Groupsustainability
report 2023

TABLE OF CONTENTS

CO N T E N TS

1SCOR’s approach to sustainability 

62Good Governance 

16

3

Engaged People & Positive Workplace 24

4

Sustainability in underwriting activities 34

5

Sustainable investment activities 

44

6

Turning knowledge into impact
and opportunities 58

7

Sustainable operations 

64

8Impacts, risks and opportunities
identification and management 

70

9Business ethics 

9610

Metrics and targets 

102

11

Other sustainability-related data 

116

12

Tables of correspondence 

124

13

Overview of publicly available documents 
2023 Group sustainability report135

3OUR GROUP

About this report
This sustainability report discloses information on SCOR’s organization, ambition,and performance, r­egarding sustainability. It addresses some regulatory
requirements (Article 29 of the French bill on Energy and Climate) and provides
information aligned with voluntary frameworks such as TCFD, GRI or SASB. It alsodetails innovations and preliminary studies to provide evidence of SCOR’s efforts
to participate in improving resilience and building a more sustainable tomorrow.

SCOR at glance
SCOR, a leading global (re)insurer, offers its clients a diversified and innovative
range of reinsurance and insurance solutions and services to control and manage
risk. Applying “The Art & Science of Risk,” SCOR uses its industry-recognizedexpertise and cutting-edge financial solutions to serve its clients and contribute to
the welfare and resilience of societies.
Established in around 30 countries worldwide, the Group provides services tomore than 5,200 clients. With leading knowledge, talent, and expertise acrossall lines of business, SCOR develops bespoke solutions centered aroundcustomer needs in an evolving insurance ecosystem.
COMBINING THE ART & SCIENCE OF RISK TO PROTECT SOCIETIESEmerging
technologies& digitalization

RISK
TRANSFER

Evolving
health trends

P&C RISKS

EUR 17.2
million granted
by SCOR
Foundation
for science

RISK
PRICING

BUSINESSOPPORTUNITIESClimate &environmental
challenges

EUR 2.3 billion%$F2:A-M$)-*$
invested in-B)C+H-assets
financing
the transition

RISK
POOLING
Changing
demographics

LIFE & HEALTH RISKS

Raw
Material

RISK
ASSESSMENT

Value
Creation

6th LARGEST REINSURER
IN THE WORLDEUR 4.7 billion
shareholder
equityASSET RISKS
Shifting social& geopoliticallandscapes

4

SCOR

Energytransition

RISK
IDENTIFICATIONBENEFICIARIES!"#$%&'($)*+)+,-.$./0/.-1.

EUR 19.4
billion in grosswrittenpremiums

CLIENTSEMPLOYEESSHAREHOLDERS
SOCIETY/COMMUNITY~5,200 clientsworldwide

CLAIMSMANAGEMENT

2023 Group sustainability report

209 %Solvency ratio

12 training
hours/
employee51.
SCOR’s approachto sustainability

6

SCOR

1.1 Overarching principles8

1.2 SCOR’S approach 

102023 Group sustainability report71. SCOR’s approach to sustainability

1.1. OVERARCHING
PRINCIPLESThe Group’s sustainability approach is guided by its raisond’être. The sustainability strategy aims to deliver on
SCOR’s Theory of Change based on the double materiality principle and its commitment to provide positive outcomes and improve resilience. SCOR’s involvement in
United Nations convened initiatives and the Sustainable
Development Goals provides global frameworks todevelop an ambitious sustainability strategy. These overarching principles are detailed in SCOR’s sustainability policy. SCOR believes in transparency to demonstrate its
accountability vis-a-vis its external stakeholders and toparticipate in accelerating the sustainability journey.

RAISON D’ÊTREAs a global (re)insurance company, SCOR contributes tothe welfare, resilience, and sustainable development ofsociety by bridging the protection gap, increasing insurance accessibility, helping to protect the insured against
the risks they face, pushing back the frontiers of insurability and acting as a responsible investor. Through theexpertise and know-how of its employees, it combines
the Art and Science of Risk to offer its clients an optimum
level of security and creates value for its shareholders bydeveloping its L&H and P&C business lines, respecting
strict corporate governance rules. SCOR provides its clients with a broad range of innovative (re)insurance solutions and pursues an underwriting policy founded on
profitability, supported by effective risk management anda prudent investment policy.
The Group shares the fortunes of societies over the longterm. Closing the protection gap is both an imperative, anda source of opportunities in its business which consists in
two main goals:

DOUBLE MATERIALITY

SCOR’S THEORY OF CHANGE

Protecting the business from downside effects linked to
non-financial risks is part of SCOR’s risk management.
Insuring and financing the sustainable development ofsocieties encompasses another dimension requiring
SCOR to consider impacts of its decisions on People andecosystems with the aim to not compromise the ability of
future generations to meet their own needs. By doing so,
SCOR actively contributes to a more sustainable world
and, in return, protects its business against damage over amuch longer time horizon. This loopback effect drives
back the long-term horizon within shorter-term businessdecisions. This double materiality principle combines
financial (outside-in) and impact (inside-out) materiality
and underpins SCOR’s Theory of Change.

The Group’s main concerns are directly linked to its corebusiness and focus on people and resilience: improving
protection of societies and participating in building a more
resilient economy.
SCOR has developed its own Theory of Change, striving to optimize its impact on Human Capital, Natureand People. It is underpinned by its raison d’être to combine the Art and Science of Risk to protect societies andrecognizes the need to act to improve resilience. It follows three guiding principles:• SCOR strives to reduce negative impact of all its­activities,• as it operates alongside the real economy, the Groupneeds to engage with its partners, clients, and investees
to support their own journey toward more resilience, and• SCOR wants to support the transition to a better tomorrow and to benefit from opportunities stemming fromthis transition.

SCOR’S THEORY OF CHANGE

SCOR considers a sustainability matter as material if it isrelevant from:

Policy advocacy• a financial perspective (or outside-in approach), which

Advocating

is related to the financial risks and opportunities that sustainability matters can have on the organization, orEngagement
Clients /Partners /Investees• an impact perspective (or inside-out approach), whichis related to the significant impacts that SCOR can haveon people or the environment.

Emissions
reduction

NON-FINANCIAL RISK MANAGEMENTSCOR conducts internal assessment of the main sustainability
issues, risks and opportunities that could have a financial
impact on its business activities. As such, SCOR may be
exposed to emerging risks, which include new threats or constantly changing current risks with a high degree of uncertainty. The transformation of the economy may also provide
business opportunities that are constantly being analyzed forfurther developments. Environmental, social and governance(ESG) trends may positively or negatively impact SCOR’s
business and operations.

• protecting society from extreme events, accompanying

economic agents in mitigating the effects of climatechange and enabling a smooth transition to a more sustainable future• accompanying people’s health and wellbeing, including by d
­ eveloping accessible health prevention

To deliver on its ambition, SCOR ensures that this approachis clearly reflected in its main reference texts, in particular
the Code of Conduct, and that every employee embarkson the Group’s sustainability journey.

Exclusions on mostemitting industries
Decarbonation targets

PPMI
Engaging with at least 30%
of SCOR Business Solutions(formerly SCOR Specialty
Insurance)
Single Risk premiumCollaborative engagementwith other investors

ReportingInsuring /Financing newtechnologies

Sustainability Report
URD Section 6x3.5 EGPI in low carbon
energyGreen and sustainablebonds targets

TRANSPARENCY
Measuring progress and publicly reporting on outcomesis part of SCOR’s philosophy. It demonstrates the Group’scommitment to deliver on its objectives and targets andcontributes to spreading good practices and sharing innovation across the (re)insurance industry. This effort and

SCOR’s journey towards sustainability were recognized
by non-financial rating agencies, and most of SCOR’s ratings have notably progressed over the last few years.
Following the 2023 ESG rating campaign, SCOR has
maintained its AA rating by MSCI and B by CDP:

Last Update:February 2024

Last Update:August 2023

C

B

AA
BBB

BB
F

2016

2017

2018

2019

2020

2021

Scale: D - to A. (F corresponds to a non-disclosure)

8

SCOR

2022

2023

2015

2016

2017

2018

2019

2020

2021

2022

2023

Scale: CCC to AAA

2023 Group sustainability report91. SCOR’s approach to sustainability

1.2. SCOR’S APPROACH

February 2021
SCOR signs the Climate
Action 100+ initiative
March 2021
SCOR joins CDP Water Champions

SCOR’s journey
toward sustainability

May 2021
SCOR joins the PRI Sustainable
Commodities Practitioners’ Group (SCPG)SCOR joins the Finance for Biodiversity
Foundation
September 2021
SCOR officially supports the TCFDSCOR joins the Taskforce on Nature-related
Financial Disclosures (TNFD) Forum

Environmental and climateG eneralS ocial equalityH ealthJuly 2009
SCOR SE signs the
Kyoto Statement, amajor insurance and(re)insurance initiative tocombat climate change

2003
June 2003
SCOR joins
the Global
Compact
initiative

2008 2009

2012

10

November 2015
SCOR commits
to the first French
climate pledge

2015

December 2017
SCOR signs thesecond French
Climate Pledge

2016

June 2012
SCOR is afounding
member of
the PSI

February 2008
SCOR (Paris office) commits toa policy of anti-discriminationand to male/female equality
among its staff

March 2017
SCOR signs the
Shift Project’s“Decarbonize
Europe Manifesto”

2017

May 2020
SCOR joins the
Net-Zero Asset
Owner Alliance(NZAOA)

December 2018
SCOR commits
to protecting
World Heritage
Sites

2018

December 2016
SCOR IP signs
the United
Nations Principles
for Responsible
Investment (PRI)
January 2015
SCOR signs theEuropean Charter
on Professional
Equality between
Women and Men

SCOR

November 2016
SCOR develops
the SCOR
International
Gender Network(SIGN+)
SCOR signs the
Global Charter
on Professional
Equality between
Women and Men

July 2020
SCOR joins CDP
Forest Champions
December 2020
SCOR signs the
Finance for
Biodiversity Pledge

2019

2020

September 2019
SCOR signs the United
Nations Principles
for Responsible
Investment (PRI)

October 2021
SCOR joins the Powering Past Coal Alliance(PPCA)
SCOR becomes the first (re)insurer to join
the Climate Transition Pathway accreditation
framework (CTP)
November 2021
SCOR sets target with Act4nature
International
SCOR signed a financial sector commitment
letter on eliminating commodity-driven
deforestation from Race to Zero
December 2021
SCOR is a founding member of the Poseidon
Principles for Marine Insurance

2021

May 2022
SCOR joins the CDP SBTi
campaign
June 2022
SCOR signs a lettersupporting an initiative by
FAIRR for the agriculture andland use sector
July 2021
SCOR joins the Ceres Valuing
Water Finance Initiative
as an investor signatory
November 2022
SCOR signs a Private financial
sector statement for COP15
from Finance for Biodiversity
December 2022
SCOR joins the Partnershipfor Carbon Accounting
Financials (PCAF)

2022

February 2023
SCOR joins the Investor
Initiative on Hazardous
Chemicals (IIHC)
March 2023
SCOR joins the BusinessCoalition for a Global
Plastics Treaty
May 2023
SCOR joins IIGCC(Institutional Investors Groupon Climate Change)
SCOR joins the Net Zero
Engagement Initiative (NZEI)of IIGCC
September 2023
SCOR joins Nature Action
100 (NA100)

2023

September 2021
The Group appoints
a Group Chief
Sustainability Officer
as member of the
Executive Committee
October 2021
SCOR joins Women
Empowerment Principles(WEPs)
November 2021
SCOR signs Financi’elles(charter)May 2017
SCOR sponsors a
global statement
supporting stronger
regulation aroundtobacco control

April 2022
SCOR publishes
The relevance of climatechange for life insurance
SCOR signs Investor letters of
support for Deforestationfree legislation

June 2022
SCOR joins the PRIAdvancestewardshipinitiative on humanrights and social
issues

September 2018
SCOR is a founding
signatory of thetobacco-freefinance pledge

2023 Group sustainability report111. SCOR’s approach to sustainability

GENERAL REFERENCE FRAMEWORK
United Nations Global Compact (UNGC)
SCOR is a longstanding participant of the United Nations
Global Compact, integrating its 10 principles – on humanrights, international labor standards, environmental protection, and the fight against corruption – within a framework
tailored to its sphere of influence. The Ten Principles of theUnited Nations Global Compact are derived from: theUniversal Declaration of Human Rights, the International
Labor Organization’s Declaration on Fundamental
Principles and Rights at Work, the Rio Declaration on
Environment and Development, and the United Nations
Convention Against Corruption. Yearly Communication
on Progress is a way to demonstrate how SCOR improves
its sustainability performance over time.

Alignment with international objectives
SCOR intends to align with international objectives to limit
global warming and preserve biodiversity. Achieving theobjectives of the Paris agreement and living in harmony with
Nature are the first two pillars of SCOR’s sustainability
ambition. The Group targets to be Net Zero by 2050 andis a signatory of the Finance for Biodiversity Pledge, with anobjective to reverse biodiversity loss in investments by 2030.

Sustainable Development Goals (SDG)
In order to optimize its impact and support a consistent
Theory of Change, SCOR has collectively selected three
SDGs as priority for its sustainability roadmap, leveraging
on its core activities and strengths:

Sustainability principles:
PSI and PRI
In 2012, SCOR became a founding signatory of the
Principles for Sustainable Insurance (PSI), a global initiative
announced in the run up to the United Nations conferenceon sustainable development, created under the aegis of
the United Nations Environment Programme – FinanceInitiative (UNEP FI). Principles for Sustainable Insurance(PSI) serve as a global framework for the insurance industry to address environmental, social and governance risks
and opportunities. Following the 4 principles, the Groupendeavors to embed environmental, social, and governance considerations in its (re)insurance activities and risk
management framework. The Group also works on innovative solutions to help clients and partners deal with sustainability challenges and dialogue with external
stakeholders to better provide positive impacts.

Climate actionGood Health and WellbeingQuality education

Following the double materiality p­ rinciple and to get thefull picture of its impacts, risks, and opportunities (IRO),
when considering sustaina­bility matters, the Group conducts regular reviews of the risks and opportunities that
could have a material effect on its activity, its financial situation, or its results (or capacity to reach objectives). It also
considers impacts of its activities on people and ecosystems, using various enterprise risk management (ERM)
mechanisms or relying on external frameworks.
A materiality analysis is also used to assess sustainability-related risks, opportunities, and impacts. It is based on

the double materiality principle and relies on interviews
and surveys conducted with internal and external­stakeholders, covering a broad range of sustainability-­
related matters.
In 2022, SCOR conducted a full analysis, implying internal and external stakeholders on both financial m­ ateriality
and impact. It was not deemed necessary to repeat theexercise in 2023, given the absence of any significant
change.
The results of the materiality analysis conducted in 2022
and presented below have supported the design of
SCOR’s sustainability ambition and will drive its strategy
over the course of Forward 2026 new strategic plan.

OUTSIDE-IN OUTCOMES

Directly linked to its core business and internal expertise,these SDGs come as a priority when designing the Groupsustainability ambition. They are complemented with othergoals supporting the main objectives. All are directly
related to Nature as the main sustainability concern
beyond climate change:

Having joined in 2019, SCOR is also a signatory of the
Principles for Responsible Investment (PRI), striving torespect the six ­principles to better embed environmental,social and g­ overnance within its investment decision process and ownership policies and practices. The Group
collaborates with other actors of the investment ecosystem
to promote the principles and fosters transparency throughpublic r­eporting and advocacy.
Transparency though reporting and communication on progress is a testimony of SCOR’s performance vis-a-vis principles supported by those initiatives.

12



IDENTIFYING SUSTAINABILITY RISKS,OPPORTUNITIES, AND IMPACTS (IRO)

Clean water and sanitation



Sustainable cities and communities

L ife below waterLife on land

Human capital management, climate change (physicaland transition risks) and nature & biodiversity are perceived as the key sustainability matters and non-financial
risks for SCOR in terms of market expectations and strategic ambition. Climate change and biodiversity have been

SCOR

identified by the Group for several years in its emerging
risks radar. They have also become priorities of external
stakeholders and have been put at the top of the agendaof regulation on sustainable finance.

2023 Group sustainability report

13

INSIDE-OUT OUTCOMES – SCOR’S IMPACT ON EXTERNAL ECOSYSTEMS

Human capital management and climate change (physical and transition) are also perceived as the sustainability
matters on which SCOR can have the greatest impact.
Given the Group’s activities in the Life & Health business,the impact analysis also shows that health is a key sustainability topic on which it can have positive impact. Thesesustainability factors are directly derived from SCOR’s
core business. Hence the Group can optimize its impact
through its underwriting strategy and, to a lesser extent, its
investment strategy. The Group’s expertise in understand-14

ing new trends and risk modelling offers opportunities toaddress environmental challenges, improve resilience ofsocieties through innovative products and solutions, andsupport its Theory of Change.
The outcomes of the analysis are aligned with SCOR’s
raison d’être and tie with the Group’s ambition to accelerate its transformation journey and participate in building amore resilient and sustainable tomorrow.

SCOR

2023 Group sustainability report

15

2.
Good
Governance

16

SCOR

2.1	Board of directors’ oversightof sustainability-related issues

18

2.2	The role of the executive committee
and its dedicated committees20

2.3	Coordination, implementationand operational governance

20

2.4	Performance conditions onsocial and environmental issues

23

2.5 Communication and transparency 232023 Group sustainability report17

2. Good Governance

SCOR has an integrated governance system that considers the environmental, social and governance-related impacts,
risks and opportunities of SCOR’s business activities.

1211

Sustainability - social matters
912

Sustainability - environmental­ attersm
9

DIRECTORS

12

Risk management
11

14

Innovation, technology and digital

10
12L egislative and regulatory
requirements applicable toinsurance and reinsurancecompanies

ROLE & ACTIVITIESOF THE BOARD’S COMMITTEESSCOR’s Board of Directors has established several advisory committees responsible for examining specific topics,
preparing the Board’s discussions, and making recommendations including on sustainability-related issues.

Sustainability Committee

2.1. BOARD OF DIRECTORS’OVERSIGHT OF SUSTAINABILITYRELATED ISSUES

the impacts of climate change, in its activities and operations(e.g. supporting the energy transition or financing a sustainable world and committing to net-zero carbon by 2050).

As a global and independent reinsurer, the Group aims toembrace the best corporate governance practices as theyplay a crucial role in helping SCOR achieve its strategic­objectives. Sustainability matters are studied and acted on
at various levels of the Group. Led by its top governance­bodies, SCOR has formulated a group-wide sustainability
strategy integrating all its activities and operations. Risks,­opportunities, and impacts related to sustainability, including
for climate, are subject to a governance structured aroundoversight, management, implementation, and coordination
bodies. Only the activities relating to supervisory bodies in
the areas of addressing and understanding sustainability
matters are described in the following sub-sections.

As of 31 December 2023, twelve Board members havean expertise on sustainability-related matters, including on
the environment (for detailed information refer to the 2023
URD – Section 2.1.3.2 – Information concerning the­members of the Board of Directors):

The Board is regularly updated by Executive Managementon the achievement of the orientations and is ­informed on
forthcoming evolutions and trends that may be of interest
for SCOR’s business and activities. The Board meets atleast four times a year.

In 2023, the Board of Directors held thirteen meetings during which sustainability-related topics were discussed:• Review and approval of the Group’s Climate strategy,
including the new underwriting exclusion policies relating to fossil fuels and the target to reach net-zero­emissions on operations by 2030;

ROLE AND ACTIVITIESOF THE BOARD OF DIRECTORS
Under the conditions defined by the Board’s Internal
Charter, the Board of Directors defines the strategic­orientations of the Group, ensures their implementation inaccordance with its corporate interest, considering the­social and environmental aspects of its activity. It monitors
management’s performance and ensures the sound andprudent management of the Group.

• Review and approval of the non-financial performance

Therefore, the Group’s latest strategic plan includes a v­ arietyof orientations addressing sustainability matters, including• Review and approval of the new feminization target

18

statement, included in the Universal Registration Document;• Review and approval of the annual statement of theCompany regarding the UK Modern Slavery Act;• Review and approval of the 2022 Sustainability Report
and the Sustainability Policy;

within the Partnership program.

SCOR

The sustainability committee ensures that the Group’s­sustainability approach is consistent with its long-term­development, and that the direct and indirect impacts of its
activities on the environment and society are taken into
account in its strategy. Drawing on the materiality analysis,
the Committee examines the main sustainability-related
matters the Group deals ­within its underwriting and investment strategies, when operating its business and when managing its human capital. It oversees the sustainability strategy
and its consistency with SCOR’s public commitments. The
Committee is kept informed of m
­ ajor sustainability trends
and in particular the timeline of sustainable finance regulations and their potential impacts on SCOR’s sustainability
strategy. It also oversees SCOR’s s­ ustainability performancethrough a yearly action plan and a quarterly dashboard aswell as changes in SCOR’s ESG ratings by selected rating
agencies and SCOR’s ­assessment by external stakeholders, including non-­governmental ­organizations.
In 2023, the Committee reviewed and approved theGroup’s various sustainability-related publications. It­reviewed the Group’s proposed sustainable development
ambitions (including the 2023 sustainable development
action plan and follow-up of its implementations), the­general framework and the main proposals for Forward
2026 strategic plan, before their approval by the Board of
Directors. It monitored and reviewed key ESG p­ erformanceindicators, including those related to the CEO’s compensation, as well as the evolution of the Group’s ESG ratings.
The Sustainability committee has reviewed all new commitments related to climate mitigation for underwriting,­investments and operations before approval by the Boardof directors. Finally, it reviewed the policy to fight against

Accounting, financial
and actuarial analysis
GovernanceSCOR’s strategy
and economic modelFinancial markets
Knowledge of the insurance
and reinsurance market­ eforestation, the P&C initiatives on treaties, insurance anddfacultative reinsurance and the annual UK and AustralianModern Slavery Act Statement.

Risk Committee
The Risk Committee is responsible for examining the majorrisks the Group is exposed to and for monitoring the alignment of the Group’s risk profile with the Group’s Risk
­Appetite Framework.
It examines the Group’s main risks and its Enterprise Risk
Management (ERM) policy. It also examines the Group’s
strategic risks (including emerging risks) as well as theGroup’s main technical and financial commitments (underwriting, ­reserving, market, concentration, counterparty,
asset-liability management, liquidity and operating risks aswell as the risks relating to changes in prudential regulations).
The Risk Committee is kept regularly informed of the major
environmental, social and governance issues that may influence the Group’s activities, including the trends of global
climate change and deterioration of the environment, andthe associated emerging risks closely linked to these topics.
In 2023, the Risk Committee reviewed the Group’s main
­exposures and risks, including cyber risks and those related
to climate change. It also reviewed the Group risk appetite, the interactions with regulators and monitored prudential ­regulations.
The Strategic Committee, the Audit Committee, theNomination Committee and the Compensation committee also address sustainability matters. The Compensation
Committee worked on further integrating sustainability-related criteria in the compensation policy of corporate
officers, leading to a comprehensive and consistent compensation framework (see Section 2.4 - Performance conditions on social and environmental issues for further
information).
For more information on the main activities ofthese Committees and their activities in 2023, see
Section 2.1.4 – Board of Directors’ Committees
in the 2023 Universal Registration Document.

2023 Group sustainability report19

2. Good Governance2.2. THE ROLE OF THE
EXECUTIVE COMMITTEE AND
ITS DEDICATED COMMITTEES

2.3. COORDINATION,
IMPLEMENTATION AND
OPERATIONAL GOVERNANCE

The management bodies play an important role in theGroup sustainability strategy. Three dedicated Committeesof the Executive Committee are involved in sustainability
issues related to the Group’s activities and operations. The
composition of these Committees, the combination of skills
within them, the preparatory work conducted by each ofthem, the regular interactions with Executive Management,
provide a structured framework for the analysis of socialand environmental issues, from a financial, non-­financial
and impact materiality standpoint:

At the group level, the Group Executive Committee and its
dedicated committees are supported and informed on­sustainability and climate-related issues through a dedicated organization.

• The Group Sustainability Committee meets on a quar-

terly basis ahead of the Board of Directors’ sustainability
Committee meetings and is tasked with approving decisions concerning SCOR’s approach and initiatives­related to its sustainability ambitions. More specifically,
the main duties of the Committee are to assess the­adequate level of ambition of the sustainability strategy,
ensure its consistency across the Group and to anticipate
the impacts of sustainability trends and regulations on
SCOR’s activities.

• The Group Risk Committee also meets every quarterahead of the Board Risk Committee. In addition to preparing the Board Risk Committee, the main duties of theGroup Risk Committee are to steer the Group’s risk profile, maintain an effective enterprise risk management
framework and foster an appropriate risk culture throughout the Group. Climate risks, extreme events and theirdirect impact on SCOR’s risk profile are regularly discussed in these meetings.

• The Group Investment Committee meets at least once

every quarter. Its role is to define the investment strategy
at Group level and to supervise the implementation ofthis strategy in compliance with its sustainability policy, as
well as regulatory and contractual constraints. The
Group Investment Committee validates investments andapproves normative and thematic exclusions, as well as
major portfolio reallocations related to risk management
and impact assessment.

THE GROUP CHIEF ESG OFFICER
AND THE SUSTAINABILITY
DEPARTMENT
The Group Chief ESG Officer, member of the Group­Executive Committee, heads up the Group Sustainability
domain, including the Sustainability department led by theGroup Head of Sustainability.
The Sustainability department is organized in three teams:
Sustainable Insurance, Sustainable Investments and­Corporate Sustainability. It is responsible for defining theframework and proposing the Group’s sustainability­strategy. It is also in charge of coordinating and monitoring
the execution of the sustainability action plan and ensuringconsistency of its implementation across the Group.

OPERATIONAL IMPLEMENTATIONIN UNDERWRITING ACTIVITIESThe Group Sustainable Insurance team contributes to thecalibration of the Group sustainability ambition, in coordination with the other stakeholders within the Group. The
team oversees ESG trends in the industry, proposes­initiatives and supports the development of robust frameworks for underwriters on both P&C and L&H. Raisingawareness, spreading the sustainability culture across thebusiness, and supporting underwriters in better integrating
ESG consideration are also part of its duty.
The P&C Pricing & Modeling department is responsible forthe pricing of Natural Catastrophe risks, including u­ pdating
catastrophe models to take account of currently observed
climate change trends and those that are e­ xpected to occur
over the near-term. The current changes that are observedin both exposed risks and building resilience are also considered explicitly. The Group actuarial department is responsible for validating the catastrophe risk inputs for SCOR’s
Internal Capital Model, which ­includes ensuring that these
inputs take the evolving climate into consideration.
On the L&H side, a dedicated agile L&H working group
was created to develop the L&H insurance industry’s­position on climate change and its impacts on the sector.
Its purpose is to increase awareness, knowledge andunderstanding across the organization about the longterm impact, both direct and indirect, of climate change on­human health and business. The group, comprising medical doctors, actuaries, risk management professionals and

20

SCOR

others from all geographies, continues to dedicate timeand expertise to examine the future of morbidity and mortality risks caused by climate change.

OPERATIONAL IMPLEMENTATIONIN INVESTMENT ACTIVITIESMandate Investment Committee
The Group Sustainable Investment team contributes to thedesign of the sustainability ambition for investments, leveraging its expertise on sustainable finance and investment
activities. The team is tasked with proposing improvementsof SCOR’s Sustainability Policy for investments, addressing
the Theory of Change and monitoring SCOR’s sustainable
performance vis-a-vis targets for investments.
Members of the Sustainable Investment team participate
in a regular Mandate Investment Committee, which also
brings together the SCOR Asset Owner department andrepresentatives from SCOR Investment Partners. This
Committee analyzes portfolio positions at a granular leveland discusses strategic choices in light of the Group’s sustainable investment strategy.

The role of asset managers
SCOR has delegated the management of its assets to its
fully owned asset management company SCOR Invest­
ment Partners (SCOR IP) alongside external asset managers.
SCOR’s Sustainability Policy is foundational to its sustainable investing strategy. Publicly available and referenced inevery investment guideline provided to asset managers, it
forms part of the ­investment management agreement andensures consistency of the Group strategy across the world
and legal e­ ntities. SCOR relies on the expertise of its investment managers, who will ultimately select securities basedon their own ESG processes. SCOR IP plays a predominant role in the integration of ESG criteria in investment
decisions, given the size of the assets it manages. External
asset managers are asked to provide their ESG principles
and processes during the selection process. Their engagement and capabilities vis-a-vis ESG are key factors alongside risk management processes. Once selected, the way
investment managers factor ESG criteria into investment
decisions relating to SCOR’s mandate forms part of theannual due diligence performed by the SCOR Asset
Owner team in ­cooperation with Group Sustainability.
During the meetings, updates and i­n-depth discussions
ensure a good u­ nderstanding of the status of the Group in
its journey towards sustainability. ­Investment managers canalso be asked to provide ESG analyses of issuers to­support Group Sustainability s­ upervisory tasks.
As an asset owner, SCOR has the ultimate responsibility for
its portfolio positioning. The SCOR Asset Owner ­depart­ment
monitors the compliance of all investment ­decisions withthe various risk limits set by the Group (e.g. risk appetiteand tolerance) and is supported by the S­ ustainable Investment team for monitoring ESG ratings, exclusion lists andthe operational implementation of the sustainability action
plan, using its own data providers and methodologies.

Spreading knowledge on sustainable
investments and developmentof internal expertise
The SCOR Group Sustainability team updates regularly
the investments business unit, including SCOR Investment
Partners on its sustainability journey. Employees are also
invited regularly to Group Sustainability presentations on
how sustainable finance impacts SCOR’s investment strategy. SCOR continues to participate in the public debate
through working groups and initiatives as well as speaking
in conferences and events related to sustainability on bothinvestments and underwriting, mainly on climate change
from physical and transition perspectives and biodiversity.
Technical resources
As a P&C (re)insurer, SCOR has a very strong internal­expertise in modeling natural catastrophes, especially
atmospheric perils. SCOR leverages this expertise whenanalyzing the physical risk of real assets.

SCOR also keeps a constant watch on technological­developments to use the most relevant tools to analyze
nature-related risks and impacts. An example is the usageof the Carbon Risk Real Estate Monitor (CRREM) tool toassess the transition risk of SCOR real estate portfolio.
SCOR has also performed a quite comprehensive analysis of climate scenarios to better understand the implications for its portfolio and the real economy. Likewise, using
the ENCORE tool is a key milestone to have a more
­precise picture of the impacts and ­dependencies of theportfolio companies on nature.
Human resources
Inside the Group Sustainability department, the Sustainable
Investment team covers non-financial risks and i­mpacts ofinvestment decisions. The team, composed of 3 people, oversees sustainability, analyzing risks, dependencies, impacts
and opportunities for the investment a­ ctivities of the Group.
Financial resources
SCOR has increased budgets dedicated to ESG data
and tools over the past few years in a constant effort tofoster sustainability integration in SCOR lines of businessand operations.
Skills in development
In order to continue to develop internal skills on sustainability matters, SCOR employees attend various external­training programs organized by institutions like Novethic,
SFAF (La Société Française des Analystes Financiers –SFAF) or some providers. They also participate in working
groups set up by the insurance industry or more directly
related to sustainable finance.

