Source: asiainsurancereview.com

Ping An Insurance Group is the first company in mainland China has become a signatory to the Principles for Sustainable Insurance (PSI), a global sustainability framework of United Nations Environment Programme Finance Initiative.

The PSI was launched in 2012 and serves as a global practice framework for the insurance industry to address environmental, social and governance (ESG) risks and opportunities. PSI is part of the insurance industry criteria of the Dow Jones Sustainability Indexes and FTSE4Good Index. PSI addresses ESG risks and opportunities through a strategic approach where all activities in the insurance value chain will be conducted in a responsible and forward-looking manner, including interactions with stakeholders. Sustainable insurance aims to reduce risk, develop innovative solutions, improve business performance and contribute to the sustainable development of the environment, society and the economy. To date, more than 140 institutions have become PSI signatories, including insurers that represent more than 25% of total premiums globally, and $14tn in assets under management.

Ping An is committed to integrating ESG concepts into its insurance business, to continue refining its Sustainable Insurance Policy and improving the insurance value chain. By integrating ESG factors into decision-making for insurance products, Ping An has built a sustainable insurance product system that effectively addresses customer needs and mitigates environmental and social risks for a green environment, a harmonious society and sustainable economic development.

Mr Richard Sheng, Secretary of the Board and Brand Director of Ping An said, “Insurance companies can provide risk mitigation measures that have immense social value. As one of the world’s largest integrated financial services and insurance companies, Ping An will actively implement PSI and continuously enhance our sustainable insurance system, leading Ping An’s insurance products on the journey towards sustainable development.”

As of 31 December 2019, Ping An’s sustainable insurance insured amount reached CNY121.21tn ($17.12tn), with 1,053 sustainable insurance products and services, leading sustainable development in China’s insurance industry. Ping An Property & Casualty has launched 518 sustainable insurance products in eight categories. The categories include environmental and ecological related products, such as environmental liability insurance, catastrophe insurance, and wildlife protection insurance; social insurance products, such as insurance for large engineering projects, food safety insurance and medical accident insurance; and inclusive insurance products for small and micro-businesses, farmers and other disadvantaged groups.

With its expertise in artificial intelligence, blockchain and cloud computing technology, Ping An has launched a number of technological innovations to reduce ESG business risks and improve the quality and the efficiency of its service. Based on Ping An Property & Casualty’s Digital Risk System (DRS), Ping An’s intelligent risk management system provides rapid screening and accurate early warning for insured customers for accurate disaster prevention, reduction and relief services, and reducing the losses resulting from climate disasters and other ESG environmental risks. Ping An Life applies face recognition, decision tree based on disease knowledge graph, remote video conferencing, hospital clusters, mathematical models and other technologies to facilitate online interactions between underwriters and customers.