Asian life and health insurer AIA Group has made progress in 2022 across all five pillars of its environmental, social and governance (ESG) strategy – health and wellness, sustainable investment, sustainable operations, people and culture, and effective governance.
The insurer also formalized its climate and net-zero steering committee to support the transition to net-zero by 2050, it states in its 2022 ESG report, and is working at pace to have near-term targets validated by the Science Based Targets initiative by end-2023.
Through the health and wellness pillar, the insurer provided financial protection to the holders of more than 41 million individual policies and more than 17 million participating group insurance scheme members, with US$16 billion of total benefits and claims in 2022. Through the AIA One Billion initiative, an ambition to engage one billion people across Asia to live healthier, longer and better lives by 2030, the company has cumulatively engaged with 258 million people to date.
In the sustainable investment space, the company invested US$6.3 billion and US$4.3 billion in healthcare sector and ESG bonds, respectively. It launched the AIA Sustainable Multi-Thematic Fund in Singapore, which invests indirectly in companies whose business models and operational practices are aligned with targets defined by certain UN Sustainable Development Goals. The company also implemented an ESG rating scorecard for directly managed fixed-income and equity asset classes in our general account assets.
Under the sustainable operations pillar, the insurer, as of end-2022, reduced greenhouse gas (GHG) emissions per employee by 23% compared with 2019.
In the people and culture segment, the company, in 2022, became one of only five Hong Kong-listed companies to be included in the Bloomberg Gender Equality Index, and for the sixth consecutive year it was featured in the top quartile in Gallup’s global financial services and insurance industry benchmark.
In the effective governance space, the insurer was again named a top-rated performer in the industry and region by Sustainalytics for ESG and rated AA in MSCI ESG ratings.
Lee Yuan Siong, the company’s chief executive and president, says: “As a provider of life and health insurance in Asia, AIA has a substantial opportunity and an important responsibility to address the critical societal and environmental challenges impacting our local communities.”