NN Group pilots insurance for recycling companies
Recycling plays an essential role in reducing CO2 emissions and creating a sustainable society. However, it can be very difficult for companies involved in dismantling, demolition and recycling to take out insurance, due to a variety of factors such as their risk level or remote location. In addition, such companies may only be eligible if they take drastic and costly measures to limit damage.
This is why our Non-life business recently conducted a pilot with 65 recycling companies in the Netherlands to investigate how this sector can be better insured. Our team visited participating companies to investigate possible conditions for insurance. As a result of the pilot around half of the cases were judged eligible for insurance, one quarter required further investigation, and the remainder were considered to be ineligible due to business operations. Going forward, we aim to continue the pilot policy as regular policy, to offer the same fair conditions to more companies that are supporting the sustainable transition.
Two participating companies told us:
‘This recycling company is my retirement. If it is not insured and if something happens to the company, it would a major problem.’
‘My recycling company is insured in Germany at the moment. But I can’t read the policy conditions. So I don’t know whether I am properly insured.’
The pilot underscores how we as a financial institution can play a role in addressing climate change through our products and services. Other examples include our Gezond Wonen (Healthy Living) platform and energy-efficiency service Woonnu.
Besides working towards the climate objectives of the Paris Agreement for 2050, we have also set our own, interim climate goals for 2025 and 2030. These involves limiting emissions as a result of both our own business operations and the investments we make. By 2025, we want to reduce the emissions of our corporate investment portfolio by 25 percent and by 45 percent by 2030, compared to 2019. For our business activities, we will reduce emissions by at least 35 percent by 2025 and 70 percent by 2030. We are investing an additional EUR 6 billion in climate solutions until 2030, for example through sustainable products and services.
Read more about how we are taking climate action through our investments, insurance and banking activities, and business operations.