UK insurers must highlight ESG commitments to attract brokers
GlobalData surveying has found that a significant majority of brokers cannot name a best-in-class insurer for sustainability and environmental, social, and governance (ESG) initiatives. Concurrently, research from Aviva indicates that ESG considerations are gaining traction among brokers.
According to GlobalData’s 2024 UK Commercial Insurance Broker Survey, 69.6% of brokers admitted to being unaware of any insurer that could be classified as best in class in terms of sustainability and ESG practices. This suggests that some brokers may not prioritise or recognise the importance of this issue. Despite this, Aviva (10.4%), Allianz (8.8%), and Ecclesiastical (2.8%) have emerged as frontrunners in this category.
Meanwhile, 2024 research from Aviva underscores the growing emphasis on ESG among brokers. The study observed that the number of brokers actively pursuing sustainability goals has doubled over two years. Additionally, the research found that four out of five brokers are committed to enhancing the sustainability of their own operations, as well as those of their clients. Moreover, while only 35% of brokers currently have a concrete plan or are in the process of achieving net-zero emissions in 2024, this figure marks an increase from 17% in 2022 and 27% in 2023, indicating a positive trend in the industry’s approach to sustainability.
It is imperative for brokers to not only concentrate on ESG factors but also to be well-informed about the insurers that are leading the way in these areas. Brokers’ partnerships with insurers are a reflection of their own values and can have significant implications for their reputation and the trust placed in them by clients. Brokers must align themselves with insurers that are not only best in class in terms of sustainability and ESG practices but also share a similar ethos and commitment to these principles. For insurers, there is a pressing need to communicate their sustainability and ESG achievements more effectively. By doing so, insurers can position themselves as preferred partners for brokers that are increasingly focused on these critical issues. Insurers need to recognise that their ESG performance can significantly influence their appeal to brokers and, by extension, to their end clients. Therefore, a concerted effort to highlight their sustainability credentials can serve as a competitive advantage in an industry that is progressively prioritising ESG considerations.
“UK insurers must highlight ESG commitments to attract brokers” was originally created and published by Life Insurance International, a GlobalData owned brand.
The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
