Founded in 2001, Sompo Holdings is a Japan-based insurance company that operates in four business segments. The Domestic Non-life Insurance segment, the Overseas Insurance segment, the Domestic Life Insurance segment and the Nursing Care and Health Care segment.
The financial institution has an engagement policy where it describes its approach on sustainability themes and impact topics with investees. The insurance company publicly commits to gender equality and women’s empowerment and discloses a target to achieve 30% female management throughout the Group by the end of 2023.
As a member of the Net Zero Insurance Alliance (NZIA), the Net Zero Asset Owner Alliance (NZAOA), and the Net Zero Asset Managers Initiative (NZAM), Sompo Holdings has set a target of net-zero financed emissions by 2050. Additionally, as member of Climate Action 100+, the financial institution discloses that it collectively engages with its clients on the topic of climate change.
Sompo Holdingshas a publicly available policy statement committing it to respect human rights.The financial institution describes the process for identifying its human rights risks and impacts in specific locations or activities covering its own operations. Sompo also describes its process for assessing its human rights risks and discloses what it considers to be its salient human rights issues and provides a case study describing how it has acted on a salient human rights risk issue. Moreover, the financial institution discloses categories of stakeholders whose human rights have been or may be affected by its activities. Sompo Holdings discloses the proportion of women in its total direct operations workforce for each employee category.
In terms of its approach to senior leadership accountability, Sompo Holdings has an opportunity to assign responsibility for sustainability to the group’s board of directors. Additionally, Sompo Holdings couldlinkthe remuneration of the group’s executive team to sustainability performance criteria. There is no evidence that the financial institution’s engagement policy includes clear frameworks with success criteria and escalation points. Moreover, there is no evidence that the financial institution publishes an engagementreport detailing how the policy is applied in practice with case studies describing where it has engaged successfully and unsuccessfullywith investees on sustainability themes and impact topics.
Sompo Holdings could disclose interim emissions reduction targets at the group level, such as a 45% reduction in financed emissions by 2030. There is no evidence that the financial institution discloses key sectors or companies identified as priorities to engage with on climate issues, specifically alignment with the Paris Agreement. Sompo Holdings could disclose its financing activities devoted to climate solutions. There is no evidence that the financial institution is committed to minimising the negative impacts it has on nature and biodiversity. No evidence was found regarding the financial institution’s approach to fossil fuels that spans across the fossil fuel value chain, such as the amount or share of finance it directs towards fuels, or its stance on financing companies with new fossil fuel projects.
Sompo Holdings could disclose the proportion of its total direct operations workforce for each employee category by age group. In addition, to provide transparency on financial inclusivity, the financial institution has an opportunity to disclose the amount of finance directed towards, for example, women-owned businesses, small- and medium-sized enterprisesor low-income developing countries.