2023 Group sustainability report21

2. Good GovernanceInternal capacity building
Internal awareness regarding sustainability topics ismaintained through regular conferences, townhalls andmore ­informal talks on the matter, leveraging internal
expertise. The Internal Sustainability Committee, mentioned previously, plays a key role in spreading knowledge inside the Group.

Area

Main methodology
or data provider
ISS

Asset classType of data provided

Comment

Sovereign bonds
Corporate bonds
EquityCorporate loans
Real assets loans
Real assets
Corporate bonds
EquitySovereign bonds
Corporate bonds
EquityCarbon footprint

 arbon intensity by revenues:
C
in tCO2eq per EUR million Revenue
or GDP
Carbon intensity by Enterprise Value:
in tCO2eq per EUR million invested

EU taxonomy for sustainable
activities
Implied Temperature Rise

Alignment assessment

SCOR P&C

Real assets

Physical risk

CRREM

Real estateTransition risk for buildings

Carbon intensity: in CO2eq
per square meters

Bat-ADAPTReal estatePhysical risk

Resilience level of buildings to climate
hazards

ACPR or other

Sovereign bonds
Corporate bonds
Corporate loans
Real estate
EquityCorporate bonds
EquityStress testing: transition risk

Impact on assets valuation in EUR million

Biodiversity mapping

Investments impacts and dependencies
on nature

CDP

Corporate bonds
EquityDeforestation and water screening

Companies scores

Forest 500

Corporate bonds
EquityDeforestation screening

Companies scores

Trase FinanceCorporate bonds
EquityCorporate bonds
EquityDeforestation screening

Companies’ deforestation impact

Biodiversity footprint

Biodiversity impact expressedin km²MSA(1)Ellen MacArthur Foundation

Corporate bonds
EquityPlastic pollution screening

Companies’ performance towards
a circular economy

As You Sow

Corporate bonds
EquityPlastic pollution screening

Companies scores

ISS

Sovereign bonds
Corporate bonds
EquityCorporate bonds
EquitySovereign bonds
Corporate bonds
EquityESG ratings

Countries and companies scores

Controversies

Controversies analysis

Controversies

Systematic screening

Carbone 4
ClimatechangeENCORE

Biodiversity

ESG
generaldata

ESG information
The Group relies mainly on information provided by non-­financial rating agencies and ESG consulting firms. As
industry consolidation continues, the Group pays specificattention to its data providers and reassesses its selection
on a yearly basis. This may hamper year-on-year comparability but a­ llows for the most recent innovations and thehighest level of expertise.

Iceberg Data Lab

RepRiskGlobal temperature rise associated withthe forward-looking GHG of a portfolio
or entity expressed in a temperatureunit typically °C
Impact of extreme weather events
expressed in EUR million

2.4. PERFORMANCECONDITIONS ON SOCIAL AND
ENVIRONMENTAL ISSUESSCOR has incorporated sustainability-related criteria into
the compensation of its teams, based on arrangements
appropriate for the relevant compensation mechanisms
and the responsibilities held within the organization:• a portion of the short-term variable compensation paid
to the Group’s executive corporate officer is based on
individual sustainability-related objectives. These objectives, their attainment and their achievement rates are set
out in the report on corporate governance included in
the 2023 Universal Registration Document;• a portion of the short-term variable compensation of themembers of the Executive Committee is also based onsustainability-related objectives;• all beneficiaries of long-term compensation components (performance shares and stock options) must satisfy the allocation conditions based on sustainability
criteria, such as complying with ethical principles, as
provided for in the Code of Conduct, and completingsustainability-related trainings;

For detailed information on the compensation
criteria and their achievement in 2023, and the
proposed compensation policy for 2024, referto the 2023 Universal Registration Document,
Section 2.2.1 Compensation of executive­corporate officers and the directors.

2.5. COMMUNICATION
AND TRANSPARENCY
To keep stakeholders up to date, SCOR discloses­information on its sustainability organization, ambitionand performance on a yearly basis, addressing regulatory requirements (Non-Financial Reporting Directive,
Article 29 of the French bill on Energy and Climate)complemented by voluntary frameworks such as TCFD,
GRI or SASB.
The report contributes to spreading good practices andsharing innovation across the (re)insurance industry andamong the financial community. Additionally, the reportdetails innovations and preliminary studies to provide­evidence of SCOR’s efforts to participate in improving
resilience and building a more sustainable tomorrow.

• finally, managers and their employees also havethe option to set specific sustainability-related goals(e.g. relating to diversity, wellbeing at work, environmental performance, or the integration of ESG issues into theGroup’s business activities) as part of the Annual
Alignment Conversation.

THE CHIEF EXECUTIVE OFFICER’SSUSTAINABILITY-RELATED OBJECTIVES
FOR 2023
The annual variable compensation of the Chief Executive
Officer Thierry Léger includes performance conditions
established on the basis of personal objectives in environmental and social areas. Since the introduction of performance criteria based on environmental criteria,
climate-related issues have been systematically integrated
into them. In 2023, three criteria were selected:• Environment: Increase of the amount invested in green
and/or sustainable bonds• Social: Increase in the proportion of women in the highest categories of the Group’s Partnership program• Leadership: Criteria relating to Group management,
development of a new Strategic Plan

(1) Mean Species Abondance (see section 10.1 / Biodiversity footprint).

22

SCOR

2023 Group sustainability report23

3.
Engaged People& Positive
Workplace
3.1. Attracting Talents

26

3.2. Developing skills and preparing
for future needs

27

3.3. Promoting a nurturing working environment 28

24

SCOR

3.4. Ensuring fair and attractive reward througha merit-based compensation policy

31

3.5. Fostering social dialogue andcollective bargaining322023 Group sustainability report25

3. Dedicated people

The SCOR Group’s human resources policy isbased on the Group’s corporate values. These­values reflect the Group’s commitment to its mainstakeholders, namely its shareholders, its customers, its employees and the society as a whole:• We CARE about clients, people and societies: at SCOR,

we are committed to listening to and prioritizing clients,
people and societies by placing them at the center ofeverything we do. We take the time to understand theimpacts of evolving trends and emerging risks to build
solutions that anticipate future needs and contribute tomore resilient societies.

• We perform with INTEGRITY: at SCOR, we uphold our

promises and demonstrate consistency in what we say,in what we do, and in what we hold true. We recognize
and we learn from our mistakes to foster an atmosphereof mutual trust and commitment both with our clients andamong our employees.

• We act with COURAGE: at SCOR, we empower peo-

ple to take decisions and overcome difficult challenges.
We make choices that we can stand by, with the confidence to take accountability for their outcomes and toaccept and act on feedback.

SCOR carefully looks at developing skills and preparing
for future needs as well as retaining talent through a competitive and efficient compensation policy, aligned with
its ambition and its stakeholders’ interests. The Group alsoendeavors to offer a nurturing working environment fostering diversity, inclusion, curiosity, leadership, andempowerment. Raising awareness, sharing, and expanding knowledge, support the transformation of the Groupand ensure people can stay at the forefront of sustainability developments.
Several core policies, applicable worldwide, underpin thistransformational journey:• Diversity and inclusion policy• Health and safety policy• Compensation policy
Based on these overarching principles, SCOR puts various
levers into action to attract and retain talents:• Developing skills and preparing for future needs• Promoting a nurturing working environment• Ensuring fair and attractive reward through a m­ erit-based
compensation policy• We encourage OPEN MINDS: at SCOR, we encour-

age diversity of thought, background, culture, and experience, uniting under a common mission while embracing
what makes each of us uniquely capable. We seek out
a wide range of perspectives to challenge what weknow and to make better decisions and more innovativeideas.

• We thrive through COLLABORATION: at SCOR, we

3.1. ATTRACTING TALENTS
In March 2023, SCOR’s Executive Committee validated
the Talent Acquisition Target operating model, which led
to the constitution of the Group Talent Acquisition team.

contribute as individuals but move forward as a team,with the dedication to deliver our best work out of thetrust that our colleagues are doing the same. Throughcollaboration, we multiply our capacities, deepen ourcapabilities and amplify our reach to expand ourboundaries.

SCOR’s ambition is to be an employer of choice. For thispurpose, the Talent Acquisition team has implemented
inclusive talent acquisition strategies to stay ahead in thetalent market, while exploring innovative sourcing techniques to attract, recruit, retain top talents and contribute tobuilding a sustainable future.

Embedding sustainability at every level of the company isa prerequisite to succeed in transforming business models
toward more resilience and positive impacts. Human capital – SCOR’s employees around the world – is a key
driver to prepare the Group for the risks of tomorrow,address sustainability challenges and ensure SCOR delivers on its commitments and objectives. The (re)insurance
industry is highly competitive and strongly relies on employees’ expertise to constantly push the frontier of insurability
and transform knowledge into impact.

Three levers have been used to deliver this ambition:• A center of expertise of talent acquisition experts dedi-

cated to defined locations. The team is composed ofeight permanent staff members across the world and isalso supported by some trainees and apprentices.

• New standardized processes based on clear roles, inclose collaboration with other HR departments andstrong strategic partnership with our internal clients.

• A Governance to monitor recruitment costs.

3.2. DEVELOPING SKILLSAND PREPARINGFOR FUTURE NEEDS• SCOR University, supported by a team of training andDeveloping the expertise, knowledge and career paths of
employees is a key condition to ensure employee engagement and wellbeing, contributing ultimately to the Group’s
performance. In this regard, a whole range of policies andtools have been implemented to support employees intheir professional development.

• By developing learning paths and experiences, and by

The main talent management processes in place:• The Annual Alignment Conversation (performance

review) is the opportunity to give to each employee
annual objectives and a concrete appraisal of their performance over the past year. When setting up new
goals, employees and managers are invited to set sustainability objectives, which are optional (except for
Executive Committee members, for whom at least one
sustainability objective is mandatory) in support of
SCOR’s commitment to sustainability. The objectives
include community engagement, wellbeing and diversity
in the workplace, environmental protection, and the integration of social and environmental issues in the Group’sbusiness activities. Employees and managers are also
invited to define digital and expertise objectives, toenhance the development of innovative and high value-added digital solutions for the Group.

• In addition to analyzing performance over the year andsetting new performance goals, a Career Conversationis also held, to facilitate the professional development ofeach employee. It provides employees with the opportunity to receive feedback on their skills and careerdevelopment.

• The Leadership and Organizational Reviews are con-ducted by the top management of each department of
the company, jointly with the Human Resources
Department. These reviews are organized by activity infour steps: review of the organizational structure and thebusiness challenges, analysis of individual skills andcareer prospects, definition of individual action plans(training, professional development, compensation, etc.),
and definition of succession plans. The reviews also
cover the risk and impact of loss of individuals, to assess
their likelihood of leaving SCOR and the impact it would
have on business continuity. As such, this process enables risk mitigation and anticipation of knowledge transfer in case of a proven risk of loss.

development specialists, assists the development of theGroup as a global, agile, and learning organization,encouraging self-learning and feeding the spirit of initiative and growth:
providing a wide range of training resources and development opportunities;• By supporting the various businesses and teams todevelop specific programs and courses to meet their
specific needs.

In 2023, SCOR University revamped and relaunched the
SCOR Manager Academy, which has been created tosupport managers and aspiring managers in their development journey. This program, which is based on the
SCOR Manager Competency Framework (a framework
built on 4 key missions – Direction, Development, Enabler
and Relationship – and 10 competencies that managers
should aspire to showcase in their role), offers to three levels of managers (new managers, direct managers, managers of managers) a bespoke learning journey including
key modules and a self-assessment. It was attended in a
virtual or in-person format by over 200 managers in 2023.
2023 was also the year that SCOR’s brand-new leadership program, Leading Forward, was launched. Leading
Forward is a powerful and provocative experience thatenables Senior Leaders at SCOR to grow as individual
executive leaders, deploying a strategic, enterprise-wide
mindset and balancing the simultaneous pressures of ‘perform’ and ‘transform’. Based on the SCOR Leadership
Competency Framework and sponsored by SCOR’s
Chief Executive Officer Thierry Léger, this strategic program kicked-off with two cohorts in October 2023. This
eight-month journey includes three weeks of residential
workshops in Paris, New York, and Singapore, andfocuses on Strategy, Leadership and Vision / Sustainable
Innovation / Storytelling and Personal Impact / Leading
Change and Collaboration.

80%

In 2023,of employees
participated in at least one training session(excluding mandatory e-learning
training modules)
Each employee received
an average of around

12 HOURSof training including mandatory training

26

SCOR

2023 Group sustainability report27

3. Dedicated people

Employees also have the opportunity to share their expertise on business or ESG subjects through internal sessions.
In 2023, more than 49 SCOR Internal Talks covered subjects ranging from Artificial Intelligence and ethics, sustainability, new energy, mental health and psychologicalsafety to Agile and mortality forecasting.

Promoting an inclusive working environment is an essential
objective of the Group’s human capital management strategy and is the first pillar of the #WorkingWellTogether
initiative. SCOR’s Diversity & Inclusion strategy is designed
around three objectives:

In addition, Climate Fresk workshops, aiming at raisingawareness of SCOR employees on Climate Change,
took place in several offices. Sessions started in
September 2023 and were facilitated by the Group
Sustainability team.

prejudice and discrimination, where every employee
feels accountable;

3.3. PROMOTINGA NURTURING WORKINGENVIRONMENTSCOR has developed a comprehensive program to offer
its employees a working environment where they can
thrive and be at their best. The #WorkingWellTogether
initiative aims at promoting diversity, inclusion and equity,offering good quality of life and wellbeing at work, andfostering community engagement.

• “Connect”: creating a working environment free from• “Educate”: anchoring our diversity and inclusion culture

by leveraging partnerships and building internal training
pathways;• “Act”: implementing impactful actions throughout the

40% WOMEN IN THE
BOARD OF DIRECTORSIn 2022, a Diversity & Inclusion roadmap was formalized
at Group level with commitments until 2025.
Gender diversity forms part of the Diversity & Inclusion
strategy. The Board of Directors of SCOR has taken public commitments on female representation in its governance bodies:• 30% women at Executive Committee level by 2025.
• 30% women (increased in 2023 from the previous targetof 27%) at Global Partner (GP), Senior Global Partner(SGP) and Executive Global Partner (EGP) levels by
31 December 2025 to build a strong pipeline of senior
female talent.

• Gender diversity within governing bodies is also a prior-

ity for SCOR. Numerous gender balance measures are
already in place or are being implemented, and SCOR
is working to increase diversity in its governing bodies.

22% WOMEN IN THE GROUPEXECUTIVE COMMITTEE

22

24% WOMEN AMONGSTPARTNERS OF LEVELS GP
AND ABOVE

78

WomenIn 2023, SCOR has continued to roll out proactive measures and its Group Diversity & Inclusion strategy:• Recruitment: SCOR is committed to raising awareness on

diversity and inclusion among those involved in the
recruitment process, ensuring that the process is free fromdiscriminatory behavior through recruitment-­specifictraining promoting diversity and inclusion. Since 2023, aquantified commitment has been made on three dimensions linked to recruitment: 50% representation of womenin candidate selection panels, 50% of female candidates selected in short lists, and 50% female candidates
appointed to the most senior positions of theorganization.
anced representation of genders within the leadershipprograms, reaching the parity target (50% of female
representation). In addition, an international inter-company Leadership program was attended by 8 female
talents. This program is a seminar that aims to contributeto the construction of strong and inspiring individuals
who will bring change within the Company.

• Network & oversight: the Group’s commitment to contin76

provided by these networks, SCOR, through its involvement, is able to rate its performance in diversity andfemale representation in high-responsibility p­ ositions bycomparing it to its industry counterparts.

• Each year(1)SCOR publishes its workplace gender equal-

ity index , for the France scope, which stands at
90/100 in 2023 (compared to 91/100 in 2022).
These results reflect efforts made in terms of compensation, promotion, the return to work following maternity
leave, and gender equality among the ten highest-paid
employees.

90/100• Training: in 2023, the Group kept working on a bal-in-depth analysis based on a pay analysis tool and the“Global Job Grading” classification implemented
across the Group in 2022, helping to ensure equal pay.

24

60

28

PRIORITIESFOR GENDER
EQUALITY• Compensation: pay gaps continue to be subject to an

40

Men

6

Strengthening the visibility of female talent
Raising awareness of gender equality
Reinforcing our external partnerships and the actions of SIGN+
Attracting a gender-balanced pool of graduate talentWorking to achieve gender pay parity
Ensure gender diversity at the highest levels of the organization

employee’s career cycle.

DIVERSITY, INCLUSION AND EQUITYThe SCOR Group diversity and inclusion policy states thatcompany is committed to providing a workplace environment that is free from physical hazards, all forms of discrimination and/or harassment based on gender, sexual
orientation, race, religion, a mandate as workers’ or unions’representative or disability or any other characteristic protected under applicable local law and from any otherabusive physical or verbal conduct.

To deliver on these commitments, SCOR acts on four different levers: recruitment, training, compensation, and Network &oversight. On this last pillar, SCOR signed the Women’s Empowerment Principles (WEP) in 2021 and is involved with organizations working towards the advancement of women in careers in the financial industry.

uously improve its gender diversification is alsoenhanced by its involvement with organizations working
towards the advancement of women in careers in thefinancial industry, such as Financi’Elles (France), theWomen’s Insurance Network (UK), and Advance(Switzerland). In addition to the networking opportunities

Workplace gender equality index(1)(scope: employees in France)

QUALITY OF LIFE AND WELLBEING
AT WORKThe Group aims to retain talented employees by facilitating an improved work-life balance. Quality of life andwellbeing at work represent the second pillar of the#WorkingWellTogether initiative. It involves the development of an innovative flexible working environment anddedicated events raising awareness on health and wellbeing at work.

(1) The workplace gender equality index is based on 5 indicators: gender pay gap, gap in the distribution of pay raises between men and women, gap in the distribution of promotions
between men and women, pay raises on returning from maternity leave and gender equality among the top ten earners.

SCOR

2023 Group sustainability report29

3. Dedicated people

Focus on mental healthWellbeing and psychological safety at work havenever been more important. The pandemic has not only
exacerbated mental health issues but also highlighted
the need for companies to have a comprehensive healthand wellbeing strategy, and a supportive work culture.
To this end, SCOR strengthened awareness of mental
health issues since 2022, helping employees acquire theskills to have better mental health conversations, identify
symptoms early and seek out/offer the right support.
In this spirit, SCOR has invested in Ifeel, a mental careand wellbeing platform, benefiting not only our clients,
helping them improve their value proposition, but also
our employees, offering a complete range of support
resources, including mood assessments, discussions
with qualified therapists, and virtual counseling basedon individual needs.

COMMUNITY ENGAGEMENT
The third and final pillar of the #WorkingWellTogether
initiative is the commitment to supporting communities. This
pillar seeks to facilitate social, societal, and environmental
engagement by SCOR employees within communities
thanks to the SCOR for Good program.
SCOR for Good is an inclusive employee-driven program
allowing employees to engage in volunteering during theirworking time. Each employee is granted the possibility ofdedicating one day of their working time per year to acommunity engagement activity. In 2023, 726 days ofcommunity engagement were recorded (compared to475 in 2022), upon employee declaration. The programfacilitates employees’ involvement in charity work by offering a catalogue of charity partners and highlighting causes
to champion in alignment with the Group’s raison d’être.
In 2023, SCOR for Good actions focused on the three
Sustainable Development Goals (SDGs) chosen by theemployees and the Group: climate action, good healthand wellbeing and quality education. Many activities suchas volunteering, fundraising, collections, donations andsolidarity sporting events were organized around theworld by employees to help communities in need.
Focus on the fundraising campaign
The year was also highlighted by a strong action in
support of Turkey, Syria & Marocco, to support victims
affected by the dramatic earthquakes that occurred.
Two global fundraising, supplemented by an amountdonated by the Group, have helped to collect morethan EUR 96,700 all around the world for the Red
Cross, in order to support humanitarian aid.
30

In 2023, SCOR for Good organized the second
Engagement Month to encourage employees to use theirannual community engagement day to give back to theirlocal communities through in-the-field volunteering. Morethan 680 employees spent 2,778 hours working on morethan 83 initiatives during SCOR’s Engagement Monthalone. SCOR for Good also inaugurated the sustainability
days to raise awareness on climate change and biodiversity loss.
Among the many activities offered: Race against Hunger,
Pinky Swear campaign supporting children with cancer,
food bank, distribution of meals to the homeless, Bloodcollects, Clothing donations, Cleaning and urban gardening activities in schools, Mentoring for young girls indifficulty, Support actions for seniors, Football tournamentand discovery of wheelchair football for the benefit ofinclusive sport.

The results of these surveys are also shared and discussed
within the leadership teams in order to influence teammanagement and identify and build action plans on thequality of life at work. In 2023, the survey showed wellbeing at an average of 65/100 and the engagement at an
average of 65/100(1).

EMPLOYEE ENGAGEMENT SCORE 2023 – BREAKDOWN BY GENDER AND AGE
74
72
70
68
66
64
62

177

initiatives with impact
reported on the platform+28%

of engagement in field
volunteering compared
to 202228%

of employees engaged

58
Men

Women

Under 3030-50

over 50

Average employee engagement score 2023

4,232

Further information on the #WorkingWellTogether initiative can be found in Section 6.2.2of the 2023 Universal Registration Document.

hours volunteered

197,044 90+
euros raised in 2023

60

charities supported

To monitor engagement and wellbeing within teams, the“#WorkingWellTogether” engagement survey campaign
initiated in 2022, continued in 2023.
These surveys aim to support dialogue within the organization and give employees a forum to speak out about
key engagement topics such as management, wellbeing,
work environment, and career development. Access toconsolidated results is granted to managers, via a dedicated engagement platform, in compliance with confidentiality, in order to work collectively and within teams to
make SCOR an employer of choice.

3.4. ENSURING FAIR AND
ATTRACTIVE REWARD
THROUGH A MERIT-BASEDCOMPENSATION POLICYThe Group’s compensation policy reflects the desire to
implement compensation schemes in accordance withbest market practices and to involve key employees in theGroup’s medium- and long-term development.
Compensation includes several components: a fixed anda variable portion, an immediate and a deferred portion,
and an individual and a collective variable portion. The
components include a basic cash salary, an annual cash
bonus, shares and options where applicable, pension
schemes and any other benefits.
The “Partnership” program involves approximately 25% of
the employees in the Group’s human capital. In addition to
specific compensation plans, this program gives Partners

access to selective information and proposes specificcareer development solutions.
There are four main Partner levels: Associate Partners (AP),Global Partners (GP), Senior Global Partners (SGP), andExecutive Global Partners (EGP). GPs, SGPs and EGPs
accounted for 10% of employees as of 31 December
2023. SCOR Partners are eligible for free shares andstock options based on their performance.
In addition, the Group continued its employee share ownership plans in 2023, through performance share plans(see Section 2.2.3.4 – Employee profit sharing plans in the2023 Universal Registration Document). The individual
allocation process for the grant of free shares and stock
options is supervised by the Compensation Committee.
Further information on the compensation policy can befound in Sections 2.2 and 6.2.1.3 of the 2023 Universal
Registration Document.

(1) The engagement score is calculated as an average score obtained for the questions “I am happy working at SCOR” and “I would recommend SCOR as a great place to work”.

SCOR

2023 Group sustainability report31

3.5. FOSTERING SOCIALDIALOGUE AND COLLECTIVEBARGAINING
One of SCOR’s ambitions is to establish a coherent andharmonized social dialogue aimed at sharing the Group’s
main principles with all employees.
As a European Company (Societas Europaea), SCOR
has set up a European committee, the Common European
Companies Committee (CECC), covering all its European
subsidiaries and branches, corresponding to around 60%
of its global workforce. It comprises employees from all
European subsidiaries in the Group and has certain prerogatives in terms of information and consultation. The
committee is informed of the Group’s overall situation as
well as its economic and financial outlook and is consulted
on all proposed measures likely to affect the interests of
employees in several European countries. The CECC met
12 times in 2023.
SCOR has also implemented a staff representation system
on SCOR SE’s Board of Directors, for its employees andthe employees of its direct and indirect subsidiaries with aregistered office in France. Directors representing employees are full Board members and therefore have the same
duties and liabilities as any ordinary member of the Board.
Finally, the social dialogue takes place at local level with
employee representatives from different countries worldwide. In addition to the meetings held with the CECC,

32

social dialogue takes place at local level with employee
representatives from different countries worldwide. 61
meetings were held in 2023 (compared to 67 in 2022),
including 23 meetings in France. In 2023, the meetings ofthe employee representative bodies focused on theGroup’s strategy and the various organizational changes.
In 2023, 12 collective agreements were concluded within
the Group. These agreements are intended to improve
SCOR’s financial performance and the working conditions of its employees by involving them more closely in the
Company’s performance and improving employee benefits. The agreements signed cover a large range of topics,
in particular:• quality of life at work, right to disconnect, fight against
discrimination, gender equality, inclusion;• working time reduction, flexible time, part-time work;• strategic workforce planning;• remote working;• employee savings scheme;• employee representation.
For further information on the social dialogue andcollective bargaining at SCOR, see Section 6.2.3
Fostering social dialogue in the 2023 Universal
Registration Document.

SCOR

2023 Group sustainability report33

4.
Sustainability
in underwriting
activities

34

SCOR

4.1. Closing the protection gap364.2. Developing a double materiality approachof climate change for underwriting activities

40

2023 Group sustainability report35

4. Sustainability in underwriting activities

4.1. CLOSINGTHE PROTECTION GAP
It is in SCOR’s raison d’être to contribute to the welfare,resilience, and sustainable development of societies bybridging the protection gap and increasing insurance
reach. By nature, its core business participates in improving
the resilience of societies. Closing the protection gap isboth an imperative, and a source of opportunities in its
business which consists in two main goals:• protecting society from extreme events, accompanying

economic agents in mitigating the effects of climatechange and enabling a smooth energy transition;

PARAMETRIC MICROINSURANCE
AND REINSURANCE
Unlike traditional insurance, which relies on assessments ofactual damage, parametric insurance pays out benefits
using a pre-determined index based on loss of assets andinvestments caused by weather or other catastrophic
events. This ensures rapid pay-out and lowers dispute risks,
providing quick relief and reducing transaction costs,
which fits more particularly to most vulnerable populations.
To make this type of insurance even more beneficial topeople at risk, SCOR uses a payout structure that considers externally observable variables such as seismologicalor meteorological measurements, market loss information,or price indices.

• accompanying people’s health and wellbeing, including by developing prevention and accessible healthsolutions.

For example, since 2019, SCOR has partnered withlocal insurance companies to develop a parametricweather index microinsurance, launched for smallholder rice farmers in Cambodia, aiming to protect
them against adverse weather events or naturalcalamities, while automating claims and making
quick payment to the farmer. In 2022, this innovative solution was developed in Vietnam, in partnership with Igloo, a Singaporean insurtech providing
insurance solutions based on parametric indexes.
The weather index insurance for rice farmers has
now covered over 6,000 hectares of rice fields ineight provinces, having protected many farmers
from unpredicted weather conditions. Following the
success of the weather index insurance for rice
farmers, the solution has been expanded during2023 to coffee farmers in Vietnam. This allows toprovide affordable and accessible insurance forsmallholder farmers, as well as protection from
impacts of climate change on their livelihood. Since
there is a quick indemnity payout, this reduces farmers’ immediate dependence on the government for
post-disaster relief: the parametric insurance will
reduce the cost to individually verify claims andenable faster payouts to farmers.

NATURAL CATASTROPHE SOLUTIONS
As part of its traditional products, SCOR offers Natural
Catastrophe (NatCat) solutions like property treaties, covering damage to underlying assets and direct or contingent business interruption losses caused by natural
catastrophes. In agriculture, SCOR also provides broad
and flexible range of (re)insurance cover, underpinned bya strong natural catastrophe modeling and analytics infrastructure. Customized risk transfer solutions and innovative
approaches are available for crop/crop hail, livestock/bloodstock, forest, greenhouse and aquaculture.
With more than EUR 400m NatCat claims paid in 2023,
SCOR has provided significant contribution to recovery
from loss and damage stemming from extreme events,
most of them being climate related.

ENVIRONMENTAL
IMPAIRMENT LIABILITY
The Group has developed strong expertise in the underwriting of environmental impairment liability (EIL) insurance
through its Lloyd’s syndicate and company platforms. EIL
consists in providing insurance coverage for liabilities associated with environmental/biodiversity damage or pollution. SCOR Syndicate has developed a proprietary rating
tool comprising 16 environmental indicators, which informs
underwriters about the degree of environmental responsibility of the company seeking EIL coverage. This direct
insurance product incentivizes insureds to mitigate theirenvironmental risks and improve their risk management
processes by offering reduced premiums to companies
with robust processes and good ratings. EIL is also a critical product that helps to restore the environment and biodiversity after damages by an insured’s activities.

36

PROFESSIONAL INDEMNITY
INSURANCE SCHEME IN HOUSING
Following the Grenfell Towers Fire in London and the subsequent report on the safety of high-rise buildings, lenders
began to insist on External Wall Surveys being completedby Surveyors/Fire Engineers, including on residentialbuildings. Insurers viewed the language of the EWS1 Formas shifting responsibility to the Surveyors/Fire Engineers,potentially opening them up to unlimited liability and sowere reluctant to offer professional indemnity insurance tothem. Without insurance, Surveyors/Fire Engineers
became highly reluctant to conduct the necessary assessSCOR

ments of the buildings resulting in c.700,000 leaseholders
being affected with the inability to buy, sell or re-mortgage
their homes.
Since September 2022, SCOR has been acting as afronting insurer for the UK Government in order to bridge
this protection gap. The UK Government, in partnershipwith SCOR and MGAM Limited, launched a statebacked professional indemnity insurance scheme for qualified professionals unable to obtain professional indemnity
insurance to complete External Wall Surveys. The coverafforded by the scheme has been specifically designed to
remedy this protection gap, which is causing major housing issues. This partnership intends to begin to free the market in flats which has stagnated over the last few years.

