ESG that stands up in tougher times

At a recent Insurance Post roundtable in partnership with Crif, leading insurers and ESG specialists explored how the industry is translating sustainability goals into measurable progress – and what it will take to keep that momentum in tougher times.

A few years ago, environmental, social and governance (ESG) priorities sat firmly at the top of many UK insurers’ strategies. Net-zero commitments, green product launches and participation in global climate discussions were commonplace. Now, amid political uncertainty, economic pressure and scrutiny from shareholders, some are asking whether that focus has faded.

At an Insurance Post roundtable sponsored by Crif, senior sustainability and ESG leaders from across the market discussed how insurers are keeping momentum, delivering measurable progress and supporting customers – particularly SMEs – to make practical changes that stand up to scrutiny.

Participants:

• Grace Hanson-Eden, head of sustainability, Axa UK
• Hannah Speakman, sustainable underwriting lead, Allianz UK
• Chris Pitt, group impact director, Benefact Group
• Ben Bull, ESG lead, PIB Group
• Giovanni Luca Firrito, business development, Crif
• James Hope, senior customer partnership manager, Crif

From ambition to action

ESG has shifted from a peripheral concept to a core measure of performance, with insurers pointing to clear progress across operations, investment and product design.

“Allianz has trained around 7,000 employees in sustainability,” said Hannah Speakman. “That literacy means people can have meaningful discussions internally and with clients.” The insurer has also grown its low-carbon solutions by 25% and added 150,000 electric vehicles to its portfolio.

Grace Hanson-Eden said Axa UK’s investment strategy has exceeded expectations: “We overachieved our UK reinvestment targets last year and those assets continue to perform strongly.”

Allianz has trained around 7,000 employees in sustainability. That literacy means people can have meaningful discussions internally and with clients.

Hannah Speakman, sustainable underwriting lead, Allianz UK

For Chris Pitt of Benefact Group, the biggest step forward has been cultural. “ESG is a core part of the conversation now. Colleagues, regulators and customers all expect it.”

Ben Bull at PIB Group agreed that understanding has deepened. “A few years ago we had to explain what ESG meant. Now customers and colleagues come to us asking how to do it better. The business case for ESG is becoming clearer as companies see it generating tangible returns.”

James Hope of Crif said insurers increasingly expect partners to share their ESG ambitions, citing the rise of green-parts initiatives and sustainability workshops within claims supply chains.

What’s keeping ESG moving

With regulatory pressure varying across markets, insurers are increasingly guided by a mix of investor expectations and customer demand.

Even where EU rules are delayed, they haven’t gone away. Investors still expect resilience and long-term value.

Ben Bull, ESG lead, PIB Group

“Even where EU rules are delayed, they haven’t gone away,” said Bull. “Investors still expect resilience and long-term value.”

Speakman observed that engagement often mirrors understanding. “Larger commercial clients have transition plans and ask targeted questions. Smaller SMEs are curious but don’t always know what to do next.”

Inside insurers, employee appetite is also driving progress. Both Axa and Allianz report strong internal engagement and a willingness among staff to challenge leadership. Hanson-Eden suggested that companies striving to “do the right thing” tend to create better workplaces and attract employees who value transparency and respect.

Giovanni Luca Firrito of Crif added, “Even without the same regulatory pressures as the EU, there’s genuine commitment from UK insurers,” he said. “That shows it’s not just a regulatory issue – it reflects real conviction that this work matters.”

Helping SMEs turn intent into impact

Smaller businesses are often convinced of ESG’s importance but unsure how to act on it. For insurers, helping them move from awareness to measurable progress is becoming a core part of the ESG challenge.

Allianz’s risk barometer now ranks climate change as the top concern for SMEs. “They’ve recognised the risk,” said Speakman, “but step two – acting on it – can be daunting without the people or budget larger corporates have.”

Bull described this as “analysis paralysis”: “SMEs know ESG matters but can’t identify which areas are most material to them. Helping them narrow that focus is essential.”

They’ve recognised the risk, but step two – acting on it – can be daunting without the people or budget larger corporates have.

Hannah Speakman, sustainable underwriting lead, Allianz UK

Firrito argued that the most effective motivators are commercial, not conceptual. “Sustainable SMEs can access better finance terms, perform better in tenders and are seen as more reliable partners. Those are tangible benefits.”

Insurers are also equipping brokers to support clients. Speakman pointed to Allianz’s Net-Zero Accelerator, which helps smaller brokers measure emissions and draft transition plans. Hanson-Eden said Axa is offering climate training for brokers, recognising their pivotal role in translating ESG into practical advice for SMEs.

James Hope noted that this ripple effect is strengthening supply chains. “Clients now expect sustainability to run through every level of their partnerships,” he said.

Turning sustainability into commercial advantage

The link between ESG performance and commercial outcomes is strengthening, as insurers use new data sources to reflect resilience and sustainability in the way risks are priced and products are built.

At Allianz, Speakman said work is under way to link sustainable actions with potential benefits. “We’re exploring how flood resilience or freeze-protection measures can be recognised within pricing, and where we can add value through risk-management support.”

In Italy, Crif provides data enrichment that allows Axa to factor sustainability indicators into pricing. Customers with stronger ESG data can be rewarded with better rates. The challenge is data quality.

Giovanni Luca Firrito, business development, Crif

Bull said better collaboration between brokers and insurers is crucial. “We need clarity on what information underwriters require so we can help customers demonstrate it.”

Firrito highlighted progress in other markets: “In Italy, Crif provides data enrichment that allows Axa to factor sustainability indicators into pricing. Customers with stronger ESG data can be rewarded with better rates. The challenge is data quality.”

Hanson-Eden added that for personal lines, affordability and product suitability matter more than ESG labelling. “Most people don’t see their insurer as a lever for sustainable behaviour. Our role is to ensure our products enable greener choices – for example, by fully covering EVs and solar installations.”

Across the table, there was agreement that meaningful ESG-linked pricing will depend on reliable data, clear metrics and close cooperation between insurers, brokers and suppliers.

Maturing, not retreating

Economic pressure and political volatility have changed the tone of ESG discussions, but participants agreed that underlying commitment remains firm.

“We’re seeing the same level of support, but the emphasis moves,” said Bull. “Some areas pause while others continue because they simply make good business sense – energy efficiency, for example.”

Speakman said the language has evolved rather than the intent: “Many now talk about risk and resilience rather than ESG, but the work continues.”

Pitt warned against “green-hushing”, where firms downplay achievements to avoid backlash. “The companies staying credible are those treating it as risk management and backing it with evidence,” he said, noting that frameworks such as ClimateWise are becoming more demanding.

For insurers, sustainability is the business – managing risk, enabling resilience, protecting the future.

Grace Hanson-Eden, head of sustainability, Axa UK

Firrito added that external events keep sustainability visible: “Floods, wildfires and rising premiums make the link between climate and insurance impossible to ignore.”

For Hanson-Eden, insurers can strengthen credibility by working more closely with policymakers. “We hold valuable data on flood, heat and subsidence. Sharing that insight helps government plan better – that’s a constructive role for the sector.”

Looking ahead, Bull described ESG’s current stage as one of consolidation rather than decline. “Attention is concentrating on areas with proven economic and moral impact. Climate risk isn’t going away, and neither are investor expectations.”

Hanson-Eden agreed: “For insurers, sustainability is the business – managing risk, enabling resilience, protecting the future.”

The consensus was clear: ESG is here to stay, even if the terminology changes. What matters now is delivery – credible data, measurable outcomes and practical support for SMEs turning intent into action.

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