Extending our risk intelligence

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As part of our comprehensive risk management, we address ESG and emerging risks. We have developed specific tools and know-how to this end.

2021 highlights:

Reviewed and relaunched our Sustainable Business Risk Framework as ESG Risk Framework, formally expressing its governance dimension


Introduced the framework's revised and expanded Agriculture, Forestry and Food Policy


Completed integration of the framework's ESG Risk Service into single-risk underwriting processes, resulting in 92000 transactions screened for ESG risks


5%

Phased out 5% most carbon-intensive oil and gas companies in direct and facultative re/insurance in 2021


Co-founded the Net-Zero Insurance Alliance and took the chair of its working group on emission metrics


Published our ninth annual SONAR report on key emerging risk themes

Risk management is an integral part of Swiss Re’s business model and key to the controlled risk-taking that underpins our financial strength. It is embedded throughout our business and ensures that the Group and the three Business Units have the necessary expertise, frameworks and infrastructure to support good risk-taking. This allows us to be a reliable partner for our clients and supports our vision to make the world more resilient. You can find out more about the core categories of Swiss Re’s risk landscape in the Financial Report 2021, pages 68 – 69.

As a company committed to sustainability, we also place emphasis on specific risks that may undermine long-term value creation. We consider ESG and emerging risks to be of particular relevance in this respect and have developed instruments to identify, assess and address them. This allows us to determine those risks we think we should avoid – because of their environmental and social impacts as well as their potential to increase losses. Furthermore, we have policies and tools in place to ensure data protection and address political risks. You can find information about these on our website.

The carbon risks embedded in our core re/insurance business (ie the “liability side”) have become a major priority. To achieve the net-zero emissions target we have set for ourselves for 2050, we are developing a comprehensive carbon steering mechanism and are sharpening relevant policies within our ESG Risk Framework.

Risk intelligence: past milestones

The following selected milestones have marked Swiss Re’s sustainability journey to extend our risk intelligence:


Managing sustainability/ESG risks

In 2009, introduced our first dedicated framework to manage sustainability/ESG risks in our core business


Revised and issued new sector policies

Have continuously upgraded the sector policies of our Sustainability/ESG Risk framework, eg on agriculture, forestry and food (2021, expanded), oil and gas (2020, revised) and thermal coal (2018, new)


Integrated ESG risk assessments

Since 2015, have gradually integrated fully automated ESG risk assessments into our underwriting processes


SONAR framework

Introduced a dedicated framework to manage emerging risks in 2005


SONAR report

Since 2013, have published our yearly report on new emerging risk trends

Extending our risk intelligence
Decarbonising our business model
Our ESG Risk Framework
Focus: Managing nature- and biodiversity related risks through our ESG Risk Framework
Emerging risks
Focus: Emerging risk case study