DEVELOPING SOLUTIONS& PARTNERSHIPS WITH
PUBLIC INSTITUTIONS& PRIVATE MARKET PLAYERS
With public institutions
SCOR is committed to developing solutions that contributeto climate risk adaptation. Long involved in multiple government insurance pools covering climate catastrophes,
the Group is developing partnerships with development
finance institutions that pursue climate change adaptation
objectives. As such, SCOR, alongside several other(re)insurers associated with the Insurance Development
Forum, has committed to supporting the resilience of developing countries in partnership with the United Nations
Development Program, and with financial support from theGerman government. Collaborations with institutions
including the World Bank, to provide parametric insurance
against climate-related natural disasters in the Philippines,
and with the World Food Program to develop livestock
insurance for Ethiopian herders, are other examples of theGroup’s commitment to development finance institutions toprovide solutions that contribute to resilience. Throughthese programs, the Group contributes to increasing insurance penetration and to improving the adaptability of
insurance beneficiaries. In developing countries, there
may be a significant protection gap and insufficient data
to develop compensatory insurance schemes. Parametricinsurance schemes, developed in partnership with development finance institutions, offer a solution with financial
protection for post-event reconstruction.
Helping the development of African countries
through reinsurance
The African Trade Insurance Agency (ATI) is a multilateral
institution created by various African states with the financial backing of the World Bank and later the African
Development Bank. Its aim is to cover projects that would
improve the quality of life of African countries (e.g., electricity, dams, sustainable energy, etc.). African governments
face the challenge of mobilizing investments for criticalinfrastructure projects within global markets that often perceive African risk as untouchable. At the same time, publicly owned and private institutions see viable opportunities
to grow their interests in Africa, but the risks often prevent
them from moving forward. SCOR, along with other(re)insurers, reinsures the financing of the projects fromcredit & political risks in order to enable the fundraising.
ATI, acting as an insurer, can fundraise from investors only
if they have reinsurers providing reinsurance covers. SCOR
and ATI are enabling projects with high social impact tomaterialize – facilitating, encouraging and developing thepromotion of trade, investment and productive activities inAfrica. ATI implemented strict ESG criteria to ensure thatthe projects insured are sound and with a high social
impact. ATI helps projects with high social impact to findand enable financing/fundraising, hence preventing corruption and building trust from investors, as well as improving quality of life and helping the development of Africancountries.

With private market players
Such schemes can also be developed in partnership withother private market players. For example, since 2022,
SCOR partnered with African Risk Capacity (ARC) todevelop efficient parametric insurance schemes that
directly benefit smallholder farmers, using state-of-the-art
technology. ARC is a specialized agency of the African
Union, established in 2014 to help African governments
improve their capacities to better plan, prepare andrespond to extreme weather events and natural disasters.
Through collaboration and innovative financing, ARC
empowers countries to strengthen their disaster risk management systems and access rapid and predictablefinancing in the occurrence of a disaster, protecting thefood security and livelihoods of their vulnerable populations. By combining their knowledge and experience,
SCOR and ARC are helping to protect smallholders in
Africa against the impact of droughts, tropical cyclones
and floods.
Argentina was highly impacted by the Covid-19
Pandemic, together with an economic crisis – as a result,
there was a dramatic increase in poverty. Communities are
more than ever exposed to natural catastrophes, uncovered by any insurance scheme. Flooding is very frequentin Argentina, especially in the Pampa Humeda, where themajority of Argentinian agriculture is concentrated; however, no coverage of this risk exists – the impacts of flooding are supported directly by municipalities and the
population. To address this issue, SCOR partnered in
2023 with the Insurance Development Forum (IDF),
Hannover Re, Guy Carpenter and La Segunda to develop
and set up an innovative recovery scheme in line with
Argentinian municipalities’ needs to take anticipatory,
emergency and return-home measures to support its vulnerable population.

2023 Group sustainability report37

4. Sustainability in underwriting activities

The FITCA (Flood Insurance for Target Cities in Argentina)
project aims to develop a solution that could reducethe impact of flooding in a pilot of five cities in Argentina.
The final intent of the project is to help on reducing thepoverty in Argentina by insuring the sustainability of theeconomic activity, health and education services and theinfrastructure of the cities.
Up to 4015 thousand households would benefit from it,with the potential to reach out to three hundred households
over a total of ten cities. SCOR & partners have successfully run two interview rounds with municipalities to confirm
and specify the specificity of their flood exposure. The
close collaboration with the local partner La Segunda was
key to reach out to stakeholders and ensure their commitment by fulfilling their needs. La Segunda hosted a workshop with city representatives, regulatory bodies and the
UNDP during which the project members presented theirapproach and anchored reciprocal alignment. Upon
achievement, the FITCA project will bring a significant
social impact by helping the government recover the infrastructure needed for the economic activity, education andhealth and as well as reduce migrations, increase in poverty and lack of opportunities for the population in need.

LIFE & HEALTH SOLUTIONSHELPING PEOPLE LIVE LONGER
AND HEALTHIER LIVESLife & Health business is strongly involved in improving theresilience of societies. Its biometric risk business is designed
to help more people access health protection and prevention products, underpinned by robust research and technology & data capabilities.
SCOR develops ad-hoc innovative solutions designed toanswer local needs depending on ageing, standard ofliving and profile of targeted beneficiaries.
Life & Health business unit develops solutions to help people live longer and healthier lives. Moving beyond (re)insurers’ traditional role of providing financial protection, SCOR
is involved in partnerships and collaborations across thehealth and wellness ecosystem to bring impactful insights
and programs to clients, policyholders and employees.

Protecting against critical illness
Early treatment of critical illness can be key to full recovery
and mitigating associated burdens. SCOR collaborates
with clients to co-develop a vast range of critical illness
solutions, designed to protect people’s financial integrityin the event of serious illness.
For example, Vitae is an innovative biometric risk
calculator that uses machine learning methods andnew data to better capture the correlation between
risk factors.
38

Vitae provides ratings for mortality, disability and critical
illness and enables users to refine their underwriting rating toa larger insurable population, contributing to a more inclusive underwriting. In 2023, SCOR added three new solutions (liver enzymes, colon and thyroid) to the Vitae biometricrisk calculator series. The suite now has seven solutions –cardiovascular, residence, breast cancer, mental health,colon cancer, thyroid cancer and liver enzymes. This ongoing expansion of the Vitae series demonstrates SCOR’s
commitment to narrowing the life insurance protection gap,by expanding insurance reach to the underinsured population by combining knowledge and innovative thinking.

Tailoring disability insurance to the needsof children and their parents
Through a partnership with a client in Germany, SCOR
developed an innovative disability insurance cover for children to extend protection and peace of mind for families.
This product launched at the beginning of 2023, with policies providing cover for essential abilities regarding communication, mobility, and education-related abilities
including writing. It also covers severe illnesses which cancause a longer hospital stay.

Addressing the prevalenceof mental health risk issues
To address the growing prevalence of mental health risk
issues worldwide, SCOR announced a partnership with
Ifeel, a digital solution comprising an emotional wellbeing
tech engine that connects users with support, including
access to mental health professionals. Ifeel offers the full
spectrum of emotional support for different needs: a customized self-help algorithm, structured therapy through aunique, interactive emotional support chat, and videointervention with licensed therapists. As part of its raisond’être, SCOR provides protection to society and promotes
healthier behaviors. This starts with employees. In 2023,
SCOR launched an Ifeel pilot to nearly 1,500 of its
employees to support their emotional wellbeing. This has
been received favorably.

Providing accessibility of life products
for Southeast Asia consumers
Consumers often find life protection products difficult tounderstand. This is especially true in Southeast Asia, where
the insurance literacy rate is still low. To make life protection
products easier to understand, SCOR’s Southeast Asia
team designed and developed a new hospitalization
product with Great Eastern Malaysia to pay a lump sum
claim if the insured suffers a major condition and needs tobe hospitalized for an extensive number of days. This product is much easier to understand compared to the current CI
products, where the claim definitions are complex and difficult to understand. This product has achieved success withover 2,000 policies sold within the first six months of launch.
SCOR

Customized care management to extend
and save lives
SCOR and INTERLINK Care Management, Inc.
(CancerCARE) in the US are collaborating to offer aninnovative program to develop a concierge-style
CancerCARE program for life insurance policyholders.
Through the paired strengths of SCOR and CancerCARE,
life & health insurance clients will have access to a customized product concept tailored to the life insurance market
and proven to be effective at extending and saving lives.
This first-of-its-kind collaboration brings together the risk
management expertise of SCOR and the accumulated
knowledge of CancerCARE to ensure the best cancer
outcomes for life insurance policyholders who are navigating an early cancer diagnosis while trying to understandtreatment plans, health insurance coverage, and where toseek specialized care. By working together, this effort canminimize the cancer risk for policyholders through emerging treatments, accessing treatment options, education,and encouragement that can positively impact their longevity. The US team is in discussions with clients and distributors who are responding favourably.

Early detection through Innovativecancer screening
To aid in the prevention of skin cancer, SCOR commenced
in 2023 the first pilot project in Germany with an innovative
start-up that uses AI technology to develop medical apps
for health prevention. Due to the increase in UV radiation
caused by climate change, more and more people arecontracting skin cancer. Malignant melanoma is a very
malignant form of skin cancer, but 99% can be cured if
detected at an early stage. Early detection of malignant
melanoma thus prevents the development of life-threatening skin cancer and represents a typical use case of pattern recognition by artificial intelligence. Moles or skinpatches are photographed with a mobile phone camera
and assessed with the help of artificial intelligence. The
feedback takes the form of a traffic light system and classifies the birthmark as low, medium, or high risk. The birthmark is examined and evaluated according to the ABCDE
rules (Asymmetry, Border, Color, Diameter, Evolution). The
application is not intended to replace a doctor’s visit, but tosensitize the user to the issue of skin cancer and to remindand support regular check-ups by a dermatologist.

Contributing to policyholders’health & wellness and longevity

tinues to gain traction globally, reaching more and more
people across Asia and Europe. In 2023, SCOR launched
Good Life 3.0 (our proprietary health & wellness engagement app powered by BAM), which won the prestigious
iF Design Award in the User Interface category. Moving
beyond a traditional ‘physical-only’ view of health, GoodLife 3.0 follows a five-pillar health framework covering
physical activity, mental health, nutrition, social health, andsleep.

Partnerships in Life & Health to expand
scope of protection
SCOR has entered many research and business partnerships over the years to explore ways to make life insurance
more relevant and to expand protection to people andsociety. One example is the ongoing joint research initiative with Nanterre University on a discrete choice experiment to define product features and the Sorbonne
University at the Pitié­Salpêtrière Hospital in HIV and
Immunotherapy developments. SCOR also funded a
Human Mortality Database project in 2016 with the
Department of Demography at the University of California,
Berkeley which serves the academic and actuarial community to build predictive models of life expectancy for alarge number of countries.
SCOR’s Life & Health initiatives and partnerships havealways supported inclusive insurance globally through its
work with clients and business partners who are committed
to raising awareness of the importance of life and healthinsurance coverage. It also bears witness to the positive
impact the insurance industry can have on the health andwellness ecosystem. SCOR is still as dedicated as ever toplaying a leadership role in improving the day-to-day
management of chronic and potentially terminal diseases
and is committed to demonstrating the positive social
impacts of the life insurance industry.
For example, in 2023 SCOR Life & Health offered
more than 115 solutions worldwide to benefit
society by reducing the protection gap and helping people live longer and healthier lives. In theUS, two of SCOR’s local partnerships, whichstarted in October 2020, led to the creation of
products that make insurance easily accessible
and affordable for underserved populations. The
program has so far covered more than 30,000
lives since its inception.

SCOR’s Biological Age Model (BAM) algorithm continues to prove an effective tool for helping people improvetheir overall wellbeing. An evidence‐based model for bothmortality and critical illness risk, BAM leverages wearable
data to encourage physical activities that promote a
reduction in biological age and helps people stay motivated as they work toward a healthier lifestyle. BAM con2023 Group sustainability report39

4. Sustainability in underwriting activities

4.2. DEVELOPING A DOUBLE
MATERIALITY APPROACH
OF CLIMATE CHANGE FOR
UNDERWRITING ACTIVITIESAs part of the Group’s overarching sustainability strategy,
SCOR is developing a double materiality approach toclimate change for its underwriting activities. Protecting
underwriting activities from downside effects linked to
non-financial risks, in particular the effects of climatechange, is part of SCOR’s risk management. Advancing
the Theory of Change for its underwriting activities encompasses another dimension requiring SCOR to consider
impacts of its decisions on climate change with the aim to
not compromise the ability of future generations to meettheir own needs.

ASSESSING THE FINANCIAL
MATERIALITY OF CLIMATE CHANGE
ON THE P&C NAT CAT PORTFOLIOADVANCING THE THEORY OF CHANGE

SCOR participated in the ACPR climate stress test exercise
to analyze the financial impacts of climate change on the
P&C Nat Cat portfolio.
The analysis assesses the potential impact of physical risks
associated with climate change on Property andAgriculture lines of business within SCOR P&C for 2025 toObjective

Becoming Net Zero

2050-year horizon based on RCP4.5 emission scenario(1).
Regions with material interest for SCOR and with strong
climate signals influencing extreme events have been
selected and scenarios were designed that account forchanges in tropical cyclones (in the U.S. and Japan),
European extratropical cyclones, floods in the U.K,
Germany, and China, and wildfires in the U.S. For Agri, we
considered the potential loss impact on drought in India
and Brazil. For certain peril regions, we relied on the
Climate Change Tool (“CC Tool”) developed by
Stormwise Ltd to express the hazard change (due to global
warming) to a change in loss. A full description of the tooland the methods used can be found in Stormwise, (2023).
The climate change impacts by region peril were also
based on the review of recent scientific literature. Overall,
SCOR’s results exhibit moderate and manageable adverse
impacts. The stress test contributed to the strengthening of
SCOR’s internal expertise on climate scenario analysis.

SCOR is firmly dedicated to contributing to achieving carbon neutrality by 2050 by contributing to reduce GHG
emissions in the atmosphere, directly in its own activities orindirectly by enabling the transition to a low carbon economy. As a financial institution, SCOR seeks dialogue andengagement with partners and clients to support their transition journey alongside the reduction of emissions linked
to its own activities.

ActionOutcomeEmission reduction

Reduction of our own GHG emissions as well as clients’ Contribution to Net-Zeroby 2050 and reduction
Development of solutions for climate adaptationof GHG emissions
and climate mitigationin the atmosphere

Engagement with clients/
partners

ImpactRe/insuring the transition

Contribution to reducing
the physical riskof climate change

Sustainable claims
management

ENABLING THE TRANSITION BY
DRIVING UNDERWRITING PORTFOLIOSTOWARDS NET ZERO EMISSIONS• reduction of GHG emissions of the underwriting book ofbusiness,

SCOR targets to transition all operational and attributablegreenhouse gas emissions from its insurance and reinsurance underwriting portfolios to net zero by 2050.

bonization pathways or science-based net-zero targets),

Consistent with its Theory of Change, SCOR combines
different approaches to deliver on the decarbonization
trajectory:• engagement with clients (e.g. discussion around decar• development of sustainable (re)insurance products &solutions supporting the transition to a low carbon
economy,Over the last years, SCOR has undertaken several initiatives aimed at further integrating environmental issues into
the insurance activities developed by SCOR Business
Solutions (formerly SCOR Specialty Insurance). The
Group is implementing gradual exclusions where there isan alternative or substitute exist and/or when doing so is
critical to supporting a more sustainable world.

Coal
Regarding coal, SCOR applies various exclusions
depending on the type of activity. Scoring grids havebeen implemented in the Mining and Power lines ofbusiness, while new coal mines and coal-fired power
plant projects were excluded from coverage, as well as
mountaintop removal mining operation. SCOR strengthened its coal exclusion policies at the 2023 Ordinary
and Extraordinary Shareholders’ Meeting, effective
1 September 2023.
SCOR now excludes standalone direct insurance and facultative reinsurance coverage for new dedicated thermal
coal mining infrastructure (e.g., ports, washing and handling facilities).
SCOR no longer writes any new business in respect ofstandalone thermal coal mines and standalone unabatedcoal-fired power plants.
By 2030 in OECD countries and by 2040 for the rest of
the world, SCOR will totally phase out standalone direct
insurance and facultative reinsurance coverage for thermal
coal mines and unabated coal-fired power plants. SCOR
Property & Casualty has adopted an internal assessment
procedure for environmental, social and governance criteria for operations closely linked to coal. For insurance
and facultative reinsurance, a specific scoring grid is used
for the activity assessed, while reinsurance treaties
undergo a screening process.

Oil and gas
During the 2023 Ordinary and Extraordinary Shareholders’ Meeting, SCOR announced new sustainable
underwriting targets relating to both conventional andunconventional oil and gas, which took effect on
1 September 2023.

SCOR excludes standalone direct insurance and facultative reinsurance coverage for new gas field development
projects. This complements the similar exclusion policy introduced last year on new oil field development projects.
SCOR excludes specific, standalone direct insurance andfacultative reinsurance coverage for oil and gas exploration, production and related dedicated infrastructure projects in the Arctic Monitoring and Assessment Programme(AMAP) Region, with the exception of the Norwegian
Arctic Region. This zone includes the Arctic National
Wildlife Refuge (ANWR), and extends the previous policy
taken by SCOR for preserving the area.
SCOR does not provide any new (or increase its commitments on existing) standalone direct insurance and facultative reinsurance coverage in respect of oil sands
operations(1) (both extraction and upgraders).

Other exclusions
In addition to its sectoral guidelines for industries with highcoal exposure, the Group integrates other ESG considerations into the SCOR Business Solutions underwriting policy. In 2018, the Group confirmed its commitment to
excluding the tobacco industry from its business activities
on both on the asset and liabilities side, in consistency withits business of health prevention and protection. The Group
has also joined the PSI/WWF/UNESCO declaration on
the protection of the world heritage sites.
These exclusions have been consolidated into ESG underwriting guidelines since 2019, which are regularly
enhanced to embed SCOR’s ambition and strategy in theunderwriting business. It covers ESG issues relevant to specific activities that may present ethical issues related tohealth (e.g. manufacture and distribution of opioids, animal
testing), the environment (e.g. palm oil production, damconstruction) and human rights (e.g. textiles and forcedlabor). It includes detailed processes to decide whether
the business can be accepted, deserves a referral process, or must be disregarded.
Lastly, drawing on its sustainable investments processes,
the Group is testing various techniques designed to assess
the overall ESG quality of its business portfolio (e.g. licensing third-party ESG data services such as ISS).

• sustainable claims management (e.g. how to build backbetter after a claim).

(1) One among four of the greenhouse gas concentration trajectories adopted by the IPCC (Intergovernmental Panel on Climate Change) - RCP 4.5 is described by the IPCC as anintermediate scenario. Emissions in RCP 4.5 peak around 2040, then decline. RCP 4.5 is the most probable baseline scenario (no climate policies) taking into account the exhaustible
character of non-renewable fuels.

40

STRENGTHENING SCOR RESPONSESTO THE ENVIRONMENTAL CHALLENGESWITH GRADUAL EXCLUSIONSSCOR(1) Exceptions may be made for specific, standalone direct insurance and facultative reinsurance coverage for insureds with a verified strategy that is aligned with a credible Net-zeroby 2050 transition plan and will be based on the Science Based Targets initiative (SBTi), once available, or comparable third-party issued science-based target setting guidance
for the upstream oil and gas sector.

2023 Group sustainability report41

4. Sustainability in underwriting activities

ENGAGING WITH CLIENTSAND PARTNERS
Beyond exclusions mainly designed to reduce negative
impacts of its business activities on environment and people, the Group actively supports its partners and clients intheir own transition pathways, helping them attain a netzero emissions business model. It is the second pillar of its
Theory of Change which aims at contributing to the reduction of GHG emissions in the atmosphere. SCOR also
supports coalitions or position papers with the objective toaccelerate the journey of key stakeholders toward more
ambitious sustainability-related goals.

SCOR’s target to engage with SCOR
Business Solutions Single Risk clients
As part of Forward 2026, SCOR has set a target toengage with clients representing at least 30% of SCOR
Business Solutions (formerly SCOR Specialty Insurance)
Single Risk premium regarding their ESG commitments andtheir transition strategy, over the course of the new strategicplan. In particular, this will allow the Group to delve deeper
on clients’ ESG related risks, opportunities and impacts.
The Group is developing an engagement plan to follow its
progress on the target set.

c­ arbon intensity and to assess climate alignment. This supports SCOR’s commitment to become Net Zero by 2050.
We need to collect more data to better steer our business,from analysis to pricing and underwriting guidelines.
Engagement will be key to enhance this part of ourstrategy.
See Section 10.1 – Selected metrics/Underwriting
activities in this report for more information.

SUPPORT TO LOW CARBON ENERGIESIn 2022, SCOR announced its ambition to double its coverage(1) of low carbon energies by 2025 in SCOR
Business Solutions(2), complemented by a new target in
the Forward 2026 new strategic plan to multiply suchcoverage by 3.5 times by 2030. This involves providing
clients with insurance solutions for new and/ or low carbon energies and developing or reinforcing expertise in
new areas (carbon capture and storage, offshore wind,hydrogen, etc.).

New Energy Practice
dedicated to insurance solutions
for the energy transition

The Group’s approach is to actively support its clients andpartners in their own commitments and targets to implement credible transition pathways, helping them attain netzero emissions business models.

SCOR launched, within SCOR Business Solutions, a dedicated New Energy Practice. This will be a one-stop-shop
for the ongoing energy transition needs of existing andpotential clients throughout the world.

Poseidon Principles for Marine Insurance(PPMI)The New Energy Practice incorporates a broad spectrumof SCOR’s integrated insurance products and customized
risk management solutions, providing protection for a wide
range of low carbon technologies and ventures. These
include offshore and onshore wind farms, solar farms,
interconnectors, hydrogen, carbon capture, biofuels, andbatteries.

To support the net zero ambition of its direct international
shipping policyholders, SCOR became a founding signatory of the Poseidon Principles for Marine Insurance inDecember 2021. Under this initiative, the Group has also
committed to assessing and disclosing the climate alignment of its hull and machinery portfolios, and to benchmarking them against two trajectories related to a 50%
reduction in annual greenhouse gas emissions by 2050
compared to 2008, and a 100% reduction in emissions
by 2050. PPMI do not set target. It is a transparency andmeasurement-based initiative helping us to support clientsin their decarbonization journey. Signatories are recognized for contributing to an initiative that is ground-breaking in the spheres of shipping and insurance.
As part of the PPMI initiative, SCOR engages with shipowners, clients, brokers, and business partners to collectand process the information necessary to calculate

The New Energy Practice leverages the local know-how
and global reach of the Group’s underwriting, risk engineering and claims experts across multiple lines of business, with a focus on creating long-term partnerships.
SCOR understands the unique requirements of clients inthe new energy field, including the need for financial
security and risk mitigation throughout the life cycle of a
project. By providing end-to-end coverage – from project
financing, original equipment manufacturing and credit
risk transfer to project construction, operation, and decommissioning – the New Energy Practice ensures that theGroup’s clients are protected at every stage of theirenergy transition journey.

Dedicated ESG solutions division
for underwriting

Green hydrogen projects

In 2023, SCOR appointed a dedicated division in
charge of ESG solutions in (re)insurance. This divisionoffers (re)insurance cover for various innovative environmental projects. Regarding low carbon energy, solutions
for Battery Energy Storage as well as CCUS insurance
and decommissioning liability are being researched anddeveloped in close collaboration with traditional underwriting teams across SCOR. In addition, we have written
insurance deals protecting the infrastructure for 100%
renewable electricity supply. Other environmental issues
are also being tackled, such as recycling, where multi-year deals have been already concluded in Austria
and in Germany.

Off-shore wind farms
Wind and water, often overlooked and taken for granted,
are some of the earth’s most valuable assets that can transform the future of sustainable energy. Offshore wind farms,
a group of wind turbines installed in open water such as
oceans and lakes, are great examples of how wind andwater can be harnessed to fuel the future. The first offshore
wind farm was built in Denmark in 1991, marking a milestone for the global energy transformation. Since then,offshore windfarms have been experiencing exponential
growth, driven by global efforts to achieve net zero goals.
According to the Global Wind Energy Council, over 380
GW of offshore wind capacity, across 32 markets, is predicted to be added in the next ten years (2023-2032).
Insurance and reinsurance companies are integral participants in windfarm projects as they provide financial protection and investment support. SCOR has a long-standing
reinsurance relationship with SSE Renewables, an offshore wind farm market leader and a well-establishedplayer in the renewable market. SCOR provides insurance for various offshore wind farm projects but also
shares valuable knowledge and information that are critical to the success of the projects. These innovations, alsocome with challenges for the (re)insurance industry.
Staying ahead of the curve with rapid technologicaladvancement is one of them.

According to the IEA, hydrogen is a versatile energy carrier, which can help to tackle various critical energy challenges; Global hydrogen demand continues to grow but
faster action is needed to reach Net Zero Emissions target
by 2050.
Robust growth in hydrogen demand creates an opportunity for hydrogen and hydrogen-based fuels to mitigate up
to 60 Gt of CO2 emissions between 2021 and 2050 in
the Net Zero Emissions Scenario. This significant reduction
accounts for approximately 6% of the total cumulativeemissions reductions during that period.
Insuring hydrogen projects presents challenges due to theirrapid scale-up in response to energy transition needs. A
facility launched by Marsh, in which SCOR participates,
will offer up to $300m of cover per risk. It brings essential
insurance capacity to clean hydrogen projects. It is a vital
measure in enabling developers to obtain sufficient andaffordable insurance coverage, enhancing financial feasibility for developers and the realization of those projects.
SCOR also has taken shares in the construction of two of
the largest hydrogen projects, enabling the deployment ofprojects working towards the energy transition by offering
new innovative solutions.

STRENGTHENING THE DIGITALRESILIENCE OF OUR SOCIETIESCyber (re)insurance is one of the fastest growing yet
challenging areas in the (re)insurance industry. SCOR isbuilding its skills and resources to better understandcyber risk, assess exposure to extreme events and support market efforts to develop and offer relevant Cyber
insurance products.

Electricity interconnectors
SCOR is also a lead (re)insurer for electricity interconnectors. These high-voltage cables connect the electricity systems of neighboring countries, allowing for better
integration of renewable energies between different countries and regions. These projects support the growth of therenewable energy sector and help to decarbonize theeconomy – and through its product offerings SCOR is
helping to accelerate the construction of new facilities as
the capacity for renewable energies increases.

(1) For production, storage and transmission. Based on Estimated Gross Premium Income (“EGPI”) for 2020.
(2) SCOR Business Solutions (formerly SCOR Specialty Insurance) Single Risk: large industrial risks, underwritten on a risk-by-risk basis (as opposed to reinsurance treaties, underwritten
on a portfolio basis by insurance companies).

42

SCOR

2023 Group sustainability report43

5.
Sustainable
investment
activities
5.1. SCOR’s sustainable investing approach

46

5.2. 2023 updates in SCOR’s investment strategy 47

44

SCOR

5.3. Overview of SCOR’s participationin selected initiatives

47

5.4. Stewardship strategy and activities

49

5.5. Seeking for positive outcome50

5.6. Impact of climate change
in investment activities

50

5.7. The nature-climate nexus

55

2023 Group sustainability report45

5. Sustainable investment activities

5.1. SCOR’S SUSTAINABLE
INVESTING APPROACH

EMBEDDING NEW TRENDS
AND OPPORTUNITIESAs a responsible investor, the Group strives to optimize risk
adjusted returns, while limiting negative externalities andpromoting positive impacts of its investments. Preserving
natural assets is a key priority for investments and goesbeyond fighting against climate change and reversing
biodiversity loss. Nature must be thought in its entirety and
SCOR strives to play its role in addressing this tremendous
nature-climate nexus challenge.
SCOR’s sustainable investing approach is presented in its
Sustainability Policy, which forms a consistent and robust
framework to design the strategy. The Group addresses
both the resilience of its invested assets vis-a-vis sustainability risks and the positive and adverse environmental andsocial impacts of its portfolio. The current state of play ofsustainable finance is evolving very fast, advocating for
agility, flexibility and constant improvement in terms ofapproach, methodologies and tools.

A STRONG RISKMANAGEMENT CULTURE
Thanks to its core business as a reinsurer, SCOR has developed a strong risk culture across the entire Group. Risk
management includes sustainability as non-financial risks
and opportunities as well as potential impacts of the portfolio on ecosystems. Environmental, social and governance criteria are embedded in investment decisions andmonitored closely during the investment life cycle. SCOR
considers E, S and G criteria as potential early signals of
future risks. As such, issuers’ extra-financial ratings arescreened within risk management processes to better
anticipate potential deterioration of credit quality and environmental and social impacts. Controversial issues arealso analyzed to detect potentially at-risk positions at an
early stage. Identifying risks – financial as well as non-financial ones – and managing them to increase the resilience of the portfolio serves the investment strategy and thelong-term profitability of SCOR.

Monitoring new trends is critical to keep momentum anddetect not only new risks but also new opportunities.
SCOR is involved in several initiatives at national,
European and international levels to stay connected with
innovation around sustainable finance and non-financial
corporate reporting. Detecting opportunities is part of theGroup strategy to build a resilient portfolio and create
long-term value.
SCOR also invests in Insurance-Linked Securities that participate to the resilience of communities following extreme
events. Unlike physical risk borne by direct investments,
SCOR gets compensated for accepting to build exposures to selected physical risks that can be either climate
driven like storms or other types of extreme events likeearthquakes. As there is limited correlation between financial markets evolutions and natural catastrophes occurrence, this strategy provides diversification to the invested
assets portfolio and increases its resilience. Again, theGroup leverages upon SCOR Investment Partners’
long-lasting performance in managing this asset class.

THEORY OF CHANGE
AND IMPACT FRAMEWORKSCOR strives to contribute to international goals aboutclimate and biodiversity highlighted by the Paris agreement and the Kunming-Montreal Global Biodiversity
Framework (GBF). As an investor, SCOR aims to play its
part by:• Reducing the environmental negative impact of its investees and of its investment portfolio in line with theseframeworks by combining exclusion/divestment, best-inclass strategy, stewardship.

• Increasing the positive impact of its investments by investing in climate and nature-based solutions. SCOR highlevel Theory of Change regarding investments is summarized in the table below.

Objective

ActionOutcomeAligning with
the Paris agreement

Exclusion/ Divestment
Best-in-class
Stewardship

Investees aligning their GHG emissions trajectorywith 1.5°C IPCC scenarios

Aligning with theKunming-Montreal
Global Biodiversity
Framework (GBF)

46

Investing in climate solutions
and nature-based solutions

ImpactIncreasing SCOR portfolio carbon footprint trajectoryalignment to 1.5°C IPCC scenarios

Contribution to Net-Zero by2050 and reduction of GHG
emissions in the atmosphere

Investees progressively implementing businesspractices aligned with the GBF

andIncreasing SCOR portfolio alignment with the GBF

Contribution to reversing
Nature loss by 2030

Increasing the “Nature Positive Impact Investment”
bucket in SCOR portfolio

SCOR

To define Nature-positive, SCOR follows the Science
Based Targets Network (2023) SBTN Glossary of Terms,
i.e. a high-level goal and concept describing a future stateof nature (e.g. biodiversity, ecosystem services and natural
capital) that is greater than the current state.

