2015
Corporate Social
Responsibility
ReportIntroduction from David Stevens,
CSR Board Representative
In another record year
for Admiral Group, ourcommitment to social
responsibility continues
to evolve.

Our business serves a real social purpose-whether in the UK, Europe
or North America, we at Admiral aim to protect our customers fromthe adverse consequences of crashing their car or suffering damage
to their homes. In addition to providing protection for our customers,
we also endeavour to contribute positively to the local communities inwhich we operate.
Our business is centred around four significant stakeholders who drive
the focus of our corporate social responsibility strategy: our customers,
our people, our community and our environment all of which I will
expand upon below.
Admiral exists to help limit the risks faced by our 4.4 million customers
globally, often at key times in their lives - learning to drive, passing theirtest, that first family holiday, buying a house...and so on. Ever increasing
technological developments allow us to develop and find innovative
ways to improve the service we offer to our customers.
During 2015 we introduced a new way by which to assess what ourcustomers truly think of the service we provide them. ‘Kudos’, our new
customer experience measurement programme, was created to givea broader, more in-depth, view on the experience of our customers.
The programme focuses on three key areas; average speed of answer,
SMS feedback scores and external call monitoring by senior staff: areas
which directly impact, or are influenced by, our customers. Having an indepth knowledge of what our customers think is vital to help us to tailor
the services we provide both now and in the future.
Of course this wouldn’t be possible without our extremely dedicatedand competent members of staff, who continually go above and beyond
to provide an excellent service to our customers, frequently exceeding
their expectations every day of the week. At Admiral, we believe that
“People who like what they do, do it better,” so we strive to ensure
our staff not only enjoy coming to work, but also have a challenging,fun, environment wherein talent is recognised and achievement iscelebrated – allowing both the individual and the company to prosper.

2015 Corporate Social Responsibility (CSR) Report

We were honoured to berecognised again for ourbusinesses around theglobe, being named 4th Best
Multinational Workplace inEurope by the Great Place toWork Institute 2015.

This year we were proud to receive a Special Recognition Award forbeing the only company to have appeared in the Sunday Times Best
Companies to Work for listings for the last 15 years – that’s every year
since the list’s inception in 2001 - as well as coming 5th overall in the list
for 2015. We were honoured to be recognised again for our businesses
around the globe, being named 4th Best Multinational Workplace inEurope by the Great Place to Work Institute 2015.
We are committed to supporting our local community both throughcharitable giving and community partnerships. In 2015 we donated£195,942 to local and national charities and provided £947,959 tosponsor events and organisations. I am proud that our people areso passionate about helping good causes and we always encouragesuggestions from staff on the local organisations and charities theywould like to support.
Finally, as we at Admiral continue to develop and grow as a business, we
renew our commitment to manage and minimise our environmental
impact. In 2015 we officially moved in to our new building in Cardiff,Tŷ Admiral, which has been built to a BREEAM (BRE Environmental
Assessment Method) standard of ‘Excellent’ (the leading environment
assessment method for buildings) reflecting best practice insustainable design.
This report summarises the Admiral Group’s ongoing corporatesocial responsibility strategy and how we have engaged with our four
major stakeholders throughout 2015: our customers, our people, ourcommunity and our environment.
Enjoy the read!

David Stevens
Chief Operating Officer
2 March 2016

2015 Corporate Social Responsibility (CSR) Report

Admiral Group’s Corporate Social Responsibility (CSR) strategy is vitalto the sustainable growth of our business, with employee engagement
and customer satisfaction both assuming core roles in our businessmodel and strategy (pages 10-11, Admiral Group Annual Report andAccounts 2015).

ContentsPage

1 Our Customers .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 12 Our People .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 43 Our Community  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 16
4 Our Environment .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 19
5 Conclusion  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 29

4 Contents

2015 Corporate Social Responsibility (CSR) Report

1 Our Customers
At Admiral Group we value our customers above all else: put simply,
if we didn’t have any customers, we wouldn’t have a business! That is
why we believe that exemplar service and high customer satisfaction
is crucial for us to succeed. Everything we do serves to attract, retainand satisfy our customers and importantly, ensures that they getgood value for money. Our employee incentive schemes are therefore
designed with this criterion at the forefront of our thinking to ensurethat the quality of the service which we provide our customers is always
industry-leading.
In 2015 we won Best Motor
Insurance Provider at the
Personal Finance Awards
for the third year in a row.
This is an award based on
consumer opinion.

We always strive to find new and innovative ways to monitor what ourcustomers are saying about us in our contact centres, whether it bethrough customer comment forms, SMS feedback or scrutinisingsocial media to ensure that we are meeting their needs. We would
love to satisfy every single one of our 4.4 million customers, but we
acknowledge that this is not always possible; complaints happen.
However, we utilise the above methods of customer monitoring
so that we can better understand our customer complaints. We
measure complaint volumes and analyse complaint comment forms,
SMS feedback as well as ensuring we monitor calls, complaints andbreaches. These metrics are continually examined to ensure we areoffering an excellent level of service and to challenge departments tomake continual improvements.

