NTUC Income (Income) has launched its first Sustainability Report, ‘Because We Are Made for Purpose’ which outlines its sustainability vision to empower better financial well-being by embedding environmental, social and governance (ESG) considerations across its business.
The report also taps into opportunities to achieve operational resilience, as well as address the impact of climate change on the environment and society.
The report details Income’s sustainability strategy which outlines its focus areas and long-term sustainability goals to deliver a positive impact in Singapore, the firm said in a statement.
- The highlights of Income’s long-term sustainability goals:
- Achieve net-zero greenhouse gas (GHG) emissions by 2050;
- Cease underwriting of property and casualty business in coal sectors by 2040;
- Totally divest investment portfolio from coal sectors by 2030;
- Have all assets managed by external fund managers that are signatories to the UN Principles of Responsible Investment or with ESG considerations by 2030;
- Act on product development opportunities based on identified environment-related risks and opportunities; and
- Pledged S$100 million over 10 years from 2021 to champion education for children and youth-in-need, seniors in Singapore and environmental causes.
The report also includes disclosures that detail its climate-related governance, risk management, and strategy, as well as metrics and targets that are aligned to the recommendations of the Task Force on Climate-Related Financial Disclosures (TCFD), established by the Financial Stability Board.
NTUC Income’s CEO, Andrew Yeo, said, “To be purpose-driven is fundamental to Income and this is aptly reflected in our inaugural sustainability report. We were established in 1970 to plug a pressing social need in Singapore by providing affordable insurance to the working class.”
Today, Income remains focused on keeping insurance accessible to people from all walks of life.
“To ensure that we walk the talk leveraging our business in insurance to make the world a better place, we hold ourselves accountable by appraising our corporate performance not just by how well we do financially, but also the extent of the positive impact we are bringing to the community we serve.
“Income’s sustainability strategy is a blueprint that frames our way of thinking and working more strategically and holistically,” said Yeo.
Income’s sustainability strategy, which it adopted in 2021, is formulated around three strategic pillars: ‘Action for Environment’, ‘Operate a Responsible Business’ and ‘Build Stronger Communities’.
Through implementing its sustainability strategy, Income also supports seven United Nations Sustainable Development Goals (SDGs) that it believes it can contribute to most meaningfully.
Yeo said that the company embarks on the sustainability journey for the long haul. “To succeed, we have set long-term sustainability goals. The SDGs offer us added purpose to what we already do at Income as we strongly believe that we can achieve more together.”
As an insurer, asset owner and investor, Income has a role to play in the transition to a low-carbon economy. On this front, Income is prioritising a calibrated approach “as we are mindful of future guidance and methodologies that will continue to emerge, evolve, mature and influence our approach to greenhouse gas reduction and sustainability”.