ADDRESSING
THE DOUBLE MATERIALITY
When considering environmental, social and governancecriteria in its investment strategy, SCOR believes that materiality is key to both identify potential risks and best opportunities and assess impacts of its investment decisions. Protecting
the portfolio from downside effects linked to non-financial
risks and in particular, climate-related adverse impact is at
the heart of SCOR’s investment risk management. Resilienceis meant to protect the value of assets against both transitionand physical risks. These two risks move in opposite directions as the faster the transition the higher the possibility ofcontaining global warming. However, this works to theextent where transition occurs early enough and in anorderly manner. Otherwise, transition damages – mainly
stranded assets – and significant increase in severity and /or frequency of climate-related extreme events may both hit
the value of investment portfolios.
In order to improve longer-term resilience, it is of utmost
importance to also address inside-out effects of investment
decisions. By doing so, SCOR actively contributes to afaster transition and, in return, protects its portfolio against
physical damage in a much longer time horizon. This loopback effect drives back long-term horizon within shorter-term investment decisions.
This has led SCOR to early exit some sectors that are notcompatible with the Paris Agreement and the Group has
extended its divestment from fossil energies in 2022. The
Group has also taken additional steps to better impact thereal economy. This includes joining engagement initiatives
and enhancing the best-in-class strategy applicable to
upstream oil & gas companies.

5.2. 2023 UPDATES IN SCOR’SINVESTMENT STRATEGY
In 2023, SCOR has accelerated its investment journey
toward sustainability by adding some guidelines on
deforestation in its sustainability policy: SCOR aims at making its best efforts to ensure that by 2030 its investment portfolio does not contribute to deforestation. SCOR has
committed its investments to become Net-Zero emissions
by 2050 and to contribute to reverse Nature loss by 2030.
Ending deforestation is a key element to fulfilling these commitments. Forests play an important role in climate change
mitigation, biodiversity protection and in food security.

SCOR has also expanded its engagement activities withinvestees in various areas of nature because it considers
that dialogue with companies is one of the most importantlevers to drive real economy transition.
Detailed updates can be found in SCOR Sustainability
Policy available on SCOR website.

5.3. OVERVIEW OF SCOR’SPARTICIPATION IN SELECTEDINITIATIVES
NET-ZERO ASSET OWNER ALLIANCE
N et-Zero Asset Owner Alliance:
impacting the real economy
The Net-Zero Asset Owner Alliance provides a uniqueframework for investors to design, implement and reporton their decarbonization strategy. The science-based
Target Setting Protocol enables to rely on a credible setof assumptions supported by robust academic research.
It offers the possibility to combine portfolio targets, sector targets and engagement targets to ensure actual
translation of investment decisions into the real economy
to effectively reduce GHG emissions in the atmosphere.
Calling for enlarging investment universe in transition
solutions complements the toolkit to design the net-zeroworld. The Protocol provides the collective answer ofinvestors and a relevant benchmark to support decision
making in a near future. As such it brings back the longterm vision of a carbon-neutral world within the time
horizon of investment decisions.
The actual pathway investees will follow in their decarbonization journey is a critical element of investors success in their attempt to align their portfolio with the Paris
agreement.
In May 2020, SCOR joined the Net-Zero Asset Owner
Alliance (NZAOA). This initiative aims at supporting asset
owners in their commitment to carbon neutrality by 2050
in their portfolios.
In 2023, SCOR actively participated in various NZAOA
working groups that are meant to enhance the Allianceapproach and to foster decarbonization of the real economy. In January 2023, the NZAOA also released the third
edition of its Target Setting Protocol.
In this new edition of the Target Setting Protocol, the­Net-Zero Asset Owner Alliance has extended the asset
coverage. Mandatory carbon reporting, then target­setting, on those new asset classes will be graduallyphased in as of 2023.

2023 Group sustainability report47

5. Sustainable investment activities

In 2023, SCOR continued to track the carbon footprint of
its portfolio in line with its targets set as a NZAOA member.
Fully and systematically exiting highest emitting sectors is
not compatible with engagement with companies operating in sectors that need to transition to a low carbon economy the most. Setting targets means designing the rightbalance between fast decarbonization and engagement
results. This also aligns with SCOR’s principles set in its
Sustainability Policy to apply a balanced approach
between enhancing access to development and reducing
CO2 emissions in the atmosphere.

CLIMATE ACTION 100+ (CA 100+)To increase its dialogue with carbon intensive investees,
SCOR joined CA 100+ in 2021. It is an investor-led initiative aiming to ensure the world’s largest corporate greenhouse gas emitters take necessary action on climatechange. In 2023, SCOR participated in some collaborative engagement calls organized by CA 100+.

INSTITUTIONAL INVESTORS GROUP
ON CLIMATE CHANGE (IIGCC)
In 2023, SCOR joined the IIGCC, an investor collaboration aiming at making significant progress towards a net
zero and climate resilient future by 2030, in line with thegoals of the Paris Agreement.
Joining more specifically the Net Zero Engagement
Initiative (NZEI) of IIGCC has allowed SCOR to participate in other collaborative engagements with companies
outside of CA 100+ scope in 2023.

THE POWERING PAST COAL ALLIANCE(PPCA)To reinforce its target on thermal coal, the investment business line of SCOR joined the Powering Past Coal Alliance(PPCA) in 2021. This coalition of national and subnational
governments, businesses and organizations works toadvance the transition from unabated coal power generation to clean energy. It aims to:• secure commitments from governments and the private
sector to phase out existing unabated coal power;• encourage a global moratorium on the construction of
new unabated coal-fired power plants;• s hift investment from coal to clean energy, including by
working to restrict financing for coal-fired projects;• achieve coal phase-out in a sustainable and economically inclusive way, including appropriate support forworkers and communities.

FINANCE FOR BIODIVERSITY
FOUNDATION (FFBF)
Carbon sinking participates to climate-change mitigationand SCOR recognizes the need to better consider biodiversity when tackling climate change. In 2020, SCOR has
signed the Finance for Biodiversity Pledge. In order todeliver on its objective to reverse biodiversity loss on investments by 2030, SCOR joined the Finance for Biodiversity
Foundation in 2021, and collaborates with other investors
to develop a common understanding of the topic andshare knowledge and experience. This has led to several
guides on methodologies and preliminary engagement
actions, mainly on deforestation.
In 2023, the FfBF published the first version of a Nature
Target Setting Framework.
Four types of targets are set out in this framework to createa shared understanding and common language for investors: initiation, sectoral, engagement and portfolio coverage targets.
Initiation Targets: analyze exposure to nature-related
impacts, dependencies, risks, and opportunities andembed these considerations in the governance, strategy,
and capabilities of the organization.
Sectoral, Engagement, and Portfolio Coverage Targets:take action to reduce material drivers of biodiversity loss inpriority sectors by setting engagement and stewardshiptargets and aggregating these at the portfolio level.
Asset managers and asset owners are advised to establish
initiation targets to be achieved by 2026 and sectoral,
engagement, and portfolio targets to be achieved by2030 or earlier.

TASKFORCE ON NATURE-RELATEDFINANCIAL DISCLOSURES (TNFD)
FORUM
In 2021, SCOR also joined the TNFD Forum, a consultative grouping of institutional supporters who share thevision and mission of the TNFD and have expressed awillingness to make themselves available to contribute to
the work and objectives of the Taskforce.
SCOR participated in a TNFD pilot led by I-Care leveraging data from Iceberg Data Lab in 2022/2023(1). One of
the main objectives was to test the beta version of the
TNFD framework to assess its practicality and potential
areas of improvement.
The final version of the TNFD recommendations was
released in September 2023 with the aim of giving companies a common framework to report on nature-related
issues. SCOR is currently reviewing this guidance and studying its recommendations.

(1) The final report is available on I-Care website: Publication | Pilote du Cadre TNFD sur le secteur Agroalimentaire - I Care by BearingPoint (i-care-consult.com)

48

SCOR

NATURE ACTION 100 (NA 100)SCOR joined NA 100 in September 2023. It is an instrumental investor-led initiative aiming to engage with
100 selected companies in key sectors that are deemed
to be systemically important in reversing nature and biodiversity loss by 2030.

PRI NATURE REFERENCE GROUP (NRG)
SCOR joined the NRG in 2023. The NRG aims to build
investor capacity on nature more holistically, by enhancing
investors’ collective influence to ultimately contribute to thegoal of halting and reversing biodiversity loss by 2030, inline with the goals and targets of the Global Biodiversity
Framework (GBF).
This group is the successor of the PRI’s Sustainable
Commodities Practitioners’ Group (SCPG) to which
SCOR also contributed.

FINANCE SECTOR DEFORESTATIONACTION (FSDA)
To reinforce its target to halt deforestation, SCOR signed in
2021 the Financial Sector Commitment Letter in the context of the COP 26 in Glasgow, therefore becoming asignatory of the FSDA investor initiative which aims at taking concrete actions like collective engagement. In 2022,
the FSDA initiative sent a letter to ask some companies tostop deforestation in their operations and supply chains.
Another letter was sent by the FSDA initiative to ask data
providers to improve deforestation data relevance andaccuracy. Collective investor engagement calls with somecompanies were also organized in 2022 and 2023, andSCOR participated in to some of them.

VALUING WATER FINANCE INITIATIVE(VWFI)In 2022, SCOR joined the VWFI, a CERES’ investors
collective initiative to engage companies on water
issues. Indeed, SCOR believes that addressing water
quality and scarcity issues is key for ensuring biodiversity
protection. Water is also essential for climate change
adaptation. Concretely, SCOR participates in dialogues
with companies to promote sustainable water management practices.
In 2023, SCOR participated in some engagement callsorganized by the VWFI.

INVESTOR INITIATIVE ON HAZARDOUS
CHEMICALS (IIHC)
This engagement initiative, launched by Chemsec, follows
the signature of the investor letter to manufacturers of hazardous chemicals from Aviva Investors and Storebrand
AM in July 2022.

The IIHC is a collaborative initiative to engage with major
chemical companies regarding management of hazardous chemicals and transparency. In 2023, SCOR participated in to some engagement calls organized by the IIHC.

THE BUSINESS COALITION
FOR A GLOBAL PLASTICS TREATY
In March 2023 SCOR joined the Business Coalition for a
Global Plastics Treaty which brings together businesses
and financial institutions committed to supporting thedevelopment of an ambitious, effective, and legally binding UN treaty to end plastic pollution.

PRI ADVANCE
In 2022, SCOR joined Advance, the PRI’s investors stewardship collective initiative for human rights and social
issues, which is fully consistent with SCOR longstanding
participation in the United Nations Global Compact. In
the context of this initiative, SCOR has participated in some
dialogues with companies to drive positive outcomes forworkers, communities, and society. Considering the needfor a just transition, SCOR plans to leverage this initiative topromote a transition where no one is left behind.

5.4. STEWARDSHIP STRATEGYAND ACTIVITIESSCOR strives to take its part in supporting a more sustainable world. This relies on selecting investments but
also on engaging a fruitful dialogue with companies tofoster actions towards more sustainable business models. This is the second pillar of SCOR’s Theory of
Change, aiming to reduce GHG emissions in the atmosphere and ultimately maintain global warming within thelimits of the Paris agreement but also contributing toreverse biodiversity loss.

ENGAGEMENT WITH INVESTEESSCOR exercised its voting rights in 2023, but none of theresolutions were related to climate, as the SCOR equity
portfolio is quite small.
Beyond voting and exercising its shareholder’s duty,
SCOR has decided to join several initiatives like theabovementioned ones for efficient engagement. Given its
low appetite for equities as an asset class and the limited
amount of its invested assets (circa EUR 23 billion), theGroup favors collaborative engagement initiatives rather
than individual dialogue. In 2023, SCOR participated in
to 15 engagement meetings about climate and biodiversity issues. They were prepared or debriefed during 20
other meetings with investors.

2023 Group sustainability report49

5. Sustainable investment activities

In 2023, on the initiative of VBDO (Dutch Association of
Investors for Sustainable Development, an association of
insurance companies, banks, pension funds, asset managers, NGO’s, trade unions and individual investors),
SCOR also signed an investors statement calling for urgent
action to reduce plastics from intensive users of plastic
packaging. A letter featuring this statement was sent to aset of relevant companies.
SCOR also signed in 2023 together with other investors the latest engagement letter from IIHC (Investor
Initiative on Hazardous Chemicals) to chemical manufacturers that asks for more sustainable practices inchemical production.
On the human rights front, as part of its membership in thecollaborative engagement initiative PRI Advance, SCOR
participated in 2023 to calls with investees to advancehuman rights and positive outcomes for people.
SCOR also supported the CDP led 2023 Non-Disclosure
Campaign, an engagement initiative that requests disclosure from companies that do not disclose their environmental information.

ENGAGEMENT WITH ASSETS MANAGERSSCOR also fosters dialogue with its external asset managers, mainly during the yearly due diligence monitoringprocesses. This is the opportunity of an in-depth explanation of the philosophy underpinning the Sustainability
Policy and a fruitful dialogue on the way investment managers consider SCOR’s preferences in their investment
decisions and ensure alignment between investment managers calibration tools and SCOR’s investment strategy.
Compliance ensures restrictions are correctly coded intheir systems. Best in class strategies are discussed anddetailed to ensure they are based on the same understanding and criteria.

POLICY ADVOCACY
When relevant, SCOR also performs policy advocacy
activities by participating in collective initiatives. That’s thereason why in March 2023, SCOR joined the BusinessCoalition for a Global Plastics Treaty, which is a coalitionof businesses and financial institutions convened by the
WWF and the Ellen MacArthur Foundation. The coalition
supports the development of a UN treaty to end plastics
pollution, topic which has become increasingly prominent
in 2023 as a first draft of a legally binding instrument was
released in September 2023.
In Spring 2022, SCOR signed the letter to the FAO (Foodand Agriculture Organization) calling for the publicationof a central roadmap to 1.5°C for the agriculture and land
use sector. This engagement initiated by FAIRR (a collaborative investor network that raises awareness of the ESG
risks and opportunities brought about by intensive livestock50

production) was successful. During the Climate
Conference COP28, the FAO released the Global
Roadmap for Achieving Sustainable Development Goal 2(SDG2: Zero Hunger) without breaching the 1.5°C
threshold that describes a comprehensive strategy spanning the next three years that contains a diverse portfolioof solutions across ten distinct domains of action.

5.5. SEEKING
FOR POSITIVE OUTCOMESCOR considers sustainability under the lenses of impacts,
dependencies, risks, and opportunities. Investing in themesthat bolster sustainable development and allow for a balanced approach toward a just and resilient transition drive
SCOR’s responsible investment strategy and constitute thethird pillar of SCOR’s Theory of Change. In order tofinance the sustainable development of societies, SCOR
invests in real assets financing the transition to a low carbon economy and in sustainable bonds compliant withinternational or European standards.

with SCOR’s reinsurance business. This enables to increase
the resilience of the portfolio against long term adverse
trends. Bonds represent the bulk of the portfolio. Time horizon can be split in three buckets: less than 2 years, 2 to 5
years and above 5 years. SCOR considers that below

Climate Physical risk
Short term
(below
2 years)

Medium term
(2 to 5 years)• Green and Sustainable bonds: SCOR fosters doubling
the amount of green and sustainable bonds by end of2024 compared to end of 2020 in market value andreach EUR 1 billion in nominal value at the same date.

As an example, SCOR has developed a unique realestate business model based on buying brown buildings
in core locations to retrofit them following the highest environmental and energy efficiency standards before sellingthem to externalize the value created. Over the last 10
years, SCOR has also built a material bucket of infrastructure debt and real estate debt financing the transition to a
low carbon economy. This “green bucket” has been built
leveraging SCOR Investment Partners’ historical expertisein real estate and debt investments.

Acute

SCOR

SCOR mitigation action

Models and simulations Location
Assessment of climate risk of investments
performed internally using
property cat models

Indirectly from corporate exposures: companies in which
SCOR invests may suffer from climate-related extreme events
depending on their geographical locations

Models and simulations:Portfolio monitoring

The business models ofcompanies in which
SCOR invests may sufferfrom major climaterelated trends (increaseof sea level, droughts…)

Focusing on
deforestation risk asa mitigation action
to climate-change
risksModels and simulations:Portfolio monitoring

Climate transition risk
Short term
Medium termLong term
Risk management /SCOR mitigation action(below(2 to 5 years)
Above 5 years
impact assessment
2 years)
Within investments, this risk mainly relates to carbon intensive sectors which may be hit by new regulation. It can also relate to more stringent regulation
and reputation risk linked to deforestation. Risks may differ between investments in equities and in bonds as equity prices may never recover whereas
bonds may be redeemed at par at maturity.
For SCOR the risk is on corporate bonds given the low appetite of the Group for investments in equities
CarbonCoal
OilAutomotive
Models and simulations: Divest from highest emitters or invest
intensity
Coal power
Gas
Portfolio monitoringin sectors with alternative activities.
Implement a best-in-class strategy
CementFootprinting
and engage companies to fosterSteelan orderly transition.
Gas power
Set decarbonization pathways.
Limit exposures to most carbon
intensive sectors and divest fromlaggards to limit market downside.
Real estate
CRREM
Certification
Retrofit
Deforestation
Agri
Screening
Joining initiatives to engage
Foodof the portfoliowith companies
Personal Care /– Finance for Biodiversity
Cosmetics– Finance Sector Deforestation Action(FSDA)

Climate-related opportunities

PhysicalTime horizons are important drivers of decisions and mustalign with the objectives of the strategy. The duration of
invested assets is relatively short, around 3 years, in line

Risk management /impact assessment

Directly from investments in physical assets: buildings, real estatedebt and infrastructure debt

Chronic

5.6. IMPACT OF CLIMATECHANGE IN INVESTMENTACTIVITIESRATIONALE OF TIME HORIZONSLong term
Above 5 years

Within investments, physical risk relates to exposures to climate-related extreme events (acute) or to global trends due to climate change (chronic)• Green investments: SCOR has designed an internal tax-

onomy to qualify real assets as “green” investments andwill progressively shift to criteria referring to the EU taxonomy, when it is fully operational.

two years, the risk is mainly a default risk as the sensitivityof bonds is relatively small. Above 5 years, uncertainties
mainly around policy responses for transition risks and climate evolution for physical risks may lead to higher volatility in assets valuation.

Transition

Short term
(below 2 years)
Insurance Linked Securities

Medium to long term
(above 2 years)

Green, social and sustainablebonds
Solar, wind (corporate bonds,
infrastructure debt)
Energy efficiency (direct realestate and real estate debt)

Potential new technologies
providing diversification to
the invested assets portfolio(including carbon sinking
solutions and clean energies)

Assessment

SCOR answer

Diversification effect

Selection of perils /geography
9.7% of the portfolio invested ininvestments favoring transition
as of end of 2023

Internal taxonomy
Leverage the AOA financing
transition initiatives

2023 Group sustainability report51

5. Sustainable investment activities

CLIMATE STRESS TESTING
Building a resilient portfolio is part of SCOR’s sustainable
investment journey. Over the last years, the Group has
played an active role in numerous working groups andinitiatives aiming at better understanding the potential
impact of climate risks on investment portfolios. Stresstests, usually considered as “what-if” scenarios, are helpful to better understand the factors driving change in valuations and to derive potential mitigation measures toincrease resilience. When considering climate changerisks on invested assets, SCOR considers different scenarios and time horizons depending on the risk: transition
risks may occur in a relatively short time horizon whereas
physical damage may increase over time with increaseof temperature. In principle, the faster the transition, thehigher the transition risk but this should efficiently decrease
the risk of reaching the tipping point in global warming
and limit the damage of physical risks in a longer-termhorizon. Conversely, too slow a transition will limit potential “stranded assets”, but temperature is likely to rise far
above 2°C with possible tremendous impacts on frequency and magnitude of climate extreme events. The
worst scenario would be a late and disorderly transition
that comes too late to contain global warming and too
suddenly to allow for a progressive adaptation of business models.

tious scenario in which the economy is exposed neither tophysical risk nor to transition risk, and which therefore does
not give rise to any climate policy (excluding carbon taxes
already introduced in 2020). Two long-term scenarios are
based on the Below 2°C and Delayed Transition scenarios in Phase III of the NGFS, published in September
2022, however with the macroeconomic data updated
by the NIESR in February 2023. The updated data reflects
the effects of the war in Ukraine, notably in terms of inflation. The alternative short-term scenario covers 20232027 period and combines acute physical shocks

The graph from the Network for Greening the Financial
System below summarizes the various combinations.

Transition and physical risks
Scenario
providerHigh

NGFS SCENARIOS FRAMEWORK IN PHASE IV
Too little, too late

Disorderly

Fragmented
World

Transition risks

Transition risk

Physical risk

Below 2° scenario (EIA
B2DS) (Too late too
sudden)

IPCC 8.5 for fulldamages scenario(chronic and acute) andS&P’s “The heat is on”
report for weather shock(acute) scenario

Main
Global warming isassumptions contained below 2°C

DelayedTransition

The four sets of scenarios are compared below.

De Netherlands Bank Monetary Authority(DNB)
of Singapore (MAS)Transition risk
Transition& Physical risks
Policy shock/Orderly
Technology shock
Disorderly/Double shock/No additional policies
Confidence shock

Government policy:+USD 100 per tonneof CO2Net Zero
2050(1.5°C)

2025

2060/ 2100 for fulldamages scenarios
One-off for acute

Hot house world
Physical risks

Risk
assessment

SCOR’s journey
In 2018, SCOR produced its first heatmap of climate transition risk on its invested assets using a Moody’s study highlighting most vulnerable sectors. This first assessment has
been complemented in 2019 with a first attempt to quantify the potential decrease in invested assets valuation
using both the 2° investing initiative Storm Ahead study,
very close to the Inevitable Political Response proposedlate 2019 by the PRI, and the DNB stress test scenarios. In

In 2023, SCOR completed ACPR’s second voluntary climate stress test exercise. The exercise contains five scenarios: two short-term (Baseline and Alternative) and three
long-term (Baseline, Below 2°C and Delayed Transition).
The reference scenario for both short- and long-term projections is based on NIESR’s(3) Baseline scenario: a ficti-(1) Autorité de Contrôle Prudentiel et de Résolution(2) Monetary Authority of Singapore(3) National institute of economic and social research

SCOR

Positive
aspects

Limitations

Transition& Physical risks
Below 2°C
Delayed Transition
Baseline: short-termand long-term

Short term Alternative
Additional risks for
Additional risks for
6 climate-relevant sectors Energy and Utilities(Fossil Fuels, Utilities,
sectors
Heavy Industry, Building
Dynamic balance sheet& Construction,
for long-term scenarios:
Transportation,
projection of the income,
Agriculture)
incorporating insurance
Static balance sheet
technical flows
2025-2050,
Short-term scenarios:with time steps of 5 years 2022-2027 yearly

No interest rate
Credit migration

No interest rate
Credit migration

Equity prices per sector

Equity prices per sector

Equity prices per sector

Enables a better
understanding of sectoral
exposure to transition
risks and opportunities

Worldwide map on
Provides credit spreads
equities as well as
and rate impacts,
sovereign and corporate
as well as equity values
bonds
impactsHigh

2020, SCOR has participated in to ACPR’s(1) first pilot climate stress test. In 2022, SCOR performed MAS’s(2)Climate Risk Industry-Wide Stress Test.

Consumer and investor
confidence
2025

ACPR 2023

Long-term scenarios:
2022-2050 with time
steps of 5 years
Interest rates impacts
Interest rates per country Interest rates per country
Credit spreads per sector Credit spreads per sector Credit spreads per
and per country,
country and per maturity
additional credit spreads for energy and utilities
for climate relevant
sectors
sectors

Current
Policies

OrderlyLowTimehorizon

NDCs

Below
2°C

Positioning of scenarios is approximate, based on an assessment of physical and transition risks out to 2100.

52

Given the uncertainties around i) the climate scenarios, ii)
their consequences in terms of macro-economic variables
and iii) their inherent limitations, SCOR monitors the impacts
of previously performed scenarios and compares themwith recently developed ones.

Technology
development: the shareof renewable energy inthe energy mix doubles

Low
DemandLow

Climatescenario

2°ii(heatwaves and droughts followed by a flooding peril in
France) and a shock in global financial markets spread
after this extreme events.

Translation of the shock
High level view of
into full macro-economic potential credit migration
variables
No interest rates shock
No interest rates shock
Top-down approach
which does not allow forbest-in-class strategy

Only addresses
transition risk

Equity prices per sector
and per country
Prescribes all
macro-financial
parameters highly
Provides the parameters
for liabilities as wellWith the focus only
on ASEAN-5 countries

Equity prices per sector
and per country; Real
Estate shocks per country
Granular physical risk
assessments
Incorporates both
short-term and long-term
scenarios
With the focus on France

Migration of credit
ratings not analyzed

2023 Group sustainability report53

5. Sustainable investment activities

Results are not directly comparable among the simulations.
Significant research advances were done over the lastyears by climate scenarios providers with increasing
understanding of physical and transition risks and macro-financial impacts.
Time horizons
The four stress tests cover short-term to 2100 (2ii PhysicalRisk) projections.
Climate scenarios
Climate scenarios underpinning macro-economic variables in MAS and ACPR’s long-term scenarios can becompared as both are based on NGFS scenarios Phase
II and Phase III. The latest phase differs from previous version mainly by considering the national commitments
made at COP26 and the technological progress inrenewable energies. 2° investing initiative (2°ii) and the
DNB refer to keeping the global warming below 2
degrees, but the pathways and reference scenarios are
not aligned. 2°ii links it to a specific International Energy
Agency, the DNB relies more on a carbon price to derive
macro-economic variables.

Time horizon 2025

Over the last years, SCOR has developed a comprehensive framework to onboard sustainability-related matters in
its investment strategy. If climate change is more mature
and at the top of the agenda of main stakeholders, otherenvironmental topics have emerged, unveiling the global
picture of living in harmony with Nature. SCOR has
designed an ambitious roadmap and unfolds its sustainable investor’s journey. The table below summarizes thevoluntary targets and several studies on nature undertaken
by SCOR over last 4 years.

To account for the latest climate trends and policy commitments, inflation rise and geopolitical evolvement,
SCOR follows new developments from regulators andother institutions regarding climate stress scenarios withcare and interest.

Time horizon 2050

No timehorizonPhysical Acuterisk

Credit + Equities

Rates

CreditEquities

loss <1%loss <1%

N/A

DNB

2023 YE

loss <1%< 7% and offset
by liabilities

Transition and Physical risks combined
2021 YE

Time horizon
2060
Physical (fulldamage) risk

loss <1%

NatureResults and conclusion
The table below shows the comparison of the quantification under the three simulations: 2°ii, DNB and MAS as
ACPR results are still being reviewed by the regulator.
While the quantification may be challenged given the limitations already highlighted in this section, the exercise is still
helpful to stimulate discussions and enhance SCOR’s
understanding of the risk drivers of its invested assets.

Transition risk

2023 YE

54

Other limitations
Data is still a critical issue as the European regulation ontransparency is yet under implementation and investees
are still struggling to disclose meaningful and relevant information. A lot still needs to be developed to gather static
information where quantification of projections should rely
on forward-looking metrics.

Transition risk

2°ii

MAS

5.7. THE NATURE-CLIMATE
NEXUS

SCOR uses public tools and stress tests. The current levelof granularity provides sub-sector information on transition
climate-change impacts. The success of the transition to a
low carbon economy requires additional efforts than exiting highest emitting sub-sectors to invest in green activities.
As transition plays an important role to build a climate resilient economy, implementing a best-in-class strategy mustbe part of the solution which is incorrectly accounted for inthese simulations.

Macro-economic variables
Equity reflects a small share of allocated assets, hence
the risks impact in equity prices changes is negligible.
Due to congruency on assets and liabilities within thequotation currency, exchange rates impact can beneglected as well. While Interest Rates changes are themain parameter reflecting the health of the economy, one
has to keep in mind that for (re)insurers, the bulk of fixedincome assets are backing liabilities. Therefore, most of
the variations on assets are likely to be offset when running the same simulations on the liability side, modulo
assets / liabilities mismatch which is always closely monitored. Hence, even if the order of magnitude of rates

Portfolio
as ofchanges is significantly higher than for credit spreads,
SCOR focuses on credit impact when analyzing results
and no conclusion should be drawn from asset results
considered on a standalone basis.

CreditInterest Rates

CreditInterest Rates

loss <1%< 7% and offset
by liabilities

loss <2%< 10% and offset
by liabilities

SCOR

Regarding nature globally, SCOR objective is to address,
on a best effort basis, the five drivers of nature change as
outlined in the Recommendations of the Taskforce on
Nature-related Financial Disclosures (TNFD):- Climate change- Land/ freshwater/ ocean use change- Resource use/ replenishment- Pollution/ pollution removal- Invasive alien species introduction/ removal

2020-2021

2022

2023

SCOR study

Study of the ENCORE tool(visualize double materiality links
between economy and nature)TNFD pilot with our data provider
Iceberg Data Lab

Study the impact of nature loss onsovereign credit ratings

SCOR targets
and policy

Act 4 Nature targets

Corporate
engagement

Deforestation

SCOR NATURE JOURNEY

Joined the Finance for Biodiversity
Foundation to reverse Nature loss
by 2030
Collective engagement aboutbiodiversity with some investees

Collective engagement withcompanies

Race to Zero (RtZ) call for climate
action announcements fromprivate finance institutions before
COP26 – notably to reverse
Nature loss by 2030

Joined Nature Action 100

SCOR study

First study and portfolio screening
presented at the Group
Sustainability Committee andthe Sustainability Committee of
the Board of Directors in 2021

Portfolio screening according
to Global Canopy Framework

SCOR targets
and policy

Joined the PRI Sustainable
Commodities Practitioners’ groupto write a deforestation policy

Created a deforestation policy

Published the deforestation policy

Corporate
engagement

Collective Engagementwith investees

Collective engagementwith companies

PolicyadvocacySigned 3 letters of support to US
legislations aiming at curbing
imported deforestation

Signed Race to Zero financial
sector commitment letter on
eliminating commodity-driven
deforestation

2023 Group sustainability report55

5. Sustainable investment activities

2020-2021
Water

Plastics

2022

SCOR study2023

First study and portfolio screening

presented at the Group
Sustainability Committee and theSustainability Committee of
the Board of Directors in 2022

Corporate
engagementJ oined the CERES Valuing Water
Investor Working GroupSCOR study

First study and portfolio screening

 ollective engagement withC
companies

presented at the Group
Sustainability Committee and theSustainability Committee of theBoard of Directors in 2021

Nature-related transition risk
Short term
Medium termLong term
Risk management /SCOR mitigation action
impact assessment(below 2 years) (2 to 5 years)
Above 5 years
Within investments, this risk is mainly borne by sectors highly dependent on ecosystem services which may be hit by changes in regulation and policy,
legal precedent, technology or investor sentiment and consumer preferences. Risks may differ between investments in equities and in bonds as equity
prices may never recover whereas bonds may be redeemed at par at maturity.
For SCOR the risk is mainly on corporate bonds given the low appetite of the Group for investments in equities
Screening/scoringof the portfolio
and portfolio monitoring
Consumer staples

Implement a best-in-classstrategy and engage
companies to foster a transition
to more nature friendly practices.