Conduct Risk
In 2015 we have continued the evolution of our conduct risk
approach, ensuring that our customers’ experiences of our processes
and services match their expectations when they purchase our
products. Details of the risks posed to customers, together with
relevant mitigating controls are maintained by each department andare reviewed monthly.

1 Our Customers

2015 Corporate Social Responsibility (CSR) Report

The continued evolution of
the conduct risk framework
goes further to ensure
Admiral customers aretreated fairly throughout
their insurance journey.

Each business area owns the initial management of conduct risk as
they are closest to the processes and procedures we have established.
Conduct Risk Management Information (CRMI) is discussed in acommittee made up of senior management from each businessarea. The committee reports its findings to the UK Risk Management
Committee and the Group Risk Committee. The Chair of the Group
Risk Committee provides a quarterly update to the Group Board.
If a risk threshold is breached, the relevant business area manager will
investigate the issue and provide information on the reason, along witha plan to improve the result.
The information captured as part of the CRMI, combined with detailed
knowledge of the risks faced by customers and their relevant controls,
helps to formulate both the Compliance Monitoring Programme andactivities undertaken by the Risk and Audit areas.
The table below contains some of the measures of customer service
from the CRMI report:

We encourage ourcustomers to provide
feedback on our
products and services.

2 Our Customers

Conduct Risk Measure

2014

2015

Target% customers who would renew
following a claim

95%

95%

>85%

Customer Services, New Business andRenewals call answer rates

95%

94%

>90%

Claims call answer rates

98%

97%

>90%

Complaints per 1,000 vehicles

1.0

1.0

<1.4

Customer Services SMS feedback

9.2

9.1

>8.0

The main feedback method is through SMS feedback, which is a key
measure of the CRMI Report. SMS feedback enables our customers
to rate the service provided by our contact centre staff. An exampleof this is Customer Services (CS) SMS feedback. Our customers rate
separately, on a scale of 1 to 10, how good the service provided tothem has been and the Agent they have dealt with. In the above table
we present the average of both metrics for CS in 2015.

2015 Corporate Social Responsibility (CSR) Report

The feedback gained from our SMS feedback, email and Customer
Comment Form analysis allows us to pinpoint areas in need of
improvement and to identify employees who could benefit from further
training. This enables us to continue to provide excellent customer
service as our business continues to grow.

Monitoring customer experience
Kudos was createdto give a broader, morein-depth, view on

During 2015 we introduced a new way to truly understand what
our customers think of our service. Kudos is a new customer
experience measurement programme, used across all ourcustomer facing contact centres.

customer experience.

The programme focuses on three key areas which directly impact,
or are influenced by, our customers. These areas are:• Average speed of answer• SMS feedback• External call monitoring by senior management
We don’t shy away from a bit of friendly competition at Admiral andas such, with Kudos, each department and site compete against
each other for top place on the leader board as to who can deliver
the best customer service experience; this is updated in real timeand can change on a daily basis.
Daily SMS feedback also feeds into Kudos and our staff are
personally informed when they receive feedback from customers.
Customer feedback is recognised and visible on the Kudos
homepage across the company.
Kudos allows to both gain an in-depth knowledge of what ourcustomers think and engages staff into really thinking about
the customers for whom they are providing a service. We hopecontinued innovations such as this will continue to improve theservices we provide our customers both now and in the future.

3 Our Customers

2015 Corporate Social Responsibility (CSR) Report

2 Our People

People who like what theydo, do it better.
Our simple yet strong philosophy is the lifeblood of our culture at
Admiral Group and according to the Great Place to Work Institute,
this has helped us to become one of the best employers in the UK
and Europe. A business is as good as its people and we at Admiral are
hugely fortunate to have great people whose commitment, energy andinitiative allow us to create great value for our shareholders.
In order to understand why we are rated as such a good employer, it isuseful to understand the four pillars upholding the working culture at
Admiral – communication, equality, reward & recognition and fun.
Communication at Admiral is simple: we communicate with people,
people communicate back to us. We make sure that everyone knows
what’s going on with the business because our people want to be
involved. Our staff portal, Atlas, is updated daily with all the news
from around the business, whether we’ve won an award or changed aprocedure – our staff will know about it!
The transparency of our communication philosophy extends to senior
managers and Directors, who sit amongst their teams rather than in
their own offices which encourages a dialogue between staff of alllevels of seniority across all areas of our business. Furthermore, ourChief Executive Officer (CEO) operates an ‘open door’ policy so if any
member of our staff wants to ask him a question, they can email him
directly through our ‘Ask Henry’ intranet initiative. Our senior managers
and Directors also participate in regular online chats with staff. This year
we have held three online group chats with CEO, Henry Engelhardt, in
addition to several online chats with other senior managers.

