Climate disclosures most likely to be published in annual reports

Analysis of the public disclosures of 145 UK insurers reveals that companies are most likely to publish climate related information in their annual report.

The research was conducted using data and text analysis from Solvency II Wire Data – green, the climate disclosure portal of Solvency II Wire Data.

Several climate related themes (such as net zero, green house gas emissions and climate metrics such as WACI) were examined across a range of company disclosures made in 2020. The disclosures include: annual reports, TCFD reports and sustainability reports.

In the majority of cases (between 65% – 90%) information was disclosed in the annual report (see chart).

Climate disclosure in annual report vs other reports, 145 UK insurers (2020)

The chart shows that when specific climate related information was published this was predominantly disclosed in the annual reports, compared to other reports.

Detailed breakdown of each of the themes shows that a smaller proportion of companies used a dedicated TCFD report or Sustainability report for their disclosures.

Other types of reports published include a ClimateWise Report (Amlin), Environmental Policy and Statement on Climate Change (Assured Guaranty) and a dedicated Climate Report (SCOR).

Earlier analysis of climate risk disclosures in the SFCRs shows that only about 20% of companies used their SFCR to provide climate risk information.

Full text analysis of the reports is available using the Solvency II Wire Data – green suite of text analytics tools.