.2% by 2037.
Standards for measuring emissions associated with underwriting, insurance, and investment activities are still being developed or have only recently emerged. The company will evaluate various options and keep its stakeholders informed of progress toward adopting a methodology to measure GHGe in its portfolio of businesses and investments. Environmental, Social, and Governance (ESG) matters are a top priority for The Hartford, and the company will remain engaged in learning and sharing insights and expertise as accountability models for marking net zero progress are developed.
The net zero goal requires a pragmatic approach given the complexity of property-and-casualty insurance and group benefits. The following are just a few of the initiatives the company will undertake to meet its goal.
- Sustain 100% renewable energy use across our operational footprint and continue to reduce our total scope 1, 2 and applicable categories of scope 3 Greenhouse Gas Emissions (GHGe), achieving a reduction of at least 2.1% of GHGe each year reaching a goal of 46.2% by 2037 using 2015 as our base year.
- Evolve The Hartford’s investment portfolio over time to reflect the importance of ESG principles through a measured approach that commits $2.5 billion over the next five years in technologies, companies, and funds, which are advancing the energy transition and addressing climate change.
- In compliance with The Hartford’s Coal and Tar Sands policy, exit all Tar Sands holdings by the end of this year, two years earlier than our initial commitment; and exit holdings which don’t support the company's coal policy by the end of 2023.
- Further embed existing ESG principles across our underwriting and enterprise risk management practices by increasing written premium in products that support a responsible future. These include personal lines insurance products that reward energy efficient behavior, commercial insurance products that support sustainable energy, and insurance support for projects that support energy efficient construction and development.
- Drive community-based environmental stewardship by engaging and educating employees, policy makers and community stakeholders around climate mitigation.