4 Our People

2015 Corporate Social Responsibility (CSR) Report

In addition, there are a wide range of communication tools fromwhich our employees benefit which assists in the understanding ofbusiness goals and objectives including; internal newsletters, videos,team briefings, suggestion schemes, staff forums and the annual Staff
General Meeting (SGM). In the 2015 annual staff survey, 85% of staff
were happy with the amount of information they receive about thecompany (2014: 80%).

Engaging with our staff
During 2015 we celebrated the first anniversary of a channel ofcommunication designed for staff to ask questions about the way
we do things.
Don’t be Shy...Ask Why! is a scheme that gives everyone theopportunity to question why we do something a certain way.
We recognise that sometimes if something doesn’t seem quite
right; instead of asking why, or questioning why we do things theway we do, this can often just be accepted as ‘the norm’. As partof our culture at Admiral, we believe in always asking why andquestioning the status quo – and now our employees can do thistoo by logging a question on absolutely anything they like about
any business area of the Group.
Of course, it wouldn’t be Admiral without a different spin on how
the questions are answered.
Our very own ‘Captain Explaino’ assigns it to an expert in therelevant area of the business who then answers the question
either on the staff intranet or sometimes, if a question isparticularly pertinent, via video clip circulated for the businessto see. It’s a truly unique way of engaging staff in areas of thebusiness, and we may just pick up a few new ideas and innovations
along the way!

5 Our People

2015 Corporate Social Responsibility (CSR) Report

Training and development
We support employees as
they complete qualifications
with the Chartered Instituteof Insurance and otherprofessional bodies.

Admiral Academy is Admiral’s central training team and offers
support, learning opportunities and career advice for all employees.
The team is made up of 20 dedicated Learning & Development
professionals with the skills necessary to support the needs of ourbusiness and our employees.
The Academy offers a prospectus which contains over 100 pages ofcourses, workshops and training programmes. Such is the success of thecourses on offer, over 5800 training slots were taken up by our people
in 2015. This includes training provided for specific UK departments
and any training that has been provided by our UK trainers in any of ouroverseas offices.
In order to measure how our people feel about training and development,
we ask them to complete evaluation forms after training courses. In 2015
our overall feedback score was 9.4/10 (2014: 9.4/10).
Admiral Academy is an approved Institute of Leadership andManagement (ILM) Centre, which provides nationally recognised
management qualifications to employees. The programme Admiral
Academy has developed with the ILM means that from the outset of
their career with Admiral, staff can pursue a professional qualificationthat complements their professional development. It also provides
a strong incentive to progress within Admiral. Since becoming ILM
accredited, over 800 employees have gained ILM qualifications throughAdmiral Academy to date.
We have continued to make considerable investment in improving theaccessibility and quality of online learning for staff. Admiral’s eLearning
platform, iLearn, boasts a catalogue of over 100 courses to suit theneeds of staff, which includes both work-specific courses such as Healthand Safety training but also includes personal development courses suchas Plain English and Time Management. In 2015 over 50,000 courses
were completed online.

6 Our People

2015 Corporate Social Responsibility (CSR) Report

Admiral Academy also encourages self-learning through Henry’s Buy aBook scheme, whereby Admiral Academy will fund the purchase of any
book, eBook or DVD if it will help an individual with their career development.
These books are then theirs to keep, but many departments keep libraries
of books for everyone in the company to share. In 2015, over 2,500 books
were ordered via the scheme.
We also encourage staff to consider using our sponsorship scheme togain professional qualifications and attend courses externally. We support
employees as they complete qualifications with the Chartered Institute ofInsurance and other professional bodies.

Equality
Our people are ourgreatest asset and we
respect and value theindividuality and diversityof all our staff.

Admiral’s approach to equality is simple. Our people are our greatest
asset and we respect and value the individuality and diversity of all our
staff. Our Equality, Diversity and Dignity at Work policy makes certain
every employee is treated equally and fairly and that all employees areaware of their rights and obligations and it includes guidance on how topromote diversity, alongside advice for our people on how to identify
and report any instances of unfair discrimination.
To further promote diversity, this year Admiral Academy has trained
over 180 staff in workplace diversity. The Group is fully committed to thehealth and safety and the human rights of its employees, regardless of
their background. In addition, we maintain an employee code of conduct
regarding appropriate ethical standards in the workplace.
The Group’s principles of respect for human rights, diversity, health andsafety and workplace ethical standards apply not only to staff directly
employed by Admiral, but also to staff employed by the Group’s outsourced
partner in Bangalore, India. To meet this commitment, Admiral Group
maintains regular contact with its outsourcer’s management team andthe Group’s senior managers pay visits to the outsourcer, whilst the Groupalso provides training and development to ensure that the team upholdthese principles. In addition, Admiral Group has appointed a manager based
permanently at the outsourced operation, who is responsible for ensuringthat the Group’s principles are adhered to by the outsourced partner andthat the wellbeing of outsourced staff is monitored.