Materials

Corporate
engagementJ oined the business coalition for a
global plastics treaty
 igned VBDO’s investor statementS
on plastic

Dependencies
and Impact
analysis

Consumer discretionary
Utilities
Industrials

Biodiversity footprint

EnergyCollective engagement withcompanies
Hazardous
Chemicals

Corporate
engagement

Collective engagement withchemicals company

Signed the engagement letterfrom IIHC to the 54 largest
chemical manufacturers ofhazardous chemicals.

Collective engagement withchemicals company

Divest from most controversial
issuers or invest in alternative
activities.

Set nature-related targets.
Limit exposures to the mostimpactful/dependent sectors
and divest from laggards to limit
market downside.

Joined Investor Initiative on

Hazardous Chemicals (IIHC)
launched in February 2023
Signed the latest engagement

letter from IIHC to chemical
manufacturers

Collective engagement withcompanies

SCOR NATURE-RELATED RISKS AND OPPORTUNITIESSCOR has performed a qualitative analysis of the resilience of the portfolio against nature-related transition risk andnature-related physical risk over the short term, the medium term and the long term.
Nature-related physical risk
Short term
Medium termLong term
Risk management /SCOR mitigation action
impact assessment(below 2 years) (2 to 5 years)
Above 5 years
Within investments, physical risk relates to exposures to short term, specific events that change the state of nature (acute) or to gradual changes
to the state of nature (chronic)
For SCOR the risk is mainly on corporate bonds given the low appetite of the Group for investments in equities
Divest from most controversial
issuers or invest in alternative
activities.
Consumer staples
Dependencies
analysis (acuteand chronic)

Screening/scoringof the portfolio
and portfolio monitoring

Materials
Consumer discretionary
Utilities

56

Implement a best-in-classstrategy and engage
companies to foster a transition
to more nature friendly practices.
Set nature-related targets.
Limit exposures to the mostdependent sectors and divest
from laggards to limit market
downside.

SCOR

2023 Group sustainability report57

6.
Turningknowledge
into impact andopportunities
6.1. SCOR Foundation

60

6.2. Supporting the digitalization of the economy 60
6.3. Sustainability leadership

58

SCOR

2023 Group sustainability report

6159

6. Turning knowledge into impact and opportunities

6.1. SCOR FOUNDATION
Embedded in its raison d’être, the Art & Science of Risk isat the heart of SCOR’s mission. As such, contribution toscientific research is key to understanding risks as thoroughly as possible, including risks related to human healthand wellbeing. The Group set up the SCOR Corporate
Foundation for Science to promote scientific research in2011. With a EUR 1.5 million endowment per year, theFoundation was funded by the SCOR Group with a totalof EUR 17.2 million in support until the end of 2023. Of thisamount, the Foundation devoted EUR 13.1 million to promoting scientific research.
The SCOR Corporate Foundation for Science lends its
support to various kinds of risk and (re)insurance-related
projects, including university chairs, research projects, conferences and publications. Support for research covers abroad range of social and economic areas: climate risks
and their insurability, risk modeling in general, Alzheimer’s
disease, pandemics, infectious diseases, their genetic
treatment, modeling of life expectancy and mortality,
meteorite risks, motor insurance throughout the world, pension funds, best practice risk management, predictability ofearthquakes, behavior following earthquakes and macroeconomic risks, especially economic and social inflationand monetary policies. Deliverables include scientificreports and studies as well as the organization of scientificconferences and webinars.
In 2023, the Foundation decided to finance a “Mortality
Research” chair within the “Center of Population
Dynamics” at the University of Southern Denmark. This
chair aims to study, at an international level, the influenceof multimorbidity in the causes of death and to develop, on
these bases, demographic models of mortality, in particular using artificial intelligence. The Foundation has alsodecided to finance three innovative projects dedicated to“Green innovation to fight climate change”, “Fairness in
predictive models: an application to insurance markets”
and “Relationships between competing sources of morbidity and the causes of early death, identified on the basisof genetic variables”.

For 2022-2026, the SCOR Corporate Foundation for
Science plans to focus its actions on world-class academic research in the following priority areas:• Global warming trends over the coming years,• Trends in earthquakes and volcanic eruptions,• The increase in reinsurance liability costs, particularly thecost of suffering,• The measurement of risk aversion and how it is evolving,• The relevance of scenarios and stress tests developed infinancial institutions, and• The long-term impact of the Covid-19 pandemic andlockdown.

SCOR and the SCOR Corporate Foundation for Science
also organize Actuarial Awards in Europe (France,
Germany, Italy, Spain & Portugal, Sweden, Switzerland
and the United Kingdom) and in Asia (Singapore). The
Group places great importance on the development of
actuarial science and each year awards prizes for thebest academic papers in this field.
The foundation proposes regular internal conferences for
SCOR’s employees, supporting their journey in better
understanding challenges linked to sustainability.

6.2. SUPPORTING
THE DIGITALIZATION
OF THE ECONOMY
The digitalization of the economy is a source of opportunities for the Group, given the related need for protection
and the contribution of new technologies in improving
access to insurance and reducing of the protection gap.
The use of new technologies is a dimension developed aspart of Forward 2026 strategic plan, including strategic
enablers (Capital Allocation and Capital Performance
Management, ALM, Retrocession), and the developmentof parametric reinsurance solutions as alternatives toindemnity mechanisms, in order to contribute to climatechange adaptation strategies, or to develop inclusive
insurance products to cover vulnerable populations.
In addition, SCOR leverages the available data to provide clients with superior data management, experience
analysis, advanced modeling and innovative dataservices.

FORWARD 2026 ENABLERS
SCOR data strategy aims at leveraging the implementation of a unique, Group- wide data platform as SCOR’s
single source of truth. In order to implement that vision, the

60

SCOR

Group will leverage strategic programs impacting a large
scope of data and business objects such as solutions to
optimize capital allocation and performance measurement, strengthen ALM and retrocession capabilities.
Additionally, as part of its transformation effort in the ESG
field, SCOR aims at building a robust data operating
model ensuring a better data governance and a largescale sharing of common data objects, securing accuracyof financial and non-financial reporting. In 2023, SCOR
has leveraged the data platform to automate its data collection process to report on its offices GHG emissions.

EXPERIENCE ANALYSISThe Group has a long tradition of providing experience
analysis services to its clients, powered by a strong risk expertise across all types of biometric and policyholder behaviorrisks. SCOR has developed a global experience analysis
platform (APEX), to standardize and simplify the productionof studies based on actuarial best practices. By leveraging
APEX, SCOR’s local market experts analyze clients’ portfolios to develop actionable insights that help them improvetheir business performance, working closely with SCOR’s
experts in distribution, medical underwriting and claims. The
research helps clients translate their experience into reliableassumptions for steering their business, while SCOR’s global
data pool gives them unique insights into the sales mix andrisk behavior by product, insurer or even country.

DATA ANALYTICS SERVICESSCOR helps clients unleash the value of data through theservices provided on its Data Analytics Solutions Platform(DASP), which enables its data scientists and actuaries todeliver technical solutions that are ready to use and easily
shareable. It facilitates the exchange of coding and knowledge between experts and uses the cloud to make its services directly available. From product design to thedelivery of technical solutions, SCOR’s Data Analytics
community is focused on producing high-quality, off-theshelf services that can be easily integrated into various
systems. SCOR’s Data Analytics community also delivers
artificial intelligence-based services that are ready to use
and fully adapted to SCOR’s clients’ needs.

CREATING VALUEFROM CONSUMER INSIGHTSSCOR Digital Solutions (formerly ReMark) – a SCOR subsidiary – is SCOR’s digital solutions provider, covering the fullconsumer journey and helping clients to understand andengage their consumers. It specializes in finding new ways
to create value for insurers, by engaging their audience andincreasing their sales through personalized, multi-channelmarketing campaigns, and tailored tech solutions. SCOR
Digital Solutions’s annual Global Consumer Study is a key
tool for improving its understanding of consumer attitudes

toward risk and other trends. It has one overarching aim: tohelp insurers empower consumers by creating sustainable,mutually beneficial and long-lasting relationships with thepeople they serve. The 2023 study was based on responses
from 12,563 consumers in 22 key insurance markets aroundthe world. This year’s study focused on Gen Zs andMillennials, especially the attitudes and opinions of young
people on data-sharing, mental health, insurance ­literacy &more, to pave the future of insurance.

6.3. SUSTAINABILITY
LEADERSHIP
Research on climate risk management, particularly on climate risk modeling techniques and climate risk transfer
mechanisms, is part of SCOR’s core expertise and contributes to a better understanding of and adaptation to climatechange challenges.
This institutional commitment to climate change adaptation isbacked at the highest level of the Group. SCOR’s CEO is amember of the Steering Committee of the Insurance
Development Forum, a partnership led by the reinsurance
industry supported by the United Nations, the World Bankand several other international bodies. Additionally, SCOR
is a member of the InsuResilience Global Partnership for
Climate and Disaster Risk Finance and Insurance Solutions,an initiative more specifically designed to provide insurance
solutions to the most economically vulnerable populations.

P&C ACTIVITIESThe natural catastrophe modeling teams within the Group’s
P&C business unit are working to factor the latest usable
scientific knowledge into the models they use. The natural
catastrophe modeling tools used to assess insurance risks
take account of climate risk both implicitly (e.g. claims
activity being used as the basis for calibrating models) and
explicitly (e.g. using current estimates of rising sea levels toassess the risk of coastal flooding rather than long-term
averages). As a result, current changes in the frequency
and severity of the natural risks that SCOR underwrites,
whether they are related to climate change, are considered in the pricing of contracts (see also Section 8.4 /P&C and L&H underwriting activities/ Catastrophe modeling and pricing).
Furthermore, SCOR is one of the earliest supporters of
OASIS, a not-for-profit organization funded by private
stakeholders developing an open-source risk modelingplatform designed to provide a better understanding of the
impact of climate change on extreme events. Leveraging
the latest scientific knowledge for modeling purposes, theGroup has implemented internal OASIS model for forest
fires in California.

2023 Group sustainability report61

LIFE & HEALTH ACTIVITIESOn the Life & Health side, a dedicated L&H working
group was created in 2020 to develop the L&H insurance industry’s position on climate change and its
impacts on the sector. Its purpose is to increase awareness, knowledge and understanding across the organization about the long-term impact, both direct andindirect, of climate change on human health and business. The group, comprising medical doctors, actuaries,
risk management professionals and others from all geographies, continues to dedicate time and expertise to
examine the future of morbidity and mortality risks causedby climate change.
In 2023, SCOR collaborated with the United Nations
Principles for Sustainable Insurance (PSI) group to produce a second report focused on L&H insurance.
SCOR’s position was represented by a member of theclimate change working group, providing the opportunity to contribute to the publication titled “Health is ourgreatest wealth: how life and health insurers can drive
better health outcomes and address the protection gap”.
The paper reveals how life and health insurers canaddress priority ESG risks related to the global protection gap and preventive healthcare models. The publication was shared publicly following a half-day event

62

where insurers, including a SCOR L&H regional CEO,discussed how to amplify the sustainability agenda­during the UN Decade of Action.
Leveraging the effort of the working group, SCOR continues to identify opportunities to share its climate change
expertise with society. In 2023, SCOR published thethird issue of the “Expert Views” papers that evaluate thefuture of climate change and its impact on human health,entitled “The relevance of climate change for life andhealth insurers “Part 3 - The Epidemiologist’s View”. It
focusses on infectious diseases, how they interact withclimate change and what this means for biometric risks.
The full series of publications address the impact of climate change specifically from an insurance perspective,
explaining which aspects are relevant for various typesof insurance covers and various regions of the world. In
particular, it identifies vulnerable sub-populations. Thisknowledge has also been made widely available during industry conferences, expert panel discussions, client
events, actuarial events and external publications.
As of 2024, the working group has explicitly expanded
its focus to cover sustainability in general, with a first focus
including antimicrobial resistance, biodiversity, andfemale health.

SCOR

2023 Group sustainability report63

7.
Sustainable
operations

64

SCOR

7.1. Measuring SCOR’s own emissions66

7.2. Setting targets67

7.3. Actions to further reduce the environmental
footprint

68

7.4. SCOR’s residual emissions – from offsetting
to removal

692023 Group sustainability report65

7. Sustainable operations

In 2023, as part of the Forward 2026 strategic plan, theGroup announced a new target to reach net-zero emissions on operations by 2030.
SCOR strives to limit the environmental impacts stemmingfrom the management of its operational processes, which
include the operation of the buildings it occupies, the vehicles it leases or owns, business travel, and office equipment supplies, among others. It thereby focuses both on
the reduction of greenhouse gas emissions and the preservation of biodiversity.

7.1. MEASURING SCOR’SOWN EMISSIONS
Since 2009, SCOR has reported on and monitored its
carbon emissions linked to the operations of the buildings
it occupies, its vehicle fleet, its business travels and, to alesser extent, office equipment supply (for paper only).
To obtain a more holistic overview of the Group’s carbon
footprint from operations, the reported scope wasenlarged in 2022. Both organizational (to cover 98.5% of
employees) and operational boundaries were extended
by the following additions to the reporting scope:

Scopes 1 and 2:

BREAKDOWN OF GHG EMISSIONS BY SOURCE 2023

• Inclusion of small office locations to cover all of the

9%3%

Downstream leased assets

offices and the majority of the Group’s employees;

Energies

10%3%• Inclusion of fugitive emissions.

Electricity

Capital goods (IT equipment)

2%

Heating and cooling7%

3%

Scope 3:

CommutePurchased goods
and services• Inclusion of emissions related to employee commuting;• Inclusion of emissions related to waste;• Inclusion of emissions related to purchased goods and

0%

Waste

services (external data centers, cloud, applications in
SAAS and water);63%• Inclusion of emissions related to capital goods (ITBusiness travelequipment);• Inclusion of leased assets.

Purchased goods and services includes paper, external data centers, cloud, applications in SAAS and water.

Additionally, 2019 was defined as the new reference
year, to be aligned with SCOR’s investment activities andthe market. The 2019 GHG emissions were then restatedto align with the extended scope defined above.

7.2. SETTING TARGETS

CARBON INTENSITY PER EMPLOYEEFOR OPERATIONS

In its ambition to reduce the environmental footprint related
to its operations, SCOR had set a target to reduce its
scope 1 and 2 greenhouse gas emissions related to operations per employee by 55% in 2023 compared to 2014.

2.5
2.0

30,00025,00020,00015,000

1.60

1.59

–64%
1.34

1.0
0.92

0.5
0

In 2023, SCOR announced a new objective to reach net
zero emissions on operations by 2030. Following therestatement of the baseline and to align with reporting
standards, SCOR has also moved its target from scopes 1
and 2 to also cover an extensive part of operations-­related
scope 3.

35,000

1.82
1.91

1.5

With an effective reduction per employee of 64% theGroup met this objective in 2023. Greenhouse gas emissions per employee amounted to 0.78 tCO2eq.

ANNUAL BREAKDOWN OF GHG EMISSIONS BY SCOPES

2.14

0.68

0.97

2014 2015 2016 2017 2018 2019 2020 2021 2022

0.78
2023

Carbon intensity (tCO2eq/employee for scopes 1 and 2)
2023 Target -55% (baseline 2014)

Thus, the Group set an interim target to reduce its carbon
intensity by 45% on scopes 1, 2 and 3 of operations by2025 compared to 2019.

10,0005,000
02019 Initial scope2019 Extended scope

2022

2023

CARBON INTENSITY PER EMPLOYEE FOR OPERATIONS
35,000

Scope 1

Scope 2

Scope 330,00031,281 t

12.00

9.80

10.00

25,000In 2023, SCOR reports 20,576 tCO2eq emissions for
the Group’s operations with an increase of 28% compared to 2022.
The notable difference in related greenhouse gas emissions between 2023 and 2022 is mainly attributable tothe increase in business travel (+85%), as first half of 2022
was still impacted by Covid-19.

66

However, 2023 Group’s emissions are 34% lower than
2019, due to a decrease in business travel (-38% vs 2019),
energies and electricity consumption (respectively -66%
and -30% vs 2019).

20,576 t

8.00
6.00

15,0005.53

10,000

4.00
2.00

5,000
0

2019 Extended scope
Scope 1

SCOR

5.39

20,0002023
Scope 22024
Scope 32023 Group sustainability report

0.00

Target for carbon intensity(tCo2eq/employee for scopes 1, 2, and 3)

67

7. Sustainable operations

7.3. ACTIONS TO FURTHER
REDUCE THE ENVIRONMENTAL
FOOTPRINT

For each category or source of emission an action plan
has been established to further reduce the environmental
footprint related to SCOR’s operations:

Buildings
With physical locations in approximately 30 countries, SCOR conducts its operations from office buildings that it either owns or rents.
The Group factors environmental considerations into its extension
or relocation projects. It opts for sustainable and eco-responsible
construction and is attentive to obtaining energy efficiency andenvironmental certifications, whether for design and construction or
for renovation, when relevant. These considerations may be subject
to a tradeoff with other criteria such as the location of the office or
its availability.
The Group also promotes eco-responsible operations by rolling out
environmental management systems where possible. In that sense,
the Group’s office buildings in Paris are certified under ISO 14001
and ISO 50001. Various other large office locations are certified
under similar certifications for environmental management (LEED,BREEAM, ISO…).
At the end of 2023, 60% of the Group’s employees falling within thescope of the certified environmental reporting process were covered by an environmental management system (63.9% in 2022)(1).

55%

covered by an EMS for end of 2025,
as per Act4nature commitments

Energy consumption
The energy consumption of SCOR’s buildings, including all
offices and internal data centers, resulted in greenhouse gas
emissions of 2,553 tCO2eq in 2023 (-19% vs 2022).
Around 70% of the energy consumed by our offices worldwide
is electricity.
SCOR favors purchasing electricity from renewable sources
whenever it is possible and available. In 2023, 65% of theGroup’s electricity consumption stemmed from renewablesources. SCOR’s objective is to reach at least 70% by 2025.
Amid a global energy crisis, SCOR has implemented a series
of initiatives to reduce energy consumption, such as limiting
heating and cooling in office space and internal data centers(without creating operating risks), reducing lighting at night
and weekends.
SCOR also encourages employees to adopt sustainable practices to reduce their individual energy consumption.
Lastly, the roll out of SCOR’s new workplace guidelines, with theimplementation of flex office across the Group, leads to a more
inclusive workplace, improves the wellbeing of employees, creates a streamlining of total office area and as a result, lowers
energy consumption.

70%

renewable energies by end of 2025,
as per Act4nature commitments

Mobility
SCOR promotes low emission transport for its employees by
various means, mostly by subsidizing public transport in the different office locations. In France, a free bicycle maintenance isoffered to employees commuting by bicycle. For those employees who are still dependent on commuting by car, electriccharging stations have been installed in various locations.
In various locations, SCOR also provides its employees withelectric bicycles for short-distance travel free of charge.
SCOR has also implemented in Paris a “package”, allowing
employees to benefit from an annual green mobility package
useable for public transport or the purchase of a bike.
Finally, SCOR limits the number of cars in its mobility park (-21%compared to 2022). No new car leases have been granted
in Paris and all renewals of existing leases are fully electric.

Business travel
Business travel accounts for 63% of the total emissions with
12,972 tCO2eq in 2023 and 29.7 million kilometers travelled.
As travel activity is the main source of carbon emissions related
to the Group’s operations, SCOR pays particular attention tosensitizing its employees to the environmental impacts of business travel and encourages them to consider alternatives tophysical trips, promoting solutions such as virtual meetings etc.
SCOR does no longer use the jet for travels.
In the booking tool, the carbon footprint of each travel has been
embedded to raise awareness of employees.
Also, regular CO2 emission’s reports are sent to each ComEx
member and Cost Center owner.
The Group’s travel policy promotes sustainable travelling. The
train’s share of the total kilometers travelled has alreadyincreased to 7% in 2023 from 4 % in 2019.

Consumables

Waste

Paper
SCOR encourages its employees to reduce the usage of paper. In
2023, paper accounted for 8 tonnes (-47% vs 2022). Many
offices have implemented a printing policy that includes reducing
the number of printers and installing a badge system to collect all
printed documents.
Moreover, 86% of the paper purchased comes from recycled orlabeled paper (vs 75% in 2019).
No single-use plastic charter
The Group strives to progressively reduce the single-use plastics
items in its offices. In 2023, 100% of SCOR’s offices and subsidiaries have signed a charter to remove, replace and reduce water anddrinking bottles, single use plastic cutlery, plastic cups etc.
The proper implementation of this charter is monitored on a regular basis.

Even if waste accounts for a very limited part of SCOR’s emissions (less than 1%), SCOR is committed to reducing and recycling waste as much as possible.
Among all the waste monitored, SCOR pays particular attention
to paper used and sent to recycling (office paper, archived
paper, newspapers and cardboard). In addition, SCOR recycles plastic, glass, electronic waste, batteries, CDs andpolystyrene.
The total waste disposed of in 2023 was 344 tonnes (-5% vs2022), of which 42% was recycled. This includes 100 tonnes ofrecycled paper.

100%of directly owned offices adopting a plastic-free charterby end 2025, as per Act4nature commitments

Sustainable sourcing

Employee awarenessAs a member of the United Nations Global Compact, SCOR
supports and applies, within the Group’s sphere of influence, thefundamental principles relating to human rights, working standards, the environment and the fight against corruption.
SCOR expects its suppliers and subcontractors to comply withall applicable laws and regulations and to behave responsiblyand ethically. Selected suppliers and subcontractors are presented with SCOR’s “Sustainable Development Charter” andthus, agree to uphold the ten principles of the United Nations
Global Compact.
This charter has been updated in 2023.

SCOR is now offering regularly “Climate Fresk” workshops tosensitize employees to climate change and good practices.

7.4. SCOR’S RESIDUAL
EMISSIONS – FROMOFFSETTING TO REMOVAL
Since 2019, SCOR has used carbon offset through forest
conservation projects to limit residual greenhouse gas
emissions from its operations. The conservation projects
are both certified under Verified Carbon Standard (VCS)
and the Climate, Community and Biodiversity Standards(CCB Standards). These carbon credits are not deductedfrom the reported greenhouse gas emissions, in line with
GHG emissions protocol.

(1) This reduction is mainly driven by the non-renewal of the certification for Lime Street (London) as the office will be soon reallocated in a BREEAM Outstanding certified building

68

SCOR

2023 Group sustainability report69

8.
Impacts, risks
and opportunities
identification andmanagement

70

SCOR

8.1. Identification and assessment of impact,risk and opportunities

72

8.2. Underwriting activities

74

8.3. Investment activities

76

8.4. Management of sustainability impacts, risks,and opportunities

90

8.5. Internal control environmentand risk management procedures

94

2023 Group sustainability report718. Impacts, risks and opportunities identification and management

8.1. IDENTIFICATION AND
ASSESSMENT OF IMPACT,RISK AND OPPORTUNITIESA ROBUST ERM FRAMEWORKSCOR conducts regular reviews of the risks that could havea material adverse effect on its activity, its financial situation, or its results (or its capacity to meet its objectives).
The Group has identified the following risk categories:• strategic risks;• underwriting risks related to the P&C and L&H
businesses;• market risks;• credit risks;• liquidity risks;• operational risks.
Reputational risk is considered as a consequence of serious mismanagement of any of the above risks leading to,for example, franchise damage, increased capital charge
from regulators, downgrade, and loss of business or fall inshare price. In addition, there are trends and risks that canhave an impact across all the above risk categories, suchas emerging risks and sustainability risks.
If the risks presented above were to occur, they could
potentially have a significant impact on SCOR’s business,present and future revenues, net income, cash flows, financial position, and potentially, share price.
The risks to which SCOR is exposed are identified andassessed through various enterprise risk management(ERM) mechanisms, applied to each risk in a relevant andappropriate manner. These include:• a risk information process, through a quarterly Group
Risk Dashboard;• a process for the monitoring of risk exposures comparedto risk tolerances;• an emerging risk process which is part of SCOR’s ERM

Framework and is linked to other risk management methods, such as the use of “footprint scenarios” (see next
section);• SCOR’s ORSA (Own Risk and Solvency Assessment),

which provides the SCOR SE Board and those of thelegal entities, the Group Executive Committee and senior management of legal entities, with forward-looking
information on SCOR’s risks and capital position; and• SCOR’s internal model, which is deeply embedded in
SCOR’s risk management system and contributes to theassessment of risks.

72

SCOR’s ERM framework helps to ensure that the risk profile is dynamically optimized while remaining aligned withthe risk appetite framework. The above mechanisms are
adapted to business units and legal entities when appropriate. Some mechanisms are only relevant at Group or
business unit level and are not implemented specifically at
the legal entity level, in line with materiality principles.
Underwriting, market, credit and operational risks aremeasured by SCOR using its internal model, for use under
Solvency II, while strategic and liquidity risks are, given
their nature, not modelled or are only implicitly modelledwithin the internal model. SCOR may also be exposed toemerging risks, which include new threats or constantly
changing current risks with a high degree of uncertainty(see next section).

EMERGING RISKS
A part of SCOR’s ERM framework, the Emerging Risk
Process identifies new and rapidly changing risks andassesses their impacts on SCOR’s business (P&C and Life
& Health underwriting) and investments. Assessments arealso made in relation to the impact of identified risks on theGroup’s operations and reputation.
As part of this process, SCOR has identified “Global
Climate Change” and “Deterioration of the Environment”,
which are two of eight “Trends” that are clearly linked to
Sustainability Risks. A number of emerging risks associatedwith these trends have been identified and assessed todate, including Emerging Infectious Diseases, Mis/
Disinformation, Biodiversity Loss, Plastics andMicroplastics, Air and Water Pollution, Climate Change
Litigation, Extreme Social Unrest, Permafrost Thawing,
Anti-Microbial Resistance, Shortage of Rare Materials
and Climate Engineering (see SCOR’s Emerging Risks
radar 2024 in this report for more details).
The findings related to the impact assessments of the most
topical or potentially impactful emerging risks are reported
quarterly to the local business unit, Group and Board Risk
Committees via SCOR’s local business units and Group
Risk Dashboards. For 2024, SCOR considers Artificial
Intelligence (AI) as an important emerging risk; on one
hand, advances in AI offer many opportunities to enable
greater operational efficiency (e.g. automating manualand currently time-consuming tasks). However, there arealso a number of potential risks, including, for more complex AI algorithms, a lack of transparency regarding thedecision-making process, and the potential for the misuseof these technologies, e.g., to commit fraud, to create andspread disinformation, or to facilitate the orchestration of
cyber-attacks. SCOR is also monitoring the impact of therecent and rapid uptake of weight-loss drugs, that have thepotential to have overall benefits for people’s longevity,
but also represent an emerging liability risk, due to certain
side-effects that can be experienced with the use of thesedrugs.
SCOR

SCOR’S EMERGING RISKS RADAR 2024
Global Climate Change

Endocrine
disruptors

Deterioration of the Environment

Climateengineering

Evolving Health Trends
Changing Demographics

Anti-microbial
resistance

Shifting Social andGeopolitical Landscapes
Emerging Technologies

Permafrost
thawing

Hyperconnectivity
New Business andFinance Models

Medicationabuse

Air pollution

Decliningland availability

Emerging
infectious
diseasesWater
pollution

ClimatechangelitigationLargecyber attack

MentalhealthMis/
Disin­formation

BlockchainEU
break-up

Potential impact for SCOR

New risk

Radiofrequency
fieldsExtremesocial unrest

Nanotechnology

Metaverse

Synthetic
biology

Weightloss drugs

Skillsshortage

Artificial
intelligence
Highly critical

Non-controlled
bio-experiments

Evolving
terrorism

SCOR’sMain Risks

Stranded
assetsShortageof rarematerials

Genetic
testing

Legal &
regulatory
uncertainty

Low critical

CriticalPlastics& micro plastics

Biodiversity
loss

Criticalinfrastructure
disruption

Likelihood of occurrencein the next 10 years
High
Medium
Low

Space
risks

• meet the expectations of SCOR’s main stakeholders,

SUSTAINABILITY MATERIALITYANALYSIS
The identification of significant sustainability impact, risks
and opportunities complements the regular ERM mechanisms used by the Group to assess its main risks andopportunities. It consists in an analysis of the main relevant
sustainability matters from both the financial and the impact
from various stakeholders’ perspective, implementing the“double materiality” approach. The concept of double
materiality covers both risks and opportunities of sustainability matters for SCOR’s business model (outside-in
dependencies or financial materiality) as well as thepotential impacts of SCOR’s activities on the environment
and people (inside-out impacts or impact materiality).
The sustainability materiality analysis is one of the key elements of SCOR’s sustainability ambition. It enables theassessment of the current risk landscape from different perspectives and addresses the concerns of several stakeholder groups: Its main objectives are summarized below:• identify and prioritize sustainability matters based on
stakeholders’ expectations and the business outlook to
set an adequate sustainability ambition for SCOR;

including investors, regulators and ESG rating agencies,
using the materiality matrix as a basis for non-financial
considerations;• identify the impact of SCOR’s business on stakeholders

and ecosystems, whether on internal ecosystem, its value
chain or more globally on environment or people.

APPROACH TO ASSESSINGSUSTAINABILITY IMPACTS,
DEPENDENCIES, RISKSAND OPPORTUNITIESThe approach used for assessing the double materiality
is based on interviews and surveys conducted with internal and external stakeholders, covering a broad range ofsustainability-related matters. The assessment followed
three phrases.

• Preparation: SCOR identified sustainability matters thatwere classified under the environmental, social and governance pillars as well as according to cross-cutting
issues (sustainability strategy, risk management and digital transformation) based on existing regulations, bestpractices and literature. SCOR selected stakeholders to2023 Group sustainability report738. Impacts, risks and opportunities identification and management

be interviewed and surveyed, both internal (employees
and senior executives) and external (clients, investors
and banks).

Climate change may also have an impact on the L&H
business across a much longer time horizon.

ASSESSMENT OF PHYSICAL CLIMATERISKS ON P&C BUSINESS• Dialogue: during the interviews and surveys, stakehold-ers were asked to prioritize and assess the materiality ofthe sustainability matters selected. Additionally, eachsustainability matter prioritized during the interviews andsurveys was attributed a zone of influence for its potential
impact: (i) impact on SCOR itself, (ii) impact on its value
chain, and (iii) impact worldwide. A group of internal
experts discussed and assessed SCOR’s impact on thesustainability matters identified.

Through its Treaty business, the Group participates in
improving the resilience of societies by offering capacities
for recovery after natural catastrophes and extreme events.
SCOR constantly improves its expertise to embed new
developments and most recent scientific knowledge into
its modeling capabilities.
After reviewing scientific literature to establish relevant
trends and signals that would impact SCOR’s global portfolio, SCOR designed scenarios to assess the potential
future impacts of climate change (using key common
assumptions to allow for comparability). Climate changeenhancements are then applied to a randomly selected
event from a conditioned catalogue of stochastic events,
allowing to measure and quantify the potential impact ofeach modified scenario on the overall model results. The
results from these scenario modifications are considered in
the ongoing pricing of business and are also reflected inunderwriting guidelines and SCOR’s overall strategy. The
performance of these scenarii is monitored and when newscientific evidence emerges, or Catastrophe events reveal
new insights, the analysis is refined.

