Arch continues commitment to decarbonisation
Arch Capital Group Ltd, the publicly listed Bermuda-exempted company, has released its 2022 sustainability reports including the 2022 Sustainability Report, Sustainability Accounting Standards Board, Task Force for Climate-related Financial Disclosures and a Sustainability Report Highlights document that summarises key disclosures from the larger reports.
The 2022 Sustainability Report covers the company’s environmental, social and governance strategy and how it integrates ESG priorities across operations.
The company said it remains committed to driving impact across five ESG pillars: business, operations, investing, people and communities.
Arch’s corporate sustainability road map outlines a focus on growing specialty product lines while integrating ESG considerations into underwriting and investment decisions. The company said that by embedding corporate responsibility, high ethical standards and sustainable practices into operations, it is able to offer resilient insurance solutions, sustainable products and an ESG-investing approach that contributes to long-term success for its stakeholders.
Marc Grandisson, the chief executive of Arch Capital Group Ltd, stated in the 2022 Sustainability Report: “The insurance industry has a role in energy transition and Arch, as a leading insurer, is an active participant. We continue to apply the principles outlined in our thermal coal policy to ensure coverage to entities with goal-oriented transition plans to lower carbon energy sources.
“We maintain that a pragmatic approach to underwriting these risks is necessary to advance decarbonisation.
“Building on our existing efforts to reduce our impact on the environment, we are proud of our goal announced in early 2022 to reduce our Scope 1 and Scope 2 greenhouse gas emissions by 42 per cent and achieve net-zero operations by 2030.”
Marcy Rathman, EVP and chief ESG officer, said: "On behalf of my Arch colleagues, I’m proud to share this important update on our sustainability journey.
"We understand the importance of sharing our ESG progress transparently, ensuring all of our stakeholders understand the ways our business intersects with, and is shaped by, the evolving ESG landscape. We’ll continue to evaluate our ESG strategy and priorities based on emerging trends and stakeholder feedback."
Ms Rathman is charged with co-ordinating the oversight and management of Arch’s ESG efforts. She was promoted to the role in May 2019, when Arch launched its formal ESG programme.
Prior to that, she served as an attorney for Arch for close to 20 years, supporting the general counsel and many of Arch’s governance and compliance policies. With this background, she was well positioned to lead and oversee the company’s ESG efforts and the annual comprehensive sustainability reports.
The group, which had approximately $15.6 billion in capital at December 31, is part of the S&P 500 Index, provides insurance, reinsurance and mortgage insurance on a worldwide basis through its wholly owned subsidiaries.