7 Our People

2015 Corporate Social Responsibility (CSR) Report

Gender diversity
The table below provides a breakdown of the gender of Company
Directors and employees at the end of the financial year:
Male

FemaleCompany Directors*1

7

5

Other senior managers*2

23

12

All employees

3,981

4,185

Notes
*1
Company Directors consists of the Board of Directors, as detailedon pages 42-43 of the Admiral Group Annual Report 2015.
*2	‘Other senior managers’ is as defined in the Companies Act
2006 (Strategic Report and Directors’ Report) and includes:
persons responsible for planning, directing or controlling theactivities of the Company, or a strategically significant part of theCompany, other than Company Directors. Any other Directors ofundertakings included in the consolidated accounts that are notconsidered strategically significant have not been included.

In 2015 the Davies Review into Gender Balance on British Boards publishedits findings. In the five years since the report began to gather evidence,
Admiral Group has increased the amount of female representation on its
Board by 21.7% - enough to place in the Top 10 Most Improved FTSE 100
Boards since 2011. Indeed our overall percentage of 41.7% means that weare currently in 6th place on the FTSE 100 index and 1st place in our sector
in terms of the percentage of female members of our Board.

8 Our People

2015 Corporate Social Responsibility (CSR) Report

Happy and healthy

After the success of our previous Ministries, the Ministry of Healthand the Ministry of Fun, we launched our third dedicated Ministry –the Ministry of Money!
The Ministry of Money has been set up to help staff, who would liketo be just that little bit better with their personal finances, help maketheir pay last for a whole month and help those who wish they weremore saver than spender! Our new financial education scheme
provides our people with the tools, knowledge and confidence theyneed to help them be better with their money.
The scheme is run by dedicated members of our Payroll team who
said, “We were so excited about providing financial education for our
staff. We really care about our staff inside and outside of work andwant to give a benefit that makes a real difference to each individual
person. This is because we care about our people no matter where
they are – whether they are in work or out having fun!”

9 Our People

2015 Corporate Social Responsibility (CSR) Report

According to our annual Staff
Survey, 82% of our people
are more likely to stay withus because of our staff shareschemes (2014: 80%).

Fundamental to equality, and also important for Reward and Recognition,is our performance-related pay structure and share ownership scheme.
We like to reward and recognise our people for both their own personal
achievement and the overall performance of the Group. All employees are
rewarded for the overall success of the Group through our approved Free
Share Incentive Plan (SIP), a key feature of employee remuneration.
As of 31 December 2015 an employee who joined us on 1 January 2005
would have received a total of 3,156 shares, of which 2,495 would now
have matured and 2,041 which could be sold free of income tax andnational insurance. If none of the matured shares had been sold, theseshares would be worth £41,392 (based on the share price of £16.59 on 31
December 2015). In addition to our SIP, we also operate an unapproved
Discretionary Free Share Scheme (DFSS) to reward managers and ‘star
performers’ – employees who have excelled in their role, regardless ofbusiness location or level of seniority. Further details of our salary structure
and our share schemes are available in the Directors’ Remuneration Reporton pages 58-68 of our Annual Report 2015.
Our Board firmly believes that share ownership motivates employees,
decreases attrition and makes it easier to recruit successfully. According
to our annual Staff Survey, 82% of our people are more likely to stay withus because of our staff share schemes (2014: 80%).

Recruitment
In further support of our reputation as a good employer within the local
community we received over 14, 700 applications for contact centre
positions during 2015 (2014: 10, 800). The increase in applications is
testament to the fact that Admiral is a great place to work and shows thedesire from the local community to work with us.

10 Our People

2015 Corporate Social Responsibility (CSR) Report

Get into Admiral
In 2015 our Recruitment
department and Admiral
Academy began runninga brand new initiative
called ‘Get into Admiral’.

The scheme aims to help applicants who were previously
unsuccessful when applying for roles – but who we saw as having
definite Admiral potential – get the chance to apply again as Call
Centre Representatives in our New Business department. Get
into Admiral offers four days unpaid training in salesmanship andinterview skills with the opportunity to interview for the role at theend of the week.
Those running the scheme said: “At Admiral we pride ourselveson getting the very best applicants suitable for the roles, and as
a company we are always evolving and looking to introduce newschemes and processes. The ‘Get into Admiral Scheme’ is achance to trial something completely new. After completing an
extensive four day course, unpaid, and in their own time, it goes
without saying that from an interviewer’s point of view, suchcommitment and dedication is a strong indicator of the type of
people we would welcome in to the company.”
Of those that undertook the scheme in 2015, 75% were offered aposition at the end of their four day training.