• Communication: the findings and key takeaways werecommunicated to internal stakeholders and reviewed by
the Group Sustainability Committee. The results of the­sustainability risk assessment were then discussed and­validated by the Board of Directors following the recommendation of the Sustainability Committee.

8.2. UNDERWRITINGACTIVITIESClimate risk is at the heart of SCOR’s P&C business, and
the Group has developed a wealth of experience andexpertise in assessing, modeling, and pricing climate-­
related physical risks. Climate change has been identified
by SCOR as an emerging risk for years and it has also
been highlighted as one of the most material sustainability
matters in the materiality analysis conducted in 2022.
Climate change may impact P&C business via variouslines of business in different time horizons, through physicalrisks, transition risks and litigation risks.

Leveraging upon this framework, SCOR has conducted an
extensive scenario-based study to quantify the impact ofclimate change on SCOR’s risk profiles and those of its
clients. The aims were to assess the impacts of physicalclimate risks that are most relevant for SCOR’s Property
and Agricultural business lines over a 5-10-year time horizon. Its results were presented internally to SCOR’s Boardof Directors and are progressively shared externally

PHYSICAL CLIMATE RISK – IMPACTS FOR P&C
Our modelingexpertise enables us
to form a SCOR
view of risk for all
cat models, setting us
apart from mostglobal cat reinsurers

SCOR constantly
updates its Cat
models to reﬂect
loss experience /new datapoints,
as well as forwardlooking signals(eg climate change)

5

Monitor performanceand scientiﬁc development

4

Reviewed scientiﬁc literature to establish relevant trends
and signals that would impact SCOR’s global portfolio

1

Scientiﬁcreview

Designed scenarios to assess potential future impacts ofclimate change• Used key common assumptions (time,temperature,
exposure) to allow for comparability

2

Incorporate
in decision-making

Designscenarios

3

Applied climate change enhancements (adjusting both
frequency and severity) to a randomly selected eventfrom a conditioned catalogue of stochastic events, allowing
to measure and quantify the impact of each scenario
Incorporated scenarios to reﬂect on pricing and inﬂuence
underwriting guidelines and global strategy
As new scientiﬁc evidence emerges and cat events
reveal new insights about our changing climate,
we reﬁne our analysis

Implement
scenarios

Through its climate change study framework, SCOR P&C has factored-in forward looking signals into our assessment of Cat

74

SCOR

through a series of five technical newsletters entitled “modeling climate change for the (re)insurance industry”. The
first newsletter was published in November 2021 andserves as a practitioner’s guide to extreme event scenario
analysis. The second one was published in March 2022
and deals with the impacts of climate change on agricultural (re)insurance and in particular, crop insurance in India
and Brazil. The third newsletter was published in January2023 and explored the impact of European windstorm risk
in a warming world.

In order to submit all projects to a more rigorous selection
process, SCOR Business Solutions has adopted an internal assessment procedure for environmental, social andgovernance (ESG) criteria for operations closely linked tocoal, starting with the energy most at risk in terms of business perspective, reputation for SCOR, and potential
negative impact on the environment. A specific scoring
grid has been developed for each activity subject to thisassessment:

SCOR has also been actively involved in the work of the
Geneva Association on Climate Change risk assessment.
The Group has participated in to a series of 3 research
reports, addressing the methodologies (February 2021),
regulatory approaches (June 2021) and decision-making processes (September 2022) associated with the risk
assessment of climate change for the insurance industry.
Together these reports represent a significant contribution
towards understanding, anticipating and adapting to theconsequences of climate change and its subsequent
impacts on the risk landscape. SCOR is part of a working
group with the Geneva Association on Climate Tech andhas contributed to a first paper (January 2024) on“Climate Tech for Industrial Decarbonization: what rolefor insurers?”.

centage of company revenue and has an absolute value
in terms of thermal coal produced each year. Other criteria such as coal quality, coal mining trends, compliance with industry standards and ESG rating are also
taken into account.

TRANSITION RISK AND
P&C BUSINESS: INTEGRATINGENVIRONMENTAL ISSUES INTOSCOR BUSINESS SOLUTIONSAND REINSURANCE TREATIESAs a global (re)insurer, SCOR is exposed to the risks linked
to the transition to a low carbon economy. The shift of its
clients’ and insureds’ business models may impact its own
business and the Group has already taken mitigation
actions to monitor and address those risks in its P&C single
risk activities.
When claiming to become Net Zero by 2050, SCOR
aims to accompany the global shift of the economy to amore sustainable world, to protect its own business modeland take advantage of opportunities stemming from therisks of tomorrow. Selecting clients based on environmental, social and governance performance, anticipating theshift from fossil to low carbon energies, and reallocating
capacities toward new risks form part of SCOR’s strategy
to address the transition.
Fossil energies have been identified as one of the mostmaterial risks for single risks business lines. The Group hastaken measures on coal since 2015 and regularly updates
its analysis to other fossil energies, paying specific attention to non-conventional fossil energies. These measures
aim at addressing the double lenses of materiality, as away to better manage SCOR’s business and to limit thenegative impacts of its business on the environment.

• Coal extraction: the thresholds are expressed as a per-• Electricity generation: the threshold is expressed as apercentage of GWh generated from the use of thermalcoal. Other criteria are also examined, such as the technology used, type of coal, ESG rating and the purpose
and location of the plant in question.

• Coal-fired power plants: SCOR decided to phase out
from coal-fired power plants without capture and storage of CO2 emissions by 2030 in OECD countries andby 2040 for the rest of the world. This commitment, which
includes SCOR’s portfolio of reinsurance treaties, beganwith the strengthening of SCOR’s underwriting guidelines in 2022 to screen for all reinsurance treaties with acoal-related premium above 10%.

Lastly, drawing on its experience in sustainable investments, SCOR is testing various techniques designed toassess the overall ESG quality of the business portfolio(e.g. by licensing third-party ESG data services such as
ISS and S&P).

ASSESSMENT OF PHYSICAL
CLIMATE RISKS ON LIFE
& HEALTH BUSINESSSCOR is continuously improving its approach for assessing
the potential impacts of climate change on its Life and
Health businesses. This includes a close monitoring of relevant literature especially in the medical and actuarial
spaces, in addition to insurance industry risk management
bodies such as the CRO Forum, public health authorities
such as the Centers for Disease Control and Prevention(CDC), international entities such as the World HealthOrganization and from other players in the life and healthinsurance sector.
Based on the current body of knowledge, out of thevarious climate change-driven impacts, four stand out
as relevant for SCOR: extreme heat, air pollution, infectious diseases, and mental health. Other impacts, suchas NatCats and food and water security, seem less relevant for the L&H insurance. Transition risk, migration,

2023 Group sustainability report75

8. Impacts, risks and opportunities identification and management

geopolitical risk, biodiversity loss and sea-level rise areacting very indirectly, over longer time horizons, and are
difficult to attribute.

highest number of heat days. With increased incidences of extreme heat and heat waves over time,
various adaptation measures are expected to betaken such as adjusting outdoor behavior, installing
more air conditioning, and making cities and homes
more heat-resilient. Humans can also biophysically
adapt and have the option to migrate to less impacted
parts of the country. At this step in the scenario, SCOR
projected the expected number of additional deathsin the U.S. population caused by the higher future
number of hot days under the adverse RCP 8.5 scenario over a period of four decades, splitting theresults by region, age, and gender. Extreme temperatures increase heat-related illness and mortality risk,
especially for vulnerable groups such as older adults,
infants and young children, pregnant women, lower
socioeconomic classes, and outdoor workers. For
example, death rates for age groups over 65 years
old were observed to be approximately six times
higher than that of the general population in the past,and non-Hispanic Blacks were twice as likely to diefrom heat. The fact that SCOR’s portfolio has a lower-than-average exposure to these parts of the population was considered, when applying the future
additional heat-related mortality rates to the projectedclaims. The calibration of this factor will always becompany dependent and subject to expert judgement. Indications can be taken for instance from thedifferent observed mortality between the general andthe insured population during the Covid-19 pandemic. Based on the outcome of this study, SCOR wasin a position to estimate its exposure to climate change
driven additional U.S. heat mortality under an adverse
scenario and over a time horizon of several decades.
This allows the management to assess the related
exposure and to take suitable actions.

Generally, the relevance of climate change impacts for
insurance depends strongly on the type of product underconsideration (e.g., infectious diseases are more of anissue for health covers and less so for mortality covers), on
the geographic region (e.g., air pollution is a very heterogeneous trend across the world), and on the sub-population (e.g. there is often a higher risk for very young and forolder age groups).
In addition, the quality of local healthcare systems is a fundamental factor determining how physical climate risks
affect people.
B uilding adverse scenarios:
the example of U.S. heat
In its “Expert views” papers mentioned in Section 6.3– Sustainability leadership, SCOR addresses theimpact of climate change on life and health insurance
by building its own adverse scenario, focusing on theimpacts of extreme heat in the U.S. This scenario was
discussed and assessed by with internal actuarial,
medical and risk management experts across SCOR.
It reflects SCOR’s significant engagement in the U.S.
life insurance market and the fact that, among the various climate change-driven perils, extreme heat is oneof the most relevant for the insured population in the
U.S. SCOR’s experts chose an approach against
using the current baseline of around 600-1,300 officially recorded heat-related deaths in the U.S. per
year as a starting point for the scenario. Instead, theylooked to modify the general mortality with a suitablefactor that would reflect indirect causations as well.
Beyond aggravating cardiovascular and pulmonary
diseases, there is also, for instance, a clear relationshipbetween increased temperatures and suicide numbers. Searching in the medical literature yielded estimates on the relative increase in daily mortality during
heat waves as a function of temperature increase forvarious regions of the U.S. Building on the IPCC scenario “RCP 8.5”, which is a highly adverse future
development, SCOR projected the number of additional hot days per U.S. region until 2060. Before
applying the additional heat-related mortality burden
to the projected U.S. population, SCOR modified theimpact to allow for adaptation of the population overtime. This was driven by the insight that heat is a relative
concept, and that the historically hot regions of the
U.S. are being observed to be more resilient to heatwaves compared to other less heated regions, i.e.,
heat-related mortality risk is higher in the Northeast
and Midwest than in the South, yet the South has the76

8.3. INVESTMENT ACTIVITIESTOOLS AND PROCESSES
For the investment portfolio, SCOR has developed arobust risk management toolkit to address both financial
and non-financial risks as well as double materiality.
Depending on data availability and methodologies
maturity, the Group uses different approaches. Some are
qualitative, others are more quantitative. As maturity
evolves and methodologies become more robust, theGroup improves its awareness and understanding of sustainability issues and increases internal expertise.
Partnering with external data providers and consulting
firms speeds up the journey from awareness to under-

SCOR

standing and decision making. As SCOR continuously
challenges itself to explore unknown territory, it often starts
with exploratory and very preliminary results that may not
be robust enough to take sound investment decisions.
However, it helps the Group fine-tune its approach andbetter anticipate next challenges.

to amend the Sustainability Policy and drill it down into theinvestment strategy. The transition from experimental tousable information smoothens with experience and comparison of results under different scenarios.

Models and simulations

As for the P&C business, footprinting is an attempt to assessthe “inside out” impact of investments. It can be also considered as a preliminary assessment of future risks as negative impacts may in turn harm the portfolio in a longer time
horizon.

Two main quantitative tools are used to assess climate-related risks.

• Nat Cat modeling tools: the natural catastrophe mode-ling tool is SCOR’s proprietary tool developed internallyfor pricing natural catastrophe business. Based on scenarios validated by the Group’s modeling teams, thismodel estimates potential losses from natural catastrophes. It enables to calculate damage rates which provide estimates of the potential losses physical assets may
suffer in the event of different perils such as Japan earthquakes, Europe wind, US hurricanes, etc. Intensity andfrequency of perils are provided by zip codes, enablinga granular assessment of the risks borne by each physical asset of the portfolio.

• CRREM: the Carbon Risk Real Estate Monitor is a tool

using science-based decarbonization pathwaysaligned with the Paris Agreement to measure the (mis)alignment of direct real estate investments with 2°C and
1.5°C pathways. It enables to assess the risk of writedowns due to change in market regulations and consumer behavior depending on current levels of
consumption linked to national determined contributions.
It fits quite well with SCOR’s real estate investment portfolio mainly located in France.

Scenario / stress testing: for liquid and listed securities,
usually government and corporate bonds as well as equities, stress tests have been developed based on IPCC or
IEA climate scenarios. They intend to translate the consequence of “temperature scenarios” into macro-economic
variables, enabling to project the value of investment portfolios in a certain time-horizon under certain rates, credit
spreads and equity level assumptions. The higher thetemperature scenario, the higher the physical risk. The
lower the temperature scenario, the higher the transition
risk. SCOR recognizes the limitation of the approach as
the superposition of assumptions (climate scenarios,
NDCs realization, macro-economic consequences,
expected positioning of the portfolio in the future, mitigation actions) may limit conclusions. However, SCOR sees
a lot of benefits in running those scenarios. It raises awareness internally at every level of the company from Group
Sustainability teams to Executive and Board Committees.
It fosters fruitful discussions on the level of maturity anddemonstrates constant improvement and involvement on
the topic. It fastens processes when data and methodologies become robust enough to start and use the results

Footprinting• Carbon footprint: Despite a lot of attempts to foster trans-parency and comparability, carbon footprinting is acomplex exercise as it relies on a large amount of data,
a lot of which being either not available or not robust.
When related to past information on GHG emissions,data may be criticized for being backward looking.
When trying to assess forward looking footprinting as for
implicit temperature rise, data may be based on assumptions of company’s future behavior or pathway, with all
the surrounding uncertainties. There is no ideal metric nor
solution, but this should not refrain from acting to betteralign the investment portfolio.

• Combining both carbon footprint and implicit tempera-ture rise provides an indication on how a company isengaged in its transition to a low carbon economy andhow it delivers on its own targets. Tracking both backward and forward-looking information helps select bestin class companies and provides a benchmark to regularly reassess their progress.

• Biodiversity footprint: Assessing the impact of investmentson biodiversity requires natural capital indicators andmeaningful methodologies. Several approaches tomeasure impacts and dependencies on ecosystem services and biodiversity are being developed. For the time
being, no standard has emerged because of the complexity of the topic: dependencies on nature are not thesame for different sectors and hence for different companies. Moreover, each ecosystem is sensitive to differentpressures.

Portfolio screening
Portfolio screening is useful as a first attempt to assessmateriality of a nascent topic. The Group usually uses it
on a top-down basis, isolating sectors that may be at risk
for a specific sustainability topic. Such analysis enables
to assess how much of the portfolio may be at risk. It
needs to be complemented by a bottom-up approachas non-financial risks may be mitigated at company
level. Such an approach has been used in the past whentrying to assess how much of the corporate bonds andequity portfolio could be exposed to carbon pricing
transition risk. It was tested again in 2023 when trying to2023 Group sustainability report778. Impacts, risks and opportunities identification and management

assess the materiality of several risks within SCOR’s
investment portfolio: deforestation, water, plastic pollution and social issues.
European Union (EU) Taxonomy: As a member of theTechnical Expert Group on Sustainable Finance, SCOR
has participated in the design of the EU taxonomy regulation and considers the value of the screening criteria.
Activities falling into the taxonomy are likely to be lessexposed to environmental risks and the “Do No Significant
Harm” factor ensures minimum safeguards that addressing
one environmental objective is compatible with the protection of environment as a whole. Applying the EU taxonomy
to investment portfolios provides a robust assessment of theopportunities provided by the transition to a sustainableeconomic model.
ESG rating and controversies: Sustainability encompasses
a lot of aspects and climate change is only one broad
topic among others that need to be considered. SCOR
relies on data providers for ESG rating on most liquid asset
classes. It provides additional information on the potential
adverse impact of its investments. Controversies complement individual screening and contribute to a more robust
monitoring of positions within the portfolio. It can also support decisions to ban a specific issuer.
The integration of ESG criteria is measured primarily byassessing the quality of the asset portfolio. Given theextremely high level of diversification of its investments, theGroup works with the independent, non-financial ratings
agency ISS to assess its portfolio’s standard instruments.
The agency assesses mainly government bonds, corporate bonds and listed equities. For debt instruments, particularly infrastructure and real estate debt, the Group relieson the expertise of its subsidiary SCOR Investment Partners,a recognized leader in the European debt instrument management industry. Issuers with the lowest ratings may be ona watchlist, and investment managers may be asked toprovide rationale for selecting or keeping the position.
SCOR does not apply systematic exclusions based only
on ESG rating but favors a pragmatic approach. The
Group aims to reconcile risk control with profitability andsolvency targets. Like all reinsurers operating in multiple
jurisdictions, SCOR is subject to multiple regulatory andbusiness constraints. The main growth drivers are in Asia,
where national law often requires that assets be owned
and held locally. In those locations, to optimize its capital
allocation, the Group focuses primarily on its core businessand often refrains from allocating capital to market risks.
Investments in those countries are strictly designed to backliabilities and address ALM constraints. Consequently, thebulk of the portfolio is invested in government bonds in theriskiest countries. This asset class has been growing steadily in line with the expansion of SCOR’s Asian business. At
the same time, the Group is mindful of any local initiatives,
especially on sovereign green bonds.

78

Sustainability is still evolving and there is no one size fits for
all types of assessment. Assessing and managing sustainability risk is a combination of those different tools andmethodologies and the selection of the most relevant risk
/ impact assessment approach depends on maturity andmateriality. There is not one single holistic way of tacklingsustainability within investment and the multi-dimensions ofsustainability deserve agility, reactivity, and adaptability.
As the robustness of tools increases and their understanding allows for more reliance on the output, they provide
better material for internal discussions, raising awareness,risk management and investment decision support.

ASSESSING COMPANIES’
TRANSITION PATHWAYS
In 2021, SCOR decided to study the transition plans of its
portfolio companies to understand the existing gap
between its decarbonization commitments and portfolio
expected trajectory. Two sources were used: commitments
to the SBTi (Science Based Targets initiative, that assesses
GHG emissions reduction targets of voluntary companies
against science-based pathways) and grades in Climate
Action 100+ (CA 100+) Net Zero Benchmark (NZB). The
NZB helps to compare the credibility of transition commitments from the world’s largest corporate GHG emitters.
The results of this study had notably helped to update
SCOR Sustainability policy on upstream oil & gas. In particular, the NZB results were used to determine which companies had to be prioritized for engagement, and to focus
on the most pressing topics (sub-indicators 1 to 5 on
decarbonization) with the engaged companies.
SCOR updated this study in November 2023 for the same
purposes on the fixed income and equity sub-portfolio(80% of total investment portfolio).

SBTi COMMITMENTS PER CATEGORY
SBTi 2022

SBTi 2023
33%

48%

12%

SBTi - Near-term
committed

SBTi - Near-term
1.5°C target set

7%

SBTi - Near-termwell-below 2°C target set

27%

55%

SBTi - Near-term
committed

SBTi - Near-term
1.5°C target set

14%

SBTi - Near-term
2°C target set

4%

SBTi - Near-termwell-below 2°C target set

SBTi - Near-term
2°C target set

NZB ASSESSMENT PER INDICATOR
100%
90%
80%
70%
60%
50%
40%
30%
20%

SBTi results
For this sub-portfolio, SBTi coverage from 2022 to 2023
has increased from 29% to 32%. The SBTi targets haveincreased in ambition: share of 1.5°C aligned targets
increased from 48% to 55%.

CA 100+ NZB results
The share of companies studied in the NZB reduced from
9% to 7% comparing to last year, some companies fell outof scope due to the CA 100+ list changes in 2023. For
indicators 1, 2 and 10, the performances displayed in thechart below are better in 2023 than in 2022, but like in2022, two criteria receive the lowest grades: the CAPEX
allocation (indicator 6) and the short-term decarbonization target (indicator 4). 2023 is the first time that indicator
9: Just Transition grade has been provided.

SCOR

10%
0%

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

2021 2022 2023

1. Net-zero
GHG Emissions
by 2050(or sooner)
ambition

2. Long-term(2036-2050)
GHG reduction
target(s)3. Medium-term(2026-2035)
GHG reduction
target(s)4. Short-term(up to 2025)
GHG reduction
target(s)5. Decarbonisation
Strategy(Target Delivery)

6. Capital
Alignment

7. Climate
PolicyEngagement

8. Climate
Governance

9. Just Transition

10. TCFD
Disclosure

No

Partial2023 Group sustainability report

Yes

79

8. Impacts, risks and opportunities identification and management

SBTi and CA 100+ NZB results per sector

For SBTi, sector coverage is different because participation in the SBTi is voluntary and indicates company’s
strategy to decarbonize. Overall, increased participation to the SBTi is visible for all sectors, except for energy(new 2022 SBTi guidelines introduced more strict
expectations for oil & gas companies, therefore excluding companies that previously had committed andcouldn’t meet the new criteria), and utilities (sector
bucket decreased).

As in 2022, the results vary widely depending on the­sector. The distribution trend has not evolved much.
As CA 100+ NZB focuses on the largest emitters, the carbon intensive sectors of SCOR portfolio are the most covered. Because of SCOR’s continuous divestment from fossil
fuels, the coverage of the energy sector by CA 100+
has fallen compared to 2022.

BREAKDOWN BY COUNTRYGRANULARITY IN THE MODELING TOOLES

1%County52%
IT

Postcode3%

Country

DE
FR

NL
PL

Consumer, Cyclical

71%

45%

31%

70%

42%

34%

Consumer, Non-cyclical

69%

21%

21%

82%

13%

13%

Communications

62%

0%

0%

80%

0%

0%

Basic Materials

49%

27%

15%

48%

20%

11%

Industrial

47%

26%

3%

49%

23%

3%

Utilities

43%

36%

30%

25%

19%

10%

Technology

29%

0%

0%

56%

0%

0%

Financial

24%

0%

0%

24%

0%

0%

Energy

3%

57%

0%

1%

19%

0%

Total

29%

9%

6%

32%

7%

5%

These results have been used to set a 2030 decarbonization target for the corporate bonds and equity sub-portfolio and to update the Sustainability policy on upstream oil& gas.
Increased participation to the SBTi is positive as it indicatesan intent to decarbonize activities in line with science-based trajectories. However, more progress needs
to be accomplished so that SCOR’s fixed income andequity sub-portfolio can improve its alignment to the trajectory of the Paris agreement. This aim has driven SCOR
2023 engagement efforts, within collaborative initiatives
such as CA 100+ or Net Zero Engagement Initiative. Thislatter initiative was launched by IIGCC in 2023 in order toaddress the transition plan of the corporate companies notcovered in CA 100+ list but still important contributors of
GHG emissions.

ASSESSING ACUTE RISKON PHYSICAL ASSETSSCOR uses internal modeling capabilities to assess“acute” physical risks which could affect its portfolio of realestate debt, infrastructure debt and direct real estate
investments.
The “acute” physical risks are assessed using SCOR’s internal model for simulating natural catastrophes. Based on
scenarios validated by the Group’s modeling teams, thismodel estimates potential losses from natural catastrophes.
Depending on the geographical location of the investments, the model calculates damage rates, which provide
estimates of the potential losses that these investments may
suffer in the event of a natural catastrophe. The modelingis run at the highest level of granularity available to ensure
maximum accuracy of the results. 52 % of the portfolio
feeds into the model at postcode level.

44%

IE

City

LU
DK
Offshore

0%High Res
Location
block

0%StreetAddress

Given the portfolio profile, SCOR has calculated the risk
exposure of storms in Europe, its most significant climatic
event. To date, the metric remains indicative: one limitationis that the climate models underpinning SCOR’s modellingare based on various assumptions. The path of climatechange will depend on the actions taken by governments
and their willingness to deliver on their National
Determined Contributions. Another limitation is the insurance coverage of physical assets, which works as a mitigant of potential losses and is not taken into account by

SCOR’s model. The results are shown in the graphs below.
As in previous years, the physical asset portfolio benefits
from its geographical location, mainly in Paris for direct realestate investment and in Europe for real estate and infrastructure debt investments. Its resilience to the risk ofextreme climate events is reinforced by a very selective
investment process. Thus, the loss (around EUR 1.5 million)
remains very modest compared with the size of the investments (around EUR 2 billion).

EURO WIND: BREAKDOWN BY ASSET CLASSEURO WIND: BREAKDOWN BY COUNTRY

1.6
1.4
1.2
1.0

1.4
1.2
1.0
0.8

0.8

0.6

0.6

0.4

0.4

0.2

0.2

0.0

0.0

Infrastructure Real estate
debt
debt

All physicalassetsNet

DirectReal Estate

2023

2023

80

SCOR

rm
an
y
Lu
xe
m
bo
ur
g
De
nm
ar
k
Ire
la
nd

2023
% SBTi and CA 100+

UK

2023
% CA 100+

Ge2023% SBTi

ce
he
rla
nd
s

2022
% SBTi and CA 100+

Fr
an

2022
% CA 100+(EUR Million)

2022% SBTi(EUR Million)

SCOR sector

2023 Group sustainability report818. Impacts, risks and opportunities identification and management

ASSESSING PHYSICAL CHRONIC RISKON DIRECT REAL ESTATE INVESTMENTPORTFOLIO WITH BAT-ADAPT

acteristics (vulnerability) of the building, and accounts
for 3 climate scenarios that are projected for 50 years
from now on.

In complement to SCOR’s internal models used to assess“acute” physical risks, “chronical” physical risks on direct
real estate investments were assessed with Bat-ADAPT, atool developed by Green Building Observatory.

The analysis shows that the direct real estate investment
portfolio is mostly vulnerable to heat and droughts throughits geographical location component. Three main improvements are planned for the future: expand the analysis onother physical asset classes, collect technical characteristics to assess vulnerability and cross analysis parts, andexpand the number of climate hazards studied with the
future developments of the tool.

At this stage, Bat-ADAPT allows to assess the building
resilience towards four climate hazards: heat, droughts,
cold and rainfall & floods. The model is based on both
geographical location (exposition) and technical char-

DIRECT REAL ESTATE INVESTMENT PORTFOLIO’S EXPOSURE PER LEVEL OF RISK

90%
80%

ENCORE definitions“Natural capital assets are specific elements within
nature that provide the goods and services that the economy depends on”, such as species or water.

“Drivers of environmental change are natural or
man-made pressures that can affect natural capital assets
and their ability to continue providing goods and services”,
such as overhunting or water abstraction.

“Ecosystem services are the links between natureand business. Each of these services represent a benefit
that nature provides to enable or facilitate business­production processes”, such as pollination or water flow
maintenance.

70%
60%
50%
40%
30%
20%
10%
Heat

Droughts

Very Low

IMPACTS AND DEPENDENCIESON NATURE: ENCORE
As stated in Section 5.7, SCOR has started to embed
Nature and biodiversity in its investment strategy. Most of
the topics are still nascent but preliminary analyses are
conducted to constantly stay at the forefront of new sustainable finance development. Different themes are being
considered, summarized in the following graph designedby the Task Force on Nature-related Financial Disclosures:

82

ENCORE was developed by the Natural Capital Finance
Alliance (NCFA) and the UN Environment Programme
World Conservation Monitoring Centre (UNEP-WCMC)
to visualize the double materiality link between economic
sectors and biodiversity.

“A single impact driver may be associated with multiple
impacts. Impacts are changes in the quantity or quality ofnatural capital that occurs because of an impact driver”,
such as noise disturbances or water pollutants.

100%

0%

ENCORE

Cold

Low

MediumHigh

Rainfall and floods

Very HighIt sets the scene to present the direction of travel and introduces to the various analyses that are being disclosed in
the following sections.
Nature’s four realms (Land, Ocean, Freshwater,
Atmosphere) are interconnected with each other and withsociety.

“Each sector’s potential dependency on ecosystem services and potential impacts on natural capital assets wereassessed (…) to determine materiality”. These appreciations were transformed (5 notches from Very High to Very
Low to grades from 5 to 1).
THE PRINCIPLE OF DOUBLE MATERIALITY

In 2021 and 2022, SCOR used ENCORE to identify themost dependent and impactful sectors as well as the natural capital assets most important for our portfolio. Those
results helped to prioritize studies on deforestation, water,
chemicals, and plastics.
ENCORE uses GICS sectors, like the TNFD. Hence, leveraging the ENCORE analysis, SCOR can calculate that
it is exposed in 2023 to 3.3b EUR of sectors considered tohave material nature-related dependencies and impacts
according to the TNFD (core metric 1 recommended tofinancial institutions in the September 2023 guidance). It
represents 15% of our total investment portfolio.
In 2023, the study was reiterated, with a focus on ecosystem services dependencies. The coverage of the investment portfolio is the same as last year: 64% of total
investment value.
ENCORE has data regarding provisioning and regulating
ecosystem services. A provisioning service is any type of
benefit to people that can be extracted from nature. Alongwith food, other types of provisioning services include
drinking water, timber, wood fuel, natural gas, oils, plantsthat can be made into clothes and other materials, andmedicinal benefits.
A regulating service is the benefit provided by ecosystemprocesses that moderate natural phenomena. Regulating
services include pollination, decomposition, water purification, erosion and flood control, and carbon storage
and climate regulation.
Following the analysis, we can take away that:• The sectors with the highest dependencies to ecosystemservices, are as seen the previous year, the consumer
sectors (staples and discretionary), the materials sector,
the utilities sector, and the industrial sector. They containsome of the most dependent sub-industries (e.g., agricultural products).

• Among provisioning services, the portfolio has a highdependency to ground and surface water (13.4% and14.9% of the investment value is highly dependent tothose services)• Among regulating services, the portfolio has a highdependency to flood and storm protection (8.6%), mass
stabilization and erosion control and climate regulation(5.5%).

