Environment
Climate change
Climate change and its consequences are already having a significant impact on society, business and the insurance sector. ERGO Lithuania within implemented environmental management system monitors greenhouse gas emissions related to our business operations and implements measures intended to reduce emissions where feasible.
Managing the impact of climate change
Given the potential impact, ERGO attempts to integrate climate change risks into risks management cycle by describing and assessing the impact of these risks on its risk profile.
To estimate its resilience to physical and transition risks in the event of various climate-related scenarios, and to derive specific actions to be taken, Munich Re in the past conduct primarily qualitative, climate-related scenarios analyses covering the period up to 2050. When selecting the climate scenarios we based our decision on the scenarios presented by the Network for Greening the Financial System (NGFS):
An orderly transition scenario
The Paris Agreement target is progressively met by 2050, limiting global warming to 1.5°C through stringent climate policies and innovation
A disorderly and delayed transition scenario
The necessary action is postponed for a while and then the target is reached through intensive implementation of very stringent measures
A "Hot house world" scenario
The global community does not agree with effective climate action, resulting in a high temperature scenario where emissions continue to rise throughout the 21st century
Munich Re carried out a Group-wide and cross-balance sheet climate-related scenario analysis originally and most recently in 2021. We have refrained from updating the analysis because no further action-relevant results are to be expected
Munich Re Group Climate ambition 2030
An overview and definition of the targets and aims of the Munich Re Group Climate Ambition 2030 can be found here: www.munichre.com/climate. ERGO Estonia contributes to the goals of the Munich Re Group Ambition
Our long-term aims for 2040 and 2050
As a responsible company, Munich Re also endeavors to play a part in meeting the targets of the Paris Agreement. Our holistic approach with regard to the climate is based on the following three core elements, from which we, as part of the materiality assessment, have derived impacts,
risks and opportunities that are relevant for reporting:
- decarbonisation targets;
- provision of risk-transfer solutions that contribute to climate change adaptation and to mitigating the impacts of climate change;
- Group-wide risk management.
Under our climate ambitions, our long-term aim is to reduce GHG emissions associated with our primary insurance and reinsurance business to net zero by 2050. We are pursuing this aim with corresponding decarbonisation targets.
An overview and definition of the targets and aims of the Munich Re Group Climate Ambition can be found here: www.munichre.com/climate.
ERGO Estonia contributes to the goals of the Munich Re Group Ambition
Munich Re Group Ambition 2030
The new multi-year strategy Ambition 2030 is based on three pillars: “Outpeak, Outpace, Outperform”. Non-financial ambition targets of Munich Re Group Ambition 2030 are defined for the following areas:
- DEI (Diversity, Equity and Inclusion).
- Climate Ambition.
A complete overview and definition of all climate targets can be found here. Further information on the new Climate Ambition 2030 can be found in the implementation plan of climate ambitions.
Munich Re Group Climate Ambition 2030
As part of the Munich Re Group Amibition 2030, we adopted the Climate Ambition 2030 program, covering:
- Investments
- Insurance
- Own Operations.
As part of Climate Ambition 2030, we strengthened our climate targets for the period up to the end of financial year 2030, continuing to work towards our long-term aims in (Re)insurance and Investments.
An overview and definition of the targets and aims of the Munich Re Group Climate Ambition 2030 can be found here: www.munichre.com/climate. ERGO Estonia contributes to the goals of the Munich Re Group Ambition.
Employees
Treating employees with responsibility and respect is one of our priorities. We create the conditions to foster the personal and professional development of our employees, and form a working environment that supports diversity, equality and inclusion.
Society
We support initiatives and projects of the cooperation partners and the public to promote social equality and solidarity.
Munich Re Group Climate ambition 2030
An overview and definition of the targets and aims of the Munich Re Group Climate Ambition 2030 can be found here: www.munichre.com/climate. ERGO Estonia contributes to the goals of the Munich Re Group Ambition
ERGO Environmental management system
ERGO Lithuania has established a systematic and verified approach to its environmental management activities. Since 2023, ERGO branches in Latvia/Lithuania/Estonia have been awarded ISO14001:2015 Environmental Management System standard certificate.
As part of our Environmental Management System, we continue to work on continuous improvements in reducing GHG emissions and are progressively integrating ESG requirements throughout the value chain.