11 Our People

2015 Corporate Social Responsibility (CSR) Report

Celebrating excellent performance
We host a series of annual award ceremonies to reward and recognise ourpeople, both for their own individual achievements and for the collective
performance of their team, department or site.

The Managers’ Awards

Back in 1992, before the first Admiral policy had even been sold,our CEO Henry Engelhardt gave each senior manager an award
to present in their name to a member of staff they believe hadcontributed to Admiral’s success in a unique or outstanding way.
Nineteen awards are now available, such as the David Stevens’‘Large Volume of High Quality Work’ Award and Geraint Jones’‘Bend over Backwards’ Award. The names of the award winners arepermanently inscribed in Admiral’s history on plaques displayedin the reception area of our headquarters in Cardiff, South Wales.
This year, in addition to the usual roster of awards, a special award
was presented to Henry Engelhardt, in his last full year as Admiral
CEO: ‘The Henry Engelhardt Award for being the most Henry
Engelhardt-ish,’ appropriately enough!

12 Our People

2015 Corporate Social Responsibility (CSR) Report

Fun plays a vital role in helping us to ensure that our people enjoy theirwork, encouraging and motivating each and every individual to produce
excellent results.

Work-hard, play-hard

At Admiral we have a dedicated Ministry of Fun (MOF) thatorganises exciting events for all our people to take part in. A
different department takes responsibility for organising games
and competitions each month to ensure that the programme
remains fresh and to give everyone the opportunity to takeownership. Some of the MOF organised events during 2015 haveincluded Prize Pong, Pudsey Face – having three minutes to paintyour Team Manager’s face so that it bears a likeness to Pudsey – inaid of Children in Need, and of course, evergreen favourite ‘Wish
Wednesday’ where MOF’s wish is your command (within reason)!

So how do we know that this approach works? Our staff tell us. One of
the most important tools that we use to measure employee satisfaction
is our anonymous annual Staff Survey, which collects views on what it islike to work for us. The survey results are analysed by department andeach department manager shares the findings with their team, exploring
any issues and concerns before making improvements.

13 Our People

2015 Corporate Social Responsibility (CSR) Report

The most significant results are provided in the table below. There
are no specific targets with respect to the survey results, as our
executive team use the data to identify trends in employee perception,rather than absolute values.

Staff Survey results
Survey question

2009

2010

2011

2012

2013 2014*1

2015

Morale is good within
Admiral

93%

89%

90%

93%

89%

75%

84%

Morale is good within mydepartment

86%

84%

85%

87%

75%

67%

77%

I am happy at Admiral

91%

88%

89%

91%

88%

78%

84%

Every effort is madeto understand thethoughts and opinionsof employees

87%

88%

88%

91%

85%

78%

84%

I am proud to be
associated with Admiral

96%

95%

95%

96%

94%

82%

86%

I would recommend
Admiral as a good place
to work

95%

94%

95%

96%

93%

83%

87%

I am more likely to stayat Admiral because of
the share schemes

79%

78%

79%

79%

81%

80%

82%

Admiral is truly
customer-focused

90%

86%

87%

90%

90%

85%

88%

*1

14 Our People	In 2014 we changed the way we collected our staff survey results.
We now use the Great Place to Work (GPTW) Best Workplaces
survey as our Annual Staff Survey and every single person in
Admiral Group (including our overseas operations) will be filling itout. As a result not every question is a direct match to previous
years. From 2014 we have presented this new question set.

2015 Corporate Social Responsibility (CSR) Report

As a Group we participate in a number of independently managed
surveys, including The Sunday Times 100 Best Companies to Work For
and the Great Place to Work Institute’s Best Workplaces in the UK andBest Workplaces in Europe.
In 2015 we have continued to win awards for employee satisfaction,
adding to those achieved in previous years. This year Admiral Group again
placed in the Top 10 for the Sunday Times 100 Best Companies to WorkFor list and, notably, received a Special Recognition Award for being theonly company to feature in the list every year since its inception. The
table below shows how we have performed in these surveys:

External survey results

15 Our People

2001

32nd

32nd

2002

42nd

42nd

2003

46th

7th

2004

60th

16th

2005

20th

17th

2006

20th

8th

2007

21st

Top 10

2008

57th

10th

2009

37th

6th

16th

2010

16th

10th

26th

2011

9th

9th

21st

2012

6th

1st

4th

2013

11th

2nd

2nd

2014

2nd

3rd

3rd

2015

5th

4th

4th

2015 Corporate Social Responsibility (CSR) Report

3 Our Community
We play a positive role in the community through charitable giving andsponsorship of local community partnerships. As an employer, we
promote payroll giving and provide matched funding for eligible staff
initiatives. In 2015 Admiral Group donated £195,942 to local and national
charities and provided £947,959 to sponsor events and organisations.
The amount we donate fluctuates annually due to changes insponsorship initiatives and employee demand for matched funding.
Our strategy on charitable giving and community sponsorship aims to:

•
•
•
•

Contribute to the local communities surrounding our offices;
Support events that are likely to appeal to our people;
Reflect our culture of vibrancy and fun; andRaise our profile as a good employer within the local community.