SCOR

2023 Group sustainability report838. Impacts, risks and opportunities identification and management

DEPENDENCIES OF THE PORTFOLIO TO HIGH MATERIALITY ECOSYTEM SERVICES (PER INVESTMENT VALUE)
10 Sub-sectors concerned; 3,8%8 Sub-sectors concerned; 3,6%
1 Sub-sector concerned; 0,3%
2 Sub-sectors concerned; 0,8%
16 Sub-sectors concerned; 5,5%
2 Sub-sectors concerned; 0,8%
12 Sub-sectors concerned; 5,5%Regulating services
18 Sub-sectors concerned; 8,4%
Provisioning services
3 Sub-sectors concerned; 1,2%
1 Sub-sector concerned; 0,3%
1 Sub-sector concerned; 0,3%
2 Sub-sectors concerned; 0,8%
1 Sub-sector concerned; 0,3%
1 Sub-sector concerned; 0,3%
1 Sub-sector concerned; 0,3%
2 Sub-sectors concerned; 0,8%
1 Sub-sector concerned; 0,3%
2 Sub-sectors concerned; 0,7%
22 Sub-sectors concerned; 13,4%
26 Sub-sectors concerned; 14,9%
1 Sub-sector concerned; 0,3%

Water flow maintenance
Water quality
Soil quality
Dilution by atmosphere and ecosystems
Climate regulation
Ventilation
Mass stabilisaton and erosion control
Flood and storm protection
Mediation of sensory Impacts
Buffering and attenuation of mass flows
Maintain Nursery Habitats
Filtration
Disease Control
Pest Control
Pollination
Bio-remediation
Genetic Materials
Fibres and other materials
Ground Water
Surface Water
Animal based energy

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

In its study, NatureFinance first trains a random forest classification model on macroeconomic data to accurately

predict credit ratings. Then, macroeconomic data isadjusted with 2021 World Bank(1) estimates for changes
in GDP resulting from biodiversity loss. Finally, the biodiversity adjusted macroeconomic data is fed back into therandom forest model to predict the change in credit ratingsof the sovereigns in 2030 resulting from biodiversity loss indifferent scenarios (business-as-usual and partial naturecollapse). Ratings are also converted using a best-fit interpolation of empirically observed probability of defaults toestimate the biodiversity-adjusted default probability.

CHANGE IN PROBALITIY OF DEFAULT (%)

RATING CHANGE (NOTCHES)In 2023, SCOR took its first steps to assess the impact ofnature loss on its sovereign bond portfolio by applying theresults of Nature Loss and Sovereign Credit Ratings, a June
2022 study from NatureFinance (formerly Finance for
Biodiversity Initiative).

Russian Federation

Russian Federation

MexicoMexicoNigeria

Korea Rep.

USA

CanadaNigeriaSouth Africa

South Africa

Egypt Arab Rep.

TurkeyTurkeyColombia

Pakistan

Colombia

Madagascar

Philippines

BrazilPakistanBrazilPakistan

Vietnam

Colombia

MoroccoPhilippines

MoroccoMoroccoIndonesia

AngolaEthiopia

AngolaMadagascar

Indonesia

Madagascar

Bangladesh

India

India

India

China

Ethiopia

Malaysia
0

10

20

30

40

-6

(1) From report Making the Economic Case for Nature

SCOR

-4

-2

0

Both pillars are assessed based on a decision tree whichallows to determine a risk level per pillar, risk pillars thenaggregated into one single deforestation level.

Malaysia

Ethiopia
Bangladesh

2. C ompany policy to face its exposure, notably its content
and robustness (including human rights linked todeforestation issues).

Vietnam
Democratic Rep. of the Congo

Indonesia

Malaysia

1. E xposure to deforestation, linked to company sector,
type and origin of raw materials produced/sourced/
traded/financed.

Philippines

AngolaVietnamBusiness-as-usual
Partial nature collapse

China

BrazilDemocratic Rep. of the Congo

84

USA

Korea Rep.

Democratic Rep. of the Congo

In line with this objective, SCOR has studied in 2023
the deforestation risk inherent to its portfolio, using the
Global Canopy methodology Due diligence towards
Deforestation-Free Finance. This methodology evaluates
the deforestation risk of a company based on two pillars:

CanadaTurkeyChina

Following those studies and participation into several
deforestation focused working groups, SCOR announced
in 2023 its aims at making its best efforts to ensure that by
2030 its investment portfolio does not contribute to
deforestation.

Russian Federation

MexicoEgypt Arab Rep.

he Congo

caused by commodity traders.

Korea Rep.

Egypt Arab Rep.

ence and robustness of deforestation policy.

Thanks to this methodology, the following results wereobtained for the sub portfolio of corporate bonds, ­coveredbonds and equities. The overall risk level is mostly driven by
the exposure level instead of the company policy.
ASSESSMENT OF RISK LEVEL(PER INVESTMENT VALUE)
Low deforestion risk

0%Medium risk

66%
NA

16%

High deforestation risk

• The controversy monitor tool RepRisk;• Trase Finance, which assesses the effective deforestation

Japan

Business-as-usual
Partial nature collapse• ISS, S&P data on biodiversity – notably to assess pres-nies representing the largest deforestation risk;

PolandBusiness-as-usual
Partial nature collapse

the Rainforest Alliance and the World Resources Institute;• The forest questionnaire of CDP, which is sent to compa-

Japan

Nigeria

commodity producers and traders;18%

corporates and 150 financial companies driving most oftropical deforestation;

PolandSouth Africa• The Universal Mill List, a list of mills location provided by• The ranking of Forest 500, which focuses on the top 350

PolandUSA

SCOR analyzed the impact of biodiversity loss on theweighted average sovereign credit rating of its 2023 portfolio. In 2023, the weighted average grade sovereign
bond portfolio is AA-. In the partial nature collapse scenario, this grade becomes A-, whereas in the business-asusual scenario, it becomes A+. This methodology is apreliminary and exploratory attempt to assess the impactof biodiversity loss on SCOR investment portfolio and it
may underestimate the magnitude of the negative outcomes. SCOR will continue to monitor further methodological developments regarding biodiversity scenarios
and their impact on investment portfolios.

• ZSL SPOTT, which assesses the deforestation policies ofPreliminary studies were led in 2020, 2021 and 2022
using various data sources:Japan

CanadaSources used for this study included those used by SCOR
since 2020. In addition, SCOR used:

IMPACTS AND RISKS FROM
DEFORESTATION

Except for climate regulation, the ecosystem services on which the economic sectors are the most dependent are also those
flagged during the TNFD pilot which focused only on the agri-food sectors. This is linked to the fact that those ecosystemservices are those on which the largest number of subsectors depend.

IMPACT OF NATURE LOSSON SOVEREIGN CREDIT RATINGSIn the SCOR sovereign bond portfolio, 11 countries arecovered by the NatureFinance study, which corresponds
to 73.2% of the total sovereign bond portfolio. The small
number of sovereigns studied represents a limit to this study.

16% of the sub-portfolio value is flagged as high risk. The
high-risk companies mostly operate in the consumer
goods and industry sectors.
In parallel to this study, SCOR participated in to the working group on biodiversity organized by the Institut de laFinance Durable (IFD). One main outcome was the publication by IFD in 2024 of an overview of the strategies
taken by several financial institutions in France to fightagainst deforestation(1).

FRESHWATER: PRELIMINARY MAPPINGIn 2023 the World Resources Institute (WRI) stated that“the world is facing an unprecedented (fresh)water crisis,
exacerbated by climate change”(2). In WRI’s Aqueduct
Water Risk Atlas, the WRI finds that 25 countries representing a quarter of the world’s population are currently
exposed to significant water stress annually and even thisis poised to worsen as global temperatures increase andweather patterns become more unstable(3).

Bangladesh
0

10

20

30

40

(1) https://institutdelafinancedurable.com/actualites/lifd-presente-le-panorama-des-pratiques-de-la-place-financiere-de-paris-pour-lutter-contre-la-deforestation/(2) Source: Le Monde, The global water crisis is already affecting 4 billion people, August 2023
(3) Source: WRI, 25 Countries, Housing One-quarter of the Population, Face Extremely High Water Stress, August 2023

2023 Group sustainability report858. Impacts, risks and opportunities identification and management

In 2022, SCOR performed a preliminary attempt atunderstanding the freshwater risks and impacts linked to its
investment portfolio. In 2023, SCOR built upon the foundations of its preliminary study to further develop its freshwater impact and exposure methodology. This was
carried out through a fine tuning of the indicators used andminor modifications of their categorization amongst otherchanges.
The study first identified industry sectors that were considered to have a high level of water risks. The study thenanalyzed issuers in these sectors using indicators from various sources to reach an overall level of exposure of theissuers to freshwater risks and impacts.
SCOR’s sectors of choice were influenced by Actiam’s
sector analysis(1) of exposure to water quantity and water
quality risks. In its initial study in 2022, the sectors identified
were agriculture, food & beverage, metals & mining, oil &gas, semiconductors, electric utilities, pharmaceuticals,
apparel, and chemicals. In 2023, the high-risk sectors
identified were expanded to include restaurants, household & personal products, paper & forest products including containers and packaging, hotels & travel, andenvironmental control. The initial selection of sectors represented 11% whereas the expanded selection of sectors
represented 13% of the Q2 2023 SCOR investment
portfolio.
After the identification of sectors, issuers from the SCOR
investment portfolio were analyzed based on their performance in various indicators from different data providers.
The indicators used were sourced from:• The CDP water questionnaire completed by companies,• Water Management – How the issuer manages the useof freshwater and associated risks in its business.

• Risk Assessment & Disclosure - How the Issuer assesses
the water risk to its business and how extensive its disclosure practices are.

Issuers’ performance across these 3 pillars were used in
the evaluation of their overall performance with respect towater impacts and exposures. The final issuer scorings
result in grades from Leader to Laggard and N.A.

• Leader: the issuer is on a good path to mitigate freshwater water risks within its business practices. The issuer hastaken significant commitments to reduce freshwater use,
to innovate in freshwater recycling practices, and is partof corporate initiatives regarding freshwater.

• Involved: the issuer has taken measurable steps toaddress freshwater issues; either by joining freshwater-related initiatives, by setting some targets resulting in
positive evolution in freshwater use or by having adequate governance in place regarding freshwater policies. The freshwater related risks faced by the company
are likely to be moderately limited and its impacts aremonitored.

reports and datasets which gave selected companies
grades based on their water risk and management
practices;• ChemScore grades on reduction of chemical footprint• Laggard: the issuer has demonstrated little consideration

Outside-in business impacts are numerous: brand-damage(especially in consumer-oriented sectors), transition risks, etc.

eration for freshwater issues. Although the issuer hastaken some steps to address freshwater issues in theirbusiness, the steps seem to be incommensurate with themagnitude of potential freshwater risks and impacts theissuer faces.
for freshwater issues. Despite having a high-freshwater
impact and increasing risks, the issuer either has little tono policies and governance in place to manage them or
do not even disclose any measures taken to address
freshwater issues.

• N.A.: Insufficient information was available toconclude.

ASSESSMENT OF ISSUERS IN HIGH-RISK
SECTORS BY INVESTMENT VALUE

from top 50 chemical producers by the NGO
ChemSec.

1%

Additionally, indicators were categorized into 3 different
water impact pillars:

8%• Water Stress – How exposed the issuer is to water stressrisks based on the nature of its operations and freshwater
use intensity. Water Stress encompasses water scarcity(quantity), quality, and accessibility.

Leader50%

Involved

NA

13%

Laggard28%

Limited Involvement(1) Source: Actiam water policy, October 2021

86

PLASTIC: SCORINGTO RAISE AWARENESS• Limited Involvement: the issuer has shown limited consid-• Water-related data based on companies’ disclosures• The controversy monitor tool RepRisk;• Ceres Valuing Water Finance Initiative Benchmark

Lastly, within Ceres Valuing Water Investor Initiative, SCOR
participates in collaborative engagements with companies with the ambition to drive large-scale change in private sector water management practices and protect
freshwater resources globally.

Plastic is widely used in our economy. It is used for packaging but can be found in finished goods. It represents acheap material with many advantages, but it is linked tonegative externalities through pollution, namely on healthand on the environment. For this reason, concerns are
increasing around its role in our economy. Plastic production has surged over the past 50 years, from 15 million
tonnes in 1964 to 311 million tonnes in 2014 and is
expected to double again over the next 20 years, as plastics come to serve increasingly many applications.

which is sent to companies representing the largest waterrisk;
provided by ISS;

The findings of the study indicate that although majority ofissuers in SCOR’s investment portfolio are making efforts
towards managing their freshwater resources, risks, andimpacts, there is still a significant amount of issuers that continue to demonstrate little consideration for freshwater
issues despite the important role it plays in their operations.
Additionally, there is a need for greater regulations withregards to disclosures related to freshwater consumption
as there is very little information publicly available for many
issuers. SCOR continues to improve its methodology formonitoring its exposure to freshwater risks.

SCOR

The Plastic Treaty signed in Nairobi in March 2022 by
175 nations has confirmed the importance of tackling theplastic pollution crisis on the international level. The
Intergovernmental negotiating committee (INC) established by UNEP started working sessions at the end of2022 to develop and adopt a legally binding instrumenton plastic pollution by the end of 2024. This treaty would“reflect diverse alternatives to address the full lifecycle ofplastics, the design of reusable and recyclable products
and materials, and the need for enhanced international
collaboration to facilitate access to technology, capacity
building and scientific and technical cooperation”.
To support the development of the Plastic treaty and alignthe visions from across the plastics value chain, financial
institutions and NGOs, a Business Coalition for a global
plastics treaty was convened by Ellen MacArthur
Foundation and WWF. SCOR has joined this BusinessCoalition in 2023.
In 2023, SCOR signed the Investor statement on plastics
coordinated by VBDO (Dutch Association of Investors for
Sustainable Development). This statement is directed atcompanies in the fast-moving consumer goods and gro-

cery retail sectors with asks to drastically reduce the consumption of single-use plastic packaging, upscale thereuse system, phase out hazardous chemicals in plastic
and advocate for policies that support these actions. As aresult, the follow-up engagement conversations havestarted with some of the targeted investees.
In 2021, SCOR conducted an in-depth research on plastics with the aim to better understand its role in the environmental landscape and how it may affect investment
decisions before performing a first assessment of SCOR’s
invested assets positioning vis-a-vis plastics. Plastic represents both threats and opportunities along the value chain.
The plastic value chain can be divided between three
categories: raw-material producers (oil and petrochemical companies), plastic users and manufacturers (retail,food, pharmaceuticals, etc.), and plastic recyclers.
In 2023 SCOR continued monitoring the controversies
and the progress of plastic users and manufacturing companies in its investment portfolio.

Screening methodology
The study focuses on plastic users in order to highlight
SCOR involvement in plastic consumption issues, as thispart of the value chain is deemed responsible for a significant part of the plastic pollution. The objective is to map
SCOR portfolio exposure regarding plastic and to classify
companies of sectors potentially concerned (among plastic producers and manufacturers) in five categories, using
a proprietary scoring methodology:• Leader: The company is on a good path to translate

circular economy principles into business practices
regarding plastic. The company has made some commitments to reduce plastic use and to innovate in material
sourcing. The company is part of corporate initiatives
regarding plastic. Not only the company is in a position
to avoid plastic-related sustainability risks but also will
likely be able to capture benefits from the transition to acircular economy model.

• Committed: The company has shown some efforts

regarding the plastic problematic; either by joining plastic-related initiatives or having set some targets resulting
in positive evolution in plastic consumption. The plastic
impact of the company is likely to be limited.

• Involved: The company has demonstrated little consid-

eration of the plastic problematic. The plastic impact of
the company is limited, and efforts can be noticed.

• Laggard: The company shows really limited consideration of plastic-related problematics. The plastic impact of
the company can be considered significant, or the company doesn’t disclose enough plastic-related data.

• N.A.: Insufficient information was available to conclude.
SCOR has used various data sources that rate companies

2023 Group sustainability report878. Impacts, risks and opportunities identification and management

Monitoring controversies relating
to plastic

SCOR decided to focus on only 4 environmental impacts
for its corporate bonds and equities portfolio:

tered charity which promotes the circular economy. The
foundation launched in 2018 the Global Commitment
as part of their work “The New Plastics Economy”. The
objective is to gather corporates, investors and governments in order to encourage a transition to more sustainable plastic practices. The foundation publishes every
year a report tracking companies progress towards predefined goals.

To complete the above analysis, a controversies screening
about plastic is performed on the SCOR portfolio using the
RepRisk platform. This tool provides a timely and effective
reality-check about what is happening on-the ground, i.e.,
how a company conducts its business where it operates
around the world.

• GHG emissions• As You Sow is an American non-profit dealing withThe 2023 study showed a slight improvement of the overall score explained mainly by an increase in coverage ofISS metrics.

on an annual basis:• The Ellen MacArthur Foundation (EMF) is a UK regis-

shareholder advocacy founded in 1992. Its goal is topromote environmental and social corporate responsibility through shareholder advocacy, coalition building,and innovative legal strategies. As You Sow ranks main
relevant corporations on plastic packaging pollution.

Conclusion

For example, CDP has added questions related toplastics in their 2023 questionnaire, covering theentire plastic value chain including production, use,and disposal. This initiative includes food retailers,
pharmaceutical companies, and fashion brands.
Currently, the response rate is low, but it is expectedthat more companies would disclose the occurrence of plastics in their whole value chain, including upstream activities like logistics, and disclose on
reduction, reuse, and recycling.

• ISS data on criteria related to plastics such as current
percentage of recycled materials, strategies to reducethe impact of packaging, the total waste intensity, andmany others.

Mapping used for raising awarenessAs of Q3 2023, a screening of relevant positions is­performed, and the following breakdown is obtained:

MONETARIZATION IMPACTS

MARKET VALUE (EUR MILLION)
BY CLASSIFCATION
12%

Laggard53%

Involved

16%
NA

19%

Committed• The coverage is deemed satisfactory since N.A.
­category has a limited size.

• Most of the exposure is classified under the “INVOLVED”
category.

• No company belongs to the “LEADER” category.

In the past few years, SCOR has launched various studies
to determine the extra-financial impacts of its portfolio,
notably GHG emissions, deforestation, plastic pollution
and water stress. The metrics studied, sometimes grouped
via a scoring system, are mostly absolute (amount of GHG
emitted, volume of freshwater used, surface of deforestation…), sometimes in intensity (weighted by company sizefor instance). They were never monetary (e.g., how to convert one tonne of GHG emitted to an EUR amount).
In 2023, SCOR made a first attempt to convert those
extra-financial impacts into a monetary value. Such a metric allows for a comparison with financial impact metrics.
This study was realized thanks to the methodology published by Crédit Mutuel Arkea in September 2022(1) toexpress its positive and negative externalities in euros.
They calculate the monetary value of an impact as follows:
the volume of the indicator (e.g., GHG emissions) is multiplied by an index of monetarization and weighted by an
attribution factor.

(1) Source: https://www.cm-arkea.com/banque/assurance/credit/upload/docs/
application/pdf/2022-09/referentiel_methodologique_-_sept_2022_.pdf

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• Water consumption• Production of residual waste• Eutrophication(1)The PRI method considers that a company is high risk if it:• Operates in countries which do not respect human rights;• Operates in a sector more likely to disrespect humanrights;• Has a poor human rights performance.

ISS and CDP were used to retrieve company data. Data
for monetarization indices was retrieved from various studies, mostly published by government or intergovernmental
bodies. Some monetarization indices rely on the cost of
public commodities or public services, other estimate thereferential value against which additional investment to
reduce an impact should be prioritized, other the loss of
welfare for additional impacts.
Apart from those differences in monetarization indicesmeanings, another difficulty lies in the data availability. For
these 4 impacts, coverage ranges from 4% to 96%. These
two effects combined are responsible for a large variability in results.
Hence, results remain preliminary and will require additional work to precise them.

SOCIAL ISSUES: SCREENING
AND SCORING

Based on PRI recommendations, SCOR has selected several data sources, notably from ISS, UN organizations, theOECD, the World Benchmarking Alliance (WBA), theBusiness & Human Rights Resource Centre (BHRRC).
The classification has permitted to disclose the companies
from the sub-portfolio studied which represent the highest
human rights risks. Only 3.4% of investment value of theequities and corporate bonds bucket (3.3% of companies)
where classified as high risk, i.e., flagged as high risk in all
3 dimensions (country, sector, company). The lack ofsocial data and transparency of the companies remain
significant and inconvenient to ensure relevance of theclassification. However this scoring is an attempt to better
understand the human rights risk problematics and how it
may affect SCOR investment corporate portfolio.
Below are the results of high-risk companies if only one or
two dimensions are considered high risk.
% of investment value

Institutional investors have a responsibility to respect humanrights. This responsibility is formalized in the UN Guiding
Principles on Business and Human Rights (UNGPs) andthe OECD Guidelines for Multinational Enterprises.
Investors are now expected to play an active and significant role in shaping real-world, positive outcomes for people. This role is not only crucial to meet the evolving
demands of beneficiaries, clients, and regulators, but also
to reach better financial risk management.
Addressing human rights issues in the value chain requiresa holistic approach that considers the impacts of a company’s activities on its stakeholders, including employees,
customers, communities, and suppliers.
In 2023, SCOR updated its 2022 social screening andscoring method based on the method provided by the PRI.
Companies assessed represent 46% of investment valueof the equities and corporate bonds bucket. The main difference between this method and last year’s is the study ofa company’s exposure to human rights risks and impacts
alongside its policy to face those.

Company

Company
8%

Sector

Sector
5%

4%

68%

51%

Country% of companies
Company
SectorCountryCountry

66%

Company

SectorCountry

11%

6%

4%

56%

34%
47%

Overall, the pillar that is most likely to be considered highrisk is the sector, then the country.
Engagement with investees will be key to address humanrights issues, notably thanks to the Advance program, an
iniative to advance human rights created by the UN and
the PRI in 2022. SCOR is a member of the PRI Advance
program and has started to participate to engagement
calls with companies on social matters.

(1) Nutrient enrichment of an ecosystem, generally resulting in increased primary
production and reduced biodiversity. In lakes, eutrophication leads to seasonalalgal blooms, reduced water clarity, and, often, periodic fish mortality as aconsequence of oxygen depletion. The term is most closely associated with aquatic
ecosystems but is sometimes applied more broadly. Definition provided by the IPBES:
eutrophication | IPBES secretariat

2023 Group sustainability report898. Impacts, risks and opportunities identification and management

8.4. MANAGEMENT OFSUSTAINABILITY IMPACTS,
RISKS, AND OPPORTUNITIESSTRATEGY
Risks related to legal
and regulatory developments
Sustainability is a fast-evolving topic, and its framework
is being shaped by regulation, but also by soft laws andgroups of influence. Recent developments, including theanti-ESG movement in the US and competition aroundsustainability frameworks across jurisdictions illustrate
the lack of stability of the legal and regulatory landscapes. This creates uncertainties around potential
impacts of sustainability on SCOR’s business and thecompany’s ability to conduct its activities in alignment
with its commitments and targets vis-a-vis international
objectives. This is particularly true for climate change but
may also be the case for biodiversity.
To manage these risks, SCOR relies on a team dedicatedto monitoring all regulatory requirements that it needs tofulfil in order to conduct its business legally, fairly and ethically. Adhering to any future restrictions in terms of futurebusiness development would be no exception. In addition,
the introduction of any major changes in regulations
around underwriting in environmentally sensitive sectors
could reasonably be expected to occur gradually and in
consultation with the insurance industry as a whole.
Furthermore, being strongly engaged in the public debate
through various working groups dedicated to sustainability
issues enables SCOR to better anticipate such potentialchanges in regulation and thus adapt its activities accordingly. SCOR also relies on its legal team to assess potential
legal and reputational risks linked to its sustainability ambition and commitments.

Risks related to the competitiveenvironment
Due to possible future pressures on certain carbon-intensive sectors to either reduce or suspend their operations,because of their impact on global carbon emissions
linked to climate change, the demand for (re)insurance of
these sectors could decline in the future. Committed tobuilding its reputation as a sustainable reinsurer, SCOR
constantly develops new capabilities to address the risksof tomorrow and adapt to the transition to a net zeroeconomy. SCOR is also developing new business opportunities to replace potential loss of revenues and to keep
its competitive advantage in relation to market peers.
Priorities relevant to climate change include working
towards understanding and incorporating the effects ofclimate change into the company’s catastrophe models,90

participating in initiatives and working groups supporting
industries in their transition, building expertise and further
developing business in renewable energy sectors andworking towards the p­ rotection of biodiversity.

P&C AND L&H UNDERWRITINGACTIVITIESManagement of physical risks:
SCOR has a number of risk management mechanisms inplace to manage the Group’s exposure to its main risks,
including peak natural catastrophe risks that could be
impacted by climate change. For example:• SCOR carefully monitors and manages the accumulated gross exposures to ensure that the company is notoverly concentrated in certain locations;• SCOR’s system of limits facilitates the management of

SCOR’s net exposure to its main risks, which include natural catastrophes risk for Property & Casualty and Life &Health risks such as Mortality and Morbidity;• Various scenarios to assess natural catastrophe risk are

performed on an annual basis as part of the ORSA process. A specific longer-term scenario assessing theimpacts of climate change on SCOR in 2030 and 2050
has been performed in the context of the 2023 ORSA;This process is an integral part of SCOR Risk
Management Framework;

Management of transition risks:
To reduce its exposure to carbon-intensive sectors which
could become obsolete in the future, SCOR has various
exclusion policies in place that encompass the coal, oiland gas sectors. SCOR is committed to transitioning all
operational and attributable greenhouse gas emissions
from its insurance and reinsurance underwriting portfolios
to net zero by 2050. Initially limited to Single Risk mostemitting activities, the PCAF methodology will progressively extend the scope to reinsurance treaties and Life &Health business as methodologies and data become
available. SCOR also uses data providers for the ESG
ratings of its underwriting portfolio. This provides additional
data on its clients, e.g. in relation to GHG emissions, ESG
ratings and controversies, contributing to a more robust
monitoring of clients within the portfolio.
In addition, ESG underwriting guidelines cover ESG issues
relevant to specific activities that may present ethical issues
related to health (e.g. manufacture and distribution of opioids, animal testing), the environment (e.g. palm oil production, dam construction) and human rights (e.g. textiles
and forced labor).

Catastrophe modeling and pricing
For the P&C business, models that are used to price natural
catastrophe business are calibrated using recent claims
data, as well as other inputs such as results from recent
scientific studies (e.g. relating to current estimates of rising
sea levels). In this way, changes in the frequency andseverity of the natural perils that SCOR underwrites,
whether related to climate change signals or not, are taken
into account in the pricing of contracts. In addition, theCatastrophe Modeling team carries out assessments tounderstand how climate change could impact the perils
that are most material to SCOR in the short-medium term.
SCOR is also committed to improving the quality of thecatastrophe models and techniques that are used toassess and price the perils that are likely to evolve in achanging climate.

Investment activities
SCOR Sustainability strives to actively follow sustainability
trends on investments by constantly watching initiatives andnews-flow, and stimulating debates with peers, regulators,
professional associations. New trends are analyzed fromthe two materiality lenses and when considered material,
they enter the double process of risk management andimpact assessment. Depending on the maturity of methodologies and availability of data, results can lead to internal
discussions, or amendments to the investment strategy.

RISK MANAGEMENT AND IMPACT ASSESSMENT PROCESS FOR INVESTMENT ACTIVITIESRemote• To ensure that SCOR’s net exposure remains within set
limits, SCOR has put in place a Capital Shield Strategy,
which is designed to provide a range of protection
measures against extreme events including the use of
traditional retrocession, capital market solutions, a solvency buffer and a contingent capital facility.

Such exclusion policies and underwriting guidelines are
combined with developing underwriting expertise in technologies that support the energy transition (e.g. offshore
wind and hydrogen). For example, the P&C business unit
has strengthened its underwriting teams in the field of
renewable energy and has identified strategic markets for
growth during the current strategic plan. The P&C business
unit is also developing new strategic partnerships withstart-ups offering novel insurance products in renewableenergy.

=New trend
Emerging topic

Screening

Material

Materiality assessment

Non-financial materiality

Financial materiality= adverse impact= financial risks

ESG rating – Controversies

Modelsandsimulations

Footprint

Portfolio monitoring

ActionRisk limits
Investment Restrictions

ActionReduction targets
Investment Restrictions

Engagement

SCOR

2023 Group sustainability report918. Impacts, risks and opportunities identification and management

Outcomes of the process can be summarized as follows:

Modelsandsimulations

Footprinting

Portfolio
screening

Risk /
Opportunities
assessment

Impact assessment

Asset classes% of coverage(in% of Total AUM)

Nat catmodeling tool

Climate physical risk

Quantified impact ofacute physical risk

SCOR’s physicalassets10%

Bat-ADAPT

Climate physical risk

Buildings resilience toclimate hazards

SCOR’s direct realestate for investment

3%

CRREM

Climate transition risk

SCOR’s direct realestate for investment

In 2022:– 2% of total AUM–8 5% of direct realestate for investment
asset class

Climate stresstesting

Climate transition risk
Climate physical risk

Fixed Income
Equities
Loans
Real Estate
Private Debt

100%

Carbonemissions

Climate transition risks

Government bonds
Corporate bonds
Listed equities
Real assets
Corporate loans

76%

Government bonds
Corporate bonds
Listed equities
Covered bonds

63%

Pathway to reachcarbon neutrality by
2050 including interim
targets by 2025 and2030

Climate transition risk

Biodiversity

Transition risk

Corporate bonds
Listed equities

Experimental

Taxonomy

Resilience of activities

All invested assets

80%

Biodiversity

Deforestation risk

Corporate bonds
Listed equities

Experimental

ESG rating

Identify most critical
positionsfor monitoring

All invested assets

70%

Liquid assets

Not relevant

Limiting adverse
impacts
Enhancingpositive impacts

SCOR

ECONOMYSOCIETY

BIOSPHERE

ImpliedTemperature
Rise (ITR)

Controversies

92

LINKS BETWEEN SDGS AND THE DEPENDENCY OF SOCIETY ON THE BIOSPHERE

Source: Stockholm Resilience Centre: This graph shows the links between SDGs and the dependency of societies on the biosphere. By contributing to the achievement of SDGs 6, 13, 14
and 15, SCOR supports the wellbeing of the biosphere and therefore the sustainable development of societies.

2023 Group sustainability report93

MANAGEMENT OF PHYSICAL RISKSIN OPERATIONSThe exposure of SCOR’s operations to acute and chronic
physical climate risk is principally managed through theBusiness Continuity Plan (BCP). The BCP is in place toensure the maintenance of SCOR’s business activities
during different kinds of events that could prevent staff
from accessing office premises - potentially for a prolonged period of time. Such events include natural
catastrophe events that could occur more frequently orwith greater severity as a result of the changing climate(e.g. flood events, hurricanes). SCOR’s BCP was tested
live during the Covid-19 pandemic, during which staff
were able to continue working remotely from SCOR’s
office premises, for several months. Another purpose of
the BCP is to ensure an acceptable resilience to systems
interruptions. For this reason, SCOR has moved most of its
critical applications onto high standard and duplicatedcloud systems, which provides SCOR with a high level ofresilience in its ability to maintain operations during severe
natural catastrophe events.

8.5. INTERNAL CONTROLENVIRONMENT AND RISKMANAGEMENT PROCEDURES
The Internal Control System (ICS) is defined at Group level
and applied consistently across the Group, in line with theproportionality principle, without prejudice to further and/or more stringent requirements from local applicable laws,
regulations or policies. ICS processes have been documented accordingly, focusing on those considered themost critical. ICS documentation is maintained across theGroup and regularly reviewed for continuous improvement. The Group policy on ICS sets out the reference
framework and describes the Group principles, theresponsibilities of the various internal control stakeholders
and the quality requirements.
The internal control and risk management systems aremonitored by a number of complementary mechanisms
with the support of several departments across the Group.
SCOR implements dedicated processes and tools to identify, assess and monitor its risk exposures on a regularbasis. In addition, SCOR implements dedicated risk management mechanisms across the three business units inorder to evaluate the appropriateness and effectiveness ofcontrols and propose risk management and mitigation
measures.
For further information on the internal control
environment see Section 3.8 – Internal control
and risk management procedures in the 2023
Universal Registration Document.