Our strategy provides further opportunities for employee engagement
by providing opportunities for our people to participate in charity
fundraising or community projects and by enabling us to secure
additional employee benefits, such as free event tickets and local
discounts. It also helps us to attract new staff and to minimise
recruitment costs, reinforcing our strategy of focusing on profit andcontrolling costs in order to maintain our market-leading expense ratio.

16 Our Community

2015 Corporate Social Responsibility (CSR) Report

Supporting the national sport of Wales
We continue to be sponsors of the Welsh Rugby Union (WRU) andthe Admiral logo was proudly emblazoned once again the Welsh
national jersey during the Six Nations Championship 2015. The
agreement enables us to secure staff benefits such as free rugby
tickets, kit discounts and opportunities to attend team training
sessions and meet players. In 2015 members of the Wales squad
officially opened our new headquarters, Tŷ Admiral, and Welsh
rugby international Jake Ball participated in a Live Chat with staff
where he revealed the best piece of advice he’d ever received:‘Never be satisfied.’ That’s certainly the Admiral spirit!

17 Our Community

2015 Corporate Social Responsibility (CSR) Report

Admiral Community Chest
Admiral Community Chest is a fund set up to provide funding forcharities and local organisations which our people and their families
are involved with. The Chest has been running for over ten years andin that time we have been able to contribute to over 700 charities
and organisations. In 2015 we donated £100,000 to over 180
charities and organisations through the Chest. This year we helped
Home-Start Cardiff by purchasing vital baby safety equipment andhelped fund a summer production of West Side Story by Superstars
in the Making (Barry) by donating money towards printing flyers,posters, banners and hospitality. Finally, feeling especially puckish,
we also donated to local youth ice hockey venture the Cardiff Devils
Junior Development Team, which allowed the purchase of shirts forthe whole squad, 50 pucks and a puck bag!

18 Our Community

2015 Corporate Social Responsibility (CSR) Report

4 Our Environment
Our Environmental Policy is aligned with our vision for sustainablegrowth and our focus on profitability, as outlined by our Group businessmodel and strategy on pages 10 - 11 of our Annual Report 2015. Bymonitoring and reporting on our annual carbon emissions, we canidentify areas of the business where energy usage could be reduced,
leading to the potential for cost-savings. Furthermore, by improving
our buildings to drive energy efficiency, we are able to create a betterworking environment for our people.
We are committed to:• Raising and maintaining employee awareness of, and ensuring that
all of our people are actively engaged in, activities to reduce ourenvironmental impact;• Measuring and monitoring key aspects of our environmental
performance and regularly reviewing progress to reduce theamount of resources consumed per employee; and• Complying with the requirement to report annual levels ofgreenhouse gas (GHG) emissions in line with guidance provided by
the Department for Environment, Food and Rural Affairs (DEFRA)in partnership with the Department for Energy and Climate Change(DECC). We have never been subject to prosecution or fines as aresult of non-compliance with environmental reporting regulations.
We have a cross-functional team in place to monitor and report on
our annual greenhouse gas emissions, including employees from ourFinance and Facilities departments. One of the major responsibilitiesof our Facilities team is to continuously reduce our environmental
impact. The reporting process is centralised at our UK head office andour international businesses send their data to the team each month.
This way, our people can be engaged in recording and monitoring theirenvironmental impact and we hope that this will encourage each of oursites to make continual improvements. The data is reviewed annuallyand reported to David Stevens, our corporate social responsibility
Board representative.

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2015 Corporate Social Responsibility (CSR) Report

We uphold a structured consultation process to gauge stakeholder
views on our environmental performance. In 2015, the staff survey
revealed that 87% of our people think we are working to reduce ourenvironmental impact (2014: 84%). Each department manager feeds
back the results to their employees, encouraging a forum for positive
discussion to gain employee ideas on what more we can be doing tolimit our environmental impact.

Performance Data
GHG
Emissions(CO2eTonnes*1)

% Of
Group
Total

GHG
Emissions(CO2eTonnes*1)

% Of
Group
Total

2015

2015

2014

2014

Owned transport

10

0.12%

14

0.20%

Gas

541

6.47%

Total Scope 1

551

6.59%

14

0.20%

Purchased electricity(including green energy)

6,327

75.70%

5,908

86.42%

Total Scope 2

6,327

75.70%

5,908

86.42%

T & D*2 Electricity

541

6.48%

522

7.64%

Business travel852

10.19%

310

4.53%

Water

35

0.42%

Waste Disposal

52

0.62%

82

1.20%

Total Significant Scope 3

1,480

17.71%

914

13.37%

Total CO2e Emissions

8,358

Scope 1

Scope 2Significant Scope 3*1*2

20 Our Environment

6,836‘Tonnes’ refers to metric tonnes.
‘T&D’ refers to the transport and distribution of electricity.

2015 Corporate Social Responsibility (CSR) Report

Intensity Ratio
We have used average employees as the measure for our intensity ratio
as this is the most relevant indication of our growth and provides forthe best comparative measure over time.

CO2e per employee*1*11.24 tonnes (2014: 1.19)

	Average employee number excludes employees from offices forwhich data could not be collected.

Methodology
Reporting period
1 January 2015 – 31 December 2015
Measuring and reporting approach
We have followed UK government guidance on how to measure andreport greenhouse gas emissions. In particular, the data has been
prepared with reference to the WRI/WBCSD Greenhouse Gas Protocol:
A Corporate Accounting and Reporting Standard (Revised Edition) and inaccordance with the guidance for corporate reporting issued by DEFRA.
Greenhouse gases
All GHG emissions figures are in tonnes of carbon dioxide equivalents(CO2e) and include all six GHGs covered by the Kyoto Protocol.
Organisational boundary
We have chosen to use the operational control approach because
we maintain the ability to direct the operating policies of each of ourorganisations, with a view to achieving economic benefits.
Specifically excluded from the organisational boundary is our outsourced
contact centre in Bangalore, India, which we do not have control over.

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2015 Corporate Social Responsibility (CSR) Report

Operational scopes
All Scope 1 (direct GHG emissions), Scope 2 (indirect GHG emissions)and significant Scope 3 emissions have been reported for operations
within the organisational boundary, with the exception of exclusions
listed below.
Where appropriate, emissions from multi-occupancy offices are
determined on the basis of the recharge statement provided to theGroup by the relevant managing agents.
Exclusions to operational scopes
We have excluded our call centre in Gurgaon, New Delhi, from our Scope
1, 2 and 3 emissions because this operation was not able to provide us
with the data requested. Our operations in France (L’olivier – assurance
auto and LeLynx) and Elephant Auto in the US are also excluded fromall of our emissions scopes. These offices together total less than 9%of our Group headcount and are, therefore, considered immaterial. We
continue to endeavour to collect data from the managing agents forthese locations.
Excluded from our Scope 1 emissions are air conditioning emissions
produced by all of our operations. We are continuing to work with the
managing agents to obtain this data.
Operational scopes – calculation approach, conversion tools
and emission factors
The carbon emissions linked to the activities listed above have been
determined on the basis of measured or estimated energy and fuel use,
multiplied by relevant carbon conversion factors.
The large majority of our fuel and energy consumption is based on
actual mileage data, purchase invoices and information supplied by the
managing agents of our leased buildings. However it has been necessary
to make estimations in some circumstances, where this form of evidence
has not been available. In particular we have made estimations whenmonthly invoices have not been available for the full reporting period.

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2015 Corporate Social Responsibility (CSR) Report

Where this was the case, an average of available invoices was applied
to the months for which invoices were unavailable. This process of
estimation represents less than 10% of data.
We have calculated emissions using the 2015 carbon conversion factors
downloaded from the DEFRA website, which are valid until 31 May 2016.

Geographical breakdown
Tonnes of CO2e

2015

Scope 1

Scope 2

Scope 3

Total

Total global

551

6327

1480

8358

UK

551

5289

1355

7195

Italy

0

294

33

327

Spain

0

85

12

97

India

0

130

31

161

US

0

79

6

85

Canada

0

450

43

493

Carbon offsetting
We are not a carbon-intensive business and as such, we don’t see any
significant need to offset our Scope 1 and Scope 2 carbon emissions atpresent. However, this will continue to be monitored in line with futurebusiness growth. We recently reviewed the Carbon Reduction Scheme(CRC) guidelines and confirmed we did not qualify during phases 1 or 2.
The scheme requires you to buy allowances for every tonne of carbon
you emit from your energy use. Participants must buy allowances fromthe government annually to cover their reported emissions.

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2015 Corporate Social Responsibility (CSR) Report

Green tariffs
All of the electricity tariffs we control in the UK use energy from green
sources. Our current green electricity tariffs expire Oct 2018 at which
point we will look to procure green tariffs again for all UK sites we control.
Our international offices either select their own tariffs or use those
selected by the managing agents of the buildings they reside within.
However, international procurement is not yet centralised at our UK head
office hence there is no record of the number of international sites using
green tariffs.

Annual achievements• In 2015 we completed our move to our head office from a multioccupancy, 23-floor building erected in 1967, to a brand new,high density building in Cardiff city centre: Tŷ Admiral. The building
has been built to a BREEAM*1 standard of “excellent”. Tŷ Admiralencompasses thoughtful design features, such as high efficiency
glazing and recessed windows to reduce heat solar gain, as well as
an automated building management system to reduce electricity
consumption. Features such as electricity generating photo-voltaic
panels and high-efficiency, energy saving lighting with sensor
controls, significantly reduce the impact on the environment.

• We make a constant effort to raise employee awareness of ourenvironmental impact, our staff intranet features a page called ‘Help
Us Go Green’, which includes a guide to recycling in work, what we’re
doing to reduce Admiral’s impact on the environment, how staff
can help and get involved. Links to our Environmental Policy, latest
Greenhouse Gas Report and what staff can do at home to help theenvironment can also be found on the staff intranet.

*1

24 Our Environment

 REEAM (BRE Environmental Assessment Method) is the leading and mostBwidely used environmental assessment method for buildings. It sets thestandard for best practice in sustainable design and has become the de facto
measure used to describe a building’s environmental performance

2015 Corporate Social Responsibility (CSR) Report• By the end of 2015 all UK sites had our new waste and recycling
system installed and working with Biffa we are capturing andrecording all our waste streams as accurately as possible. In Q3
2015 we installed new signage on all our waste and recycling bins
across the UK to help staff in selecting the correct bin for theirwaste. Below are Admiral Group’s waste and recycling figures for
the UK in 2015:
{{
{{
{{
{{

37% General Waste Landfill
16% General Waste to Energy from Waste
25% Mixed Recycling
22% Confidential Waste (Recycled Paper)• All UK controlled energy contracts continue to come from green
energy sources. These contracts run up until October 2018, at thispoint we will look to procure further green energy contracts.

• Energy Savings Opportunity Scheme (ESOS) assessment
completed in October 2015 for our UK operation. ESOS is amandatory energy assessment scheme for organisations in the UKthat meet the qualification criteria. Organisations that qualify for
ESOS must carry out ESOS assessments every four years. These
assessments are audits of the energy used by buildings, industrial
processes and transport to identify cost-effective energy saving
measures. This report highlighted savings of 2,176,246kWh, which
in monetary terms equates to nearly £150,000. We will endeavour
to realise these savings in 2016.

• In November 2015 the Facilities department held an annual
Awareness Week, which this year focused on recycling in theworkplace. Facilities hosted a week of events, communications,and competitions across all UK sites promoting proper recycling in
the workplace. Over 2,600 employees completed a recycling quiz.

• Wherever possible, we use SMS to contact our customers in orderto provide a convenient service and to further reduce paper usage.

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2015 Corporate Social Responsibility (CSR) Report

Targets for 2016
• Waste and Recycling – We aim to reduce the general waste
produced by the Group in the UK to 40% (currently 53%) by theend of 2016 and increase recycling to 60% (currently 47%). We
aim to do this through eliminating certain waste streams that
we have control over and by better capturing existing recycling
waste streams such as Waste Electrical and Electronic Equipment
recycling (WEEE) generated by our IT department and food waste
recycled by our canteens.

• Complete outstanding ESOS action points to hopefully ensure thefull 2,176,246kWh saving will be realised.

• Re-commission our smart metering system and have monthly
energy assessments completed by our external partner, Enica.
This will highlight further energy savings as well as monitor eachsite’s efficiency.

• An Environmental and Utilities dashboard has been created which
will be updated monthly to monitor our energy usage and waste
and recycling figures.

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2015 Corporate Social Responsibility (CSR) Report

Working Towards a Greener Future
Towards the end of 2015 we formed the Admiral Green team,headed up by our senior facilities managers which consistsof staff volunteers from across Admiral who have an interestin the environment. The group meet bi-monthly to discuss
environmental issues, new initiatives and how we can encourage
more staff to get involved in recycling.

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2015 Corporate Social Responsibility (CSR) Report

Assurance Statement
We have not received external assurance of our carbon emissions data
for the 2015 reporting year. However, as a Group we have completed
an internal peer review to assess the reasonableness, accuracy andcompleteness of the data presented. This included: recalculation of
formulae, checking conversion factors applied, agreement of data todetailed breakdowns and sample checks to source data. The process
did not highlight any uncorrected deficiencies in the reported data.

A FTSE4Good Index member“FTSE Group confirms that Admiral has been independently assessed
according to the FTSE4Good criteria, and has satisfied the requirements
to become a constituent of the FTSE4Good Index Series for 2015.
Created by the global index company FTSE Group, FTSE4Good is anequity index series that is designed to facilitate investment in companies
that meet globally recognised corporate responsibility standards.
Companies in the FTSE4Good Index Series have met stringent
environmental, social and governance criteria, and are positioned tocapitalise on the benefits of responsible business practice.”

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2015 Corporate Social Responsibility (CSR) Report

5 Conclusion
This report summarises our ongoing corporate social responsibility
strategy and how this relates to the Group business model andstrategic objectives, in addition to outlining the progress we have madeduring 2015 in relation to our four key stakeholders: our customers, ourpeople, our community and our environment.

29 Conclusion