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2023 Group sustainability report95

9.
Business
ethics
9.1. Human rights

98

9.2. Code of conduct & compliance policies 98

96

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9.3. Tax transparency

100

9.4. Reporting concerns

1019.5. Legal and compliance trainings& awareness raising1012023 Group sustainability report97

9. Business ethics

9.1. HUMAN RIGHTS
As a member of the United Nations Global Compact,
SCOR is highly committed to respecting human rights in the
conduct of its business activities and does not want to becomplicit in the violation, or potential violation, of humanrights. Furthermore, in application, in particular, of theInternational Labour Organization Conventions, including
No. 29 on Forced Labour (1930), No. 182 on the Worst
Forms of Child Labour (1999), No. 138 on Minimum Age
for Admission to Employment, No. 111 on Discrimination(Employment and Occupation) (1958), No. 100 on Equal
Remuneration (1951), No. 87 on Freedom of Association
and Protection of the Right to Organise (1948), and No.
98 on the Right to Organise and Collective Bargaining,
SCOR in no way supports, condones or tolerates any formof discrimination, human abuse, servitude, forced labor,
compulsory labor, human trafficking, child abuse, or slavery. These basic human rights violations are not tolerated
within the company nor within any company with which
SCOR is engaged in a business transaction. SCOR also
supports freedom of association and the right to collective
bargaining. This commitment is formally set out in:• SCOR’s Code of Conduct, which is publicly available;• the Group Statement on Slavery and Human Trafficking,published on SCOR’s website;• the Sustainable Development Charter between SCOR
and its suppliers and vendors, which refers to the conventions of the International Labour Organization (ILO) as
well as the UN Global Compact principles covering
human rights, labor, environment and anti-corruption.
The policies and guidelines related to third-party management, corruption, anti-money laundering, economic
sanctions, as well as the review of SCOR’s counterparties’
ESG framework, include procedures that enable thereporting and handling of any detected non-compliancewith these commitments. Finally, SCOR’s alert procedure
also allows for the reporting and proper investigation of abreach of such commitment. SCOR is improving the monitoring of its suppliers and vendors by rolling out a dedicated platform supporting the collection of the documents
required by law (e.g. in relation to labor law, anti-corruption), notification of its suppliers’ Sustainable Development
Charter and questionnaires.

In addition, as a member of the Principles for Sustainable
Insurance and the Principles for Responsible Investment,
SCOR is strongly committed to factoring human rights
issues into its insurance and investment activities. These
commitments are formally set out in:• the Sustainability Policy, which reflects SCOR’s commitment to act as a sustainable investor;• the ESG underwriting guidelines (2021), which includes

instructions to incorporate ESG considerations specificto certain activities that may present ethical human rights
issues (e.g. in the textiles industry).

For further information on the respect of humanrights within the workforce, see Sections 6.2.2– #WorkingWellTogether initiative and 6.2.3 –Fostering social dialogue.

Finally, SCOR publicly reports on the implementation of
the UN Global Compact’s commitments through theCommunication on Progress (CoP) on the UN Global
Compact’s website.

9.2. CODE OF CONDUCT& COMPLIANCE POLICIESThe Group Code of Conduct establishes the key areas ofcompliance with legal and ethical obligations and the bestpractices in these areas. It is incorporated into the Group’s
human capital management cycles, as well as throughtraining provided to new employees and periodically toexisting employees.
Failure to comply with the principles of SCOR’s Code of
Conduct may result in internal sanctions or disciplinary
action, which could lead to criminal or regulatory proceedings in compliance with the applicable laws.

COMPLIANCE POLICYThe Group compliance policy, which goes hand-in-handwith the Group Code of Conduct, defines several principles to support the compliance framework. One of the
major principles is a risk-based approach to compliancein accordance with the SCOR Group policy on risk
management.
The Group compliance policy also defines the roles andresponsibilities of key stakeholders, in particular the compliance teams. The compliance teams carry out regular risk
assessment monitored at Executive Committee and Boardof Directors levels.
The Group compliance policy, together with other compliance-related policies and guidelines, establishes minimum
standards applicable throughout the Group. They are
made available to all employees on SCOR’s intranet. For

98

SCOR

more information on anti-corruption, sanction and embargoes, anti-money laundering and insider trading, refer to
Section 6.5.2 – Code of conduct and compliance policies in the 2023 Universal Registration Document.

DATA PROTECTIONThe United Nations Global Compact, of which SCOR isa member, calls upon the Group to promote and respect
the protection of international human rights law and toensure that it is not a party to any human rights violations.
In light of technological developments, the protection of
personal data is a crucial component of the respect for
fundamental rights, as illustrated in Article 8 of the EU
Charter of Fundamental Rights.
As well as the processing of personal data relating to its
employees, SCOR’s activities may involve the processingof other personal data, which requires it to comply withregulations relating to personal data protection and privacy, a key component of SCOR’s activities. The Code of
Conduct defines the key principles related to the protection of personal data and privacy that are mandatory for
all employees.
The General Data Protection Regulation (GDPR) (EU
2016/679), in force since May 25, 2018, constitutes theoverarching regulation on data protection in Europe withthe objective of making companies accountable for theirprocessing of personal data. In addition, the Group also
complies with other local data protection regulations outside of the European Union, where applicable.
The Group Data Protection Officer is responsible for building and maintaining a comprehensive data protection
framework. He coordinates the governance and is
responsible for the design and implementation of theannual action plan on data protection, embedded in theGroup Compliance plan.
The data protection framework is part of SCOR’s broader
data governance managed by the Chief Data and Data
Platform Officer, Group Chief Information Security Officer
and the Group Data Protection Officer.

• The Chief Data and Data Platform Officer promotes

data driven decision making, leads data governance, isin charge of the data platform, oversees the Group dataarchitecture and ensures data quality.

• The Group Chief Information Security Officer is incharge of data security compliance, specifies applicable principles for access, lifecycle management, storage
and processing, monitors information security threats,
implements information security measures and enforces
data protection policies.

• The Group Data Protection Officer supports, oversees

and monitors the compliance with data protection laws
and regulations.

The data governance is overseen by the Data
Governance and Protection Committee chaired by theGroup CFO, held quarterly in a ComEx session. This
Committee aims at approving the strategy and orientations on SCOR data governance and data protection
according to markets and regulatory evolutions, approving governance and data protection policies and reviewing the oversight and monitoring of data protection risks.
Its missions include oversight on data classification, certification, roles, access and distribution, data protection risk
assessment and annual plan.
The Committee members include the Chief Data andData Platform Officer, the Group Chief Legal Counsel,
the Group Chief Compliance Officer, the Group Data
Protection Officer, the Group Chief Information Officer
and the Group Chief Information Security Officer. The Audit
Committee receives a quarterly update on those matters.
SCOR adheres to several guidelines and policies that
relate to or impact some aspects of data protection:• the Group data protection policy, which establishes acommon minimum standard to be applied by SCOR forprocessing personal data;• the Group data breach response guidelines, which

establish a response process to help staff identify andescalate a potential data breach so as to ensure an
appropriate and timely response from the company;• the Group information security policy, which sets out

SCOR’s commitment to IT security and defines IT security
governance.

Furthermore, data protection is included in the training sessions conducted by the legal and compliance teams
worldwide, as part of the global training program for
employees. During these sessions, employees are trainedon data protection obligations, the GDPR and any local
obligations that may be applicable to participants. The
training sessions are hands-on and include case studies tohelp participants identify the issues that may arise in thecourse of their work and the best practices to resolve them.
In 2023, two interactive sessions and local events in
SCOR offices worldwide were organized with more than
500 employees around the world participating. A dedicated intranet page was created containing information
and best practices. The mandatory specific training session on Data Protection, deployed in 2022, was completed by all employees and was made compulsory for
new joiners in 2023.
Dedicated presentations and awareness sessions were
given to selected teams– e.g. Communication, Human
Resources Talent Acquisition, Human Resources Regional
Heads, P&C Management, teams involved in new processing activities - on compliance with data protection
requirements.

2023 Group sustainability report999. Business ethics

All employees were reminded of the importance of data
minimization during an information campaign in
September 2023, focusing on the risks for SCOR.

CYBERSECURITY
Aware of the expectations of its clients and other partners
in terms of protection against cyber risks and their consequences, SCOR has developed and continuously maintains the SCOR Information security policy, supplemented
by guidelines and procedures which are implemented
across various levels of its organization.
A cybersecurity program is developed annually by theGroup’s Chief Information Security Officer to continuously
address evolving risks. It is approved by Tech & Data andSenior Management and implemented with contributions
from all the Tech & Data Department. The cyber security
program is closely monitored and quarterly reports are
made to Senior Management.
Aligned with the Group’s business strategy, SCOR’s Tech
& Data strategy pays particular attention to the security of
information systems and data protection, and is focused on:• strengthened security and data protection governanceacross all levels of the organization;• implementation of “security and privacy by design”
principles;• development of a proactive cyber approach to enhance

preventive security in an interconnected and multi-cloudenvironment.

The Group regularly pays particular attention to security
awareness and skills among its staff through regular
Information Security alerting, yearly cyber security
e-learning sessions including data protection recommendations aligned with legal and compliance training programs, and phishing simulations to help employees
become familiar with signs of such activity, since these are
the major vector of ransomware attacks. The mandatory
training course on cyber security, deployed this year, wasattended by 3,069 individuals. In 2023, the Group sent
60,841 fake phishing emails to permanent and external
employees. The results of these exercises demonstrate asatisfying level of maturity in terms of cybersecurity awareness, thanks to the continuous monthly training sessions(12 campaigns completed in 2023).
The Group’s IT system security governance and the related
security services and solutions implemented by SCOR are
set out in the SCOR Group security framework.
This framework defines the security safeguards to implement, combining best-in-class international standards
such as CIS (Center for Internet Security) security controls
and the NIST (National Institute of Standards andTechnology) Framework for Improving Critical
Infrastructure Cybersecurity.
100

ARTIFICIAL INTELLIGENCE
SCOR’s Code of Conduct serves as a reference for
employees to understand their legal and ethical obligations toward SCOR’s different stakeholders. This referenceis also used for artificial intelligence as SCOR is committed
to formally integrating these principles into its operations,based on the “ethical guidelines for trustworthy AI” published in April 2019, by the European Commission HighLevel Expert Group on Artificial Intelligence.
An artificial intelligence policy was approved in 2021 toensure compliance with these principles. For an effective
and documented implementation, this policy is based on
the risk management framework which includes a dedicated module.
In 2023, SCOR agreed a clear and standard framework
for Artificial Intelligence (AI), with a clear goal to promotesecure, ethical and responsible use of AI. SCOR is considering two types of AI or generative AI applications.
Standard Secured genAI applications are progressively
made available to all employees. In 2023, Bing ChatEnterprise, as a standard Microsoft solution, has been
selected to become the official SCOR chat application forgeneric usage of AI, early 2024, to help improve
employee experience and productivity to better focus onvalue-added tasks that serve SCOR goals and are beneficial to SCOR clients. Employees will be guided by the AI
policy and trained to properly use the solution (prompt
engineering).
Specific AI applications will wrap all models (commercial
or in-house) that are leveraged to automate processes
such as those used in underwriting or claims management.
The SCOR data team led by the Data and Data Platform
Office will secure and govern AI used for operational purposes in order to protect the organization from hallucination, compliance and ethical issues.

ates. As such, the Group Tax Department ensures that thevarious Group entities comply with the applicable tax laws
and regulations wherever they operate. All key entities
have a designated tax manager who ensures compliancewith the applicable tax obligations. Tax compliance ismanaged by the business process owners in accordancewith the principles governing the Group’s internal control
system framework.

9.5. LEGAL AND COMPLIANCE
TRAININGS & AWARENESSRAISING

In line with the Group Code of Conduct, the business process owners concerned must not engage in tax planningor tax schemes that do not reflect economic reality. Internal
control processes ensure that a tax analysis is conducted
and documented before entering into a transaction. The
quarterly tax reporting process provides the Group with acomplete analysis of the tax expense for the period as wellas the tax account balance in the balance sheet of eachGroup entity.

In order to ensure proper dissemination of the compliancerequirements among SCOR employees, and to keep theminformed about the latest development on those issues,
training sessions for the underwriting, claims handling andaccounting departments are regularly held across the
Hubs. In total, one mandatory training course on compliance issues was deployed in 2023, related to the Codeof Conduct. Other training sessions were conducted for a
total of 2,280 individuals targeting specific departments
covered economic sanctions, anti-money laundering
measures, data protection, anti-fraud, harassment, anddiscrimination.

9.4. REPORTING CONCERNS

In total 5,922 hours of training on these topics wererecorded, representing 14.4% of total training hours in2023(1).

All employees are responsible for ensuring compliancewith applicable laws, regulations and policies in their daily
duties and for escalating any actual or suspected compliance breach, in line with the Group’s guidelines on reporting concerns. Alerts can be raised internally and externallythrough a dedicated online platform (SCOR SpeakUp,
hosted by an independent 3rd party). This enables secureand confidential reporting of concerns at any time andfrom any location with Internet access. The reporting channels allow users to include attachments to the report andalso allow for anonymous reporting. All reports filed
through these channels are confidentially routed to the
Regional Compliance Officer and to the Group Chief
Compliance Officer, so that they are fully reviewed andinvestigated by the team assigned to the investigation.

The Compliance Department also launched communication campaigns to raise awareness and provide reminders
about processes related to fraud (five information), reporting concern (one communication), data protection (fiveinformation), competition (one).

9.3. TAX TRANSPARENCY
In the course of its activities, the Group does not engage
in any artificial structure that lacks corporate purpose or
economic substance. SCOR’s practice is to ban tax
havens for tax avoidance purpose. The Group ensures thatthe pricing of SCOR’s intragroup transactions complies
with the OECD Transfer Pricing Guidelines and local regulations. Accordingly, SCOR pays its income taxes in the
country where the business activities are performed.
Compliance with tax regulations is an integral part of
SCOR’s operating principles, SCOR is committed to compliance with the spirit as well as the letter of the tax laws
and regulations. It is Group policy to comply with theapplicable tax laws and regulations in all countries it operSCOR(1) See Section 6.10.1 – Note on methodology in the 2023 Universal Registration
Document more information on this indicator.

2023 Group sustainability report

101

10.
Metrics andtargets

102

SCOR

10.1. Selected metrics

104

10.2 Targets

111

2023 Group sustainability report10310. Metrics and targets

SCOR regularly monitors indicators to measure its
performance versus the objectives set for theGroup in its sustainability strategy.

10.1. SELECTED METRICSUNDERWRITING ACTIVITIES
Poseidon principles for Marine Insurance
To support the net zero ambition of its direct international
shipping policyholders, SCOR became a founding signatory of the Poseidon Principles for Marine Insurance inDecember 2021. Under this initiative, the Group has committed to assessing and disclosing the climate alignment of
its hull and machinery portfolios, and to benchmarking
them against two trajectories related to a 50% reduction in
annual greenhouse gas emissions by 2050 compared to2008, and a 100% reduction in emissions by 2050.
The graph below illustrates SCOR’s portfolio climate alignment scores to achieve 50% CO2 reduction as well as
100% CO2 reduction. 0% represents “Exact Alignment”
for both 50% and 100% CO2 reduction trajectories
respectively which is represented by the green line.
Since SCOR’s portfolios change every year, absolutecomparison of alignment is impractical thus, this graph isaimed at depicting relative alignment to the annual target
allowing for year-on-year comparison.
Looking back at last year our alignment score has slightly
gone up. This can be explained by the global trading
activity returning to normal after two years of Covid andthe growth of the World Seaborne trade.

PORTFOLIO CLIMATE ALIGNMENT SCORES
50% CO2 reduction: 7.4%
100% CO2 reduction: 16.9%
40%

50% CO2 reduction

100% CO2 reduction

Alignment deltas (%)

30%
20%

Eligibility and alignment of SCOR (re)insurance
activities under the European Taxonomy
In accordance with the Taxonomy Regulation (EU2020/852) and associated Delegated Acts - SCOR has
assessed the share of its (re)insurance activities that are
eligible and aligned under the European Taxonomy.
Figures used to compute eligibility and alignment ratios are
based on IFRS 17 Insurance Revenues as required by theregulation.
SCOR has performed a qualitative and quantitative
assessment of its eligible and aligned non-life (re)insurance
activities(1).
The eligibility ratio is based on IFRS 17 revenues and calculated on a Group consolidated basis as per the
regulation:• The numerator represents the sum of eligible IFRS 17(re)insurance revenue relating to climate-related perils
from the four direct proportional and non-proportional
eligible lines of business. In accordance with theEuropean Commission guidance, in the case of multi-risk
insurance products covering also climate-related perils,
SCOR retains the share of the premium that specificallycovers climate-related perils.

• The denominator is the total sum of Non-Life IFRS 17
insurance revenue (calculated on a consolidated basis).

Based on the methodology described above, as of
31 December 2023:• Eligible IFRS 17 Insurance revenue amounts to
EUR 1,059 million;• Total Non-Life IFRS 17 insurance revenue amounts to
EUR 7,496 million.

In 2023, the eligibility ratio stands at 14.1% which compare to a 2022 recalculated ratio of 14.2% (57.6% in theprevious calculation format (2)).
Alignment was assessed for the first time in 2023, basedon the eligible scope of activities. The approach is basedon both a quantitative and qualitative analysis aiming at
identifying the share of SCOR’s underwriting Non-Life
activities compliant with the criteria set out by the Taxonomy
Regulation and associated Delegated Acts.

10%

-10%
-20%
2021

2022
Year

SCOR portfolio alignment scores for Poseidon Principles for Marine Insurance

104

For the year 2023, only the property and agriculture linesof business were considered in the assessment of the alignment ratio.
The denominator is the total sum of Non-Life IFRS 17 insurance revenue (calculated on a Group consolidated basis).
Based on the methodology described above, as at
31 December 2023:• Aligned insurance revenue amounts to EUR 999 million;• Total Non-Life insurance revenue amounts to
EUR 7,496 million.

Therefore, in 2023, the alignment ratio stands at 13.3%(no basis for comparison in 2022).

INVESTMENT ACTIVITIESRisks and opportunities
Exposure to fossil energies
The amount invested in companies active in the fossil fuelsector as per Art 29 definition equals EUR 42 million as ofend of 2023, including EUR 22 million exposed to unconventional oil and gas.
Exposition(in EUR million)

2023

2022

Fossil energies

42

57

Unconventionalhydrocarbons

22

24

Thermal coal mining

05

In 2022, SCOR revised its sustainability policy, which
includes a commitment to divest totally from companies
generating revenues from thermal coal or unconventional
oil and gas by 2030 worldwide.
ESG ratings per ISS methodology
The ISS rating methodology is based on the analysis ofenvironmental and social (“E” and “S”) factors, including
governance criteria.

• Government bonds: For government securities, ISS

Exact alignment

0%

The numerator represents the sum of IFRS 17 insurance
revenue from aligned activities/lines of business following
the qualitative analysis. If SCOR could not assess the compliance with the criteria, related activities have been
excluded from the numerator of the ratio, thus considered
as not aligned by default.

(1) Life (re)insurance activities are excluded from eligible activities, as per Annex IIof the Climate Delegated Act published on 6 July 2021.
(2) Metric used in 2022 was gross written premiums while IFRS 17 is a new accounting
framework for (re)insurance which only applies starting 2023. Furthermore, the overall
premium covering climate-related perils was considered eligible while, as per
the clarification provided, SCOR only retains the sole part of climate-related perils
in the numerator of the ratio.

SCOR

assigns equal weighting to the two groups of E andS factors. At SCOR, government bonds are used mainly
for ALM purposes, backing the Group’s underwriting
commitments. Investing in other asset classes entails otherrisks and capital constraints that are not deemed relevant
given SCOR risk appetite.

• Corporate bonds: The methodology developed by ISS
to rate private companies is also based on the twogroups of E and S factors, but their weighting depends
on the business sector they relate to. Analyses are basedon financial and non-financial data provided by thecompanies complemented with interviews with employees and external stakeholders.

ESG rating

MedianESG rating

ISS coverage % ofratio
total assets

Total portfolio C

70%

100%

Government
bonds

100%

27%

Covered
bonds

100%

3%

Corporate
bonds

93%

44%

Equity100%

0.3%

The median grade in SCOR’s portfolio is C, unchanged
compared with the previous year. The coverage ratio isvery different from one asset class to another but stands
overall at 70 % of the total invested assets. As expected,
government bonds and corporate bonds are the mostwidely covered. As they represent the bulk of SCOR’s
assets, the current assessment of the overall portfolio isdeemed acceptable. Some asset classes like real assets
are not meant to be covered by ISS ratings.
Transition and social bucket
Transition and social: SCOR defines “sustainable” assets
depending on its internal taxonomy. The current limitations
when applying EU taxonomy criteria advocate for keeping the same methodology until data availability androbustness have materially improved. Asset classes in
SCOR’s “transition and social bucket” include direct realestate investments, infrastructure and real estate debts, andgreen, social and sustainable bonds. To be eligible, realestate must be certified and infrastructure debt must
finance the transition to a low-carbon economy. In addition, individual due diligence is performed on a line-byline basis to assess the internal “green stamp”.

As of Q4 2023, the transition and social bucket of SCOR’s
investment portfolio stands at EUR 2.303 billion including
operating real estate. This represents 9.7% of SCOR’s
overall assets versus 8.5% at the end of 2022.
The green and sustainable bucket (transition and social
bucket without the social bonds) represents 9.5% of
SCOR’s overall assets as of Q4 2023 (compared to 8.3%
as of Q4 2022).

2023 Group sustainability report10510. Metrics and targets

The green bucket (transition and social bucket without thesocial and sustainable bonds) represents 8.4% of SCOR’s
overall assets as of Q4 2023 (compared to 7.4% as of
Q4 2022).

MARKET VALUE OF GREEN
AND SUSTAINABLE BONDS (EUR MILLION)

As of 31 December 2023, nominal value of green andsustainable bonds stands at EUR 925 million.
SCOR has set a target to increase the green and sustainable bonds bucket to:852• EUR 702 million in market value by end of 2024,

504

reached),80• EUR 1,000 million in nominal value by end of 2024.

119

136

2023

180

EXPOSURE TO INSURANCE-LINKED
SECURITIES (EUR MILLION)

182
125

159
100

135

160
100

121

Q4 2016 Q4 2017 Q4 2018 Q4 2019 Q4 2020 Q4 2021 Q4 2022 Q4 2023

2022

Coverage
by ISS(1)Scopes1 and 2

Scope 3

Scopes1 to 3Coverage
by ISS(2)Scopes 1
and 2

Scope 3

Scopes1 to 3

Corporate bondsand equity

93%

324,240

4,758,967

5,083,207

95%

325,835

3,486,556

3,812,392

Sovereign debt
and assimilated

95%

1,890,660(3)–1,890,660

94%

1,888,107–

1,888,107

Covered bonds

99%

139

54,68054,81998%219

30,22830,447

Corporateloans(4)100%

22,405261,238(5)283,64398%

52,021–52,021

Direct real estatefor investment

80%

1,428

1,340

2,768

85%

2,482

1,549

4,031

Real estate debt

100%

1,937

596

2,533

100%

2,129

617

2,746

Infrastructure
debt

100%

27,61956,93784,556100%

218,309108,894

327,203

Total

76%

2,268,427

5,133,758

7,402,185

79%

2,489,102

3,627,844

6,116,947

Asset class

Q4 2016 Q4 2017 Q4 2018 Q4 2019 Q4 2020 Q4 2021 Q4 2022 Q4 2023

Insurance-Linked-Securities
SCOR invests in Insurance-Linked-Securities through funds
managed by its subsidiary SCOR Investments Partners.
SCOR gets return for taking climate acute physical risk
when investing in this type of products. The bucket offers
strong performance and diversification to its portfolio.

For private assets (real estate debt, infrastructure debt anddirect real estate for investment), data is mostly estimated,which creates variability from one year to another.

Table 2: Financed emissions in tCO2eq

639

351

• EUR 850 million in nominal value by end of 2023 (target

All emissions are provided by ISS, using either reported or
estimated data. Due to methodology enhancements performed by ISS, mainly related to a better incorporation ofscope 3 emissions, the financed emissions and carbon intensity prior to 2022 were restated to reflect these changes.

For equity, corporate bonds, covered bonds and corporate loans:Market value

ImpactFinanced emissions for a given issuer =Carbon footprint
Table 1: Investment value in EUR millions as of 31.12.23

with Enterprise value=market capitalization+outstanding debt (including cash)

2023
Asset class

Invested value2022% of total portfolio

Invested value

For sovereign debt and assimilated:

18,485.8

81%

18,216.3

82%

Corporate bonds and equity

10,107.5

44%9,808.6

44%

Sovereign debt
and assimilated

5,771.3

25%

5,858.8

26%

Covered bonds

659.6

3%

697.4

3%

Corporate loans

529.0

2%

499.8

2%

Direct real estatefor investment

659.9

3%

700.6

3%

Real estate debt

308.8

1%

286.8

1%

Infrastructure debt

449.6

2%

364.2

2%

Not covered(1)4,428.419%

4,086.4

18%

Total

22,914.2

100%

22,302.7

100%

106

SCOR

x Issuer emissions% of total portfolio

Covered with carbon
footprint data

(1) Asset classes not covered are cash, securitized products, funds, non-listed equities, insurance-linked securities.

Enterprise value

Financed emissions for a given issuer =Market value
Debt

x Issuer emissions

For direct real estate for investment, real estate debt and infrastructure debt:
Financed emissions for a given project =Market value
Project value

x Project emissions

For real estate debt and infrastructure debt, projectvalue is as of origination. For real estate debt, market
value is outstanding debt (since 2022) whereas forinfrastructure debt, market value corresponds to the initial amount of the loan.

So far, SCOR approach is aligned with PCAF’s for government bonds, corporate bonds, equity and real estate
debt. SCOR is working to extend alignment with PCAF
methodologies to other asset classes.

(1) Results in tables 2 and 3 are associated to portfolios studied by ISS, which are as of end November for internal organizational reasons. Difference with table 1 should be small.
(2) Results in tables 2 and 3 are associated to portfolios studied by ISS, which are as of end November for internal organizational reasons. Difference with table 1 should be small.
(3) There is no breakdown between scopes 1 and 2 and scopes 1, 2 and 3 for this asset class.
(4) Estimated data. SCOR expects to have more precise data with CSRD entering into force in the coming years.
(5) Scope 3 for corporate loans started to being modelled by ISS in 2023

2023 Group sustainability report10710. Metrics and targets

Table 3: Emissions intensity in tCO2eq per EUR million invested (kgCO2eq/m2 for direct real estate for investment)
2023

Alignment under the European Taxonomy
SCOR has determined its Taxonomy ratios:

2022

Asset classcoverage

Scopes1 and 2

Scopes1 to 3

Asset classcoverage

Scopes1 and 2

Scopes1 to 3

Corporate bondsand equity

93%

36

561

95%

35

407

Sovereign debt andassimilated

95%

353

353

94%

342

342

Covered bonds

99%

0

81

98%

0

41

Asset class

Corporate loans

100%

42

529(1)

98%

104

–

–

–

–

85%(3)

15.2–

Real estate debt

100%

6

8

100%

7

10

Infrastructure debt

100%

46

141

100%

407

610

Direct real estate forinvestment(2)

2023

2022

Turnover

CAPEX

TurnoverCAPEX

Eligibility – Mandatory KPI

11.1%

11.1%

Eligibility – Mandatory KPI

10.6%

11.0%

Alignment – Mandatory KPI

0.4%

0.8%

Alignment – Mandatory KPINA

NA

Eligibility – Voluntary KPI
Alignment – Voluntary KPI

23.1%

12.2%

Eligibility – Voluntary KPI

16.9%

12.4%

1.2%

1.6%

Alignment – Voluntary KPINA

NA

For all asset classes except direct real estate for investment:

The methodology of calculation of the mandatory ratios isdetailed in the URD Section 6.6.2, alongside the mandatory templates to fill. Methodology has been reviewed by
the auditors. The numerator of the mandatory ratios
includes:Carbon intensity by EV per EUR million invested for a given portfolio in tCO2eq per EUR million invested =• For fixed income and equities, the portion of assets (eli-∑ i (Financed emissions for a given issuer/project)i
Portfolio Market value

gible for the eligibility ratio, aligned for the alignment
ratio) where the issuer is subject to the European NonFinancial Reporting Directive (NFRD)(1) and its mandatory KPI is retrieved by ISS (the modelled data is
excluded).

x 1 000 000

For direct real estate for investment:
Carbon intensity by m2 for this portfolio in kgCO2eq/m2 =∑ i (Financed emissions for a given project)i
Portfolio surface

In this case, financed emissions represent the yearly scopes 1 and 2 emissions of all buildings (ownership = 100%).
This is the only class for which ISS data from table 2 is not used, in favor of CREEM data using energy consumption.
T he carbon intensity of a portfolio measured withenterprise value metrics is sensitive to portfolio
allocation and to issuers data:• The higher the assets invested in carbon intensive
companies, the higher the intensity• The higher the emissions, the higher the intensity• The lower the market capitalization, the higher theintensity• The lower the outstanding debt, the higher theintensity

There is also a lag when computing the figures at portfolio level as issuers’ data are dated at least one year
prior at the time of the calculation. This lag is even more
so visible that market capitalization is captured daily.

• For fixed income and equities: the portion of assets (eli-gible for the eligibility ratio, aligned for the alignment
ratio) for issuers that have data according to ISS, regardless of whether the issuer is subject to the NFRD andirrespective of the data source (reported or modelled
by ISS).

• For real assets in or outside the EU, the eligibility assess-ment has been performed at the position level, based ondata provided by the issuers. The internal analyses performed to determine eligibility are used to determine thealigned real assets in the voluntary alignment ratio.

Implied Temperature Rise
The Implied Temperature Rise is a forward-looking metricused to try and measure the alignment of the portfolio orof an asset class with the Paris agreement to limit global
warming well below 2°C by 2100 compared to preindustrial levels. As already explained in the past, the data
lacks robustness and is still being adjusted with models andmethodologies improving regularly. More than the absolute level, SCOR prefers to consider the trend.

As in the past, SCOR has selected Carbone 4 for thisassessment. The measure is quite stable year on year at
3.3°C. Coverage has improved (from 57% in 2022 to
63% of all AUM).

(1) New methodology for corporate loans’ scope 3 emissions.
(2) Data as of 2023 is not yet available.
(3) % of Total Gross floor area (m2).

108• For real assets (buildings acquired for own use or investment purposes as well as investments in infrastructure andreal estate debt) in the EU, the eligibility assessment has
been performed at the position level, based on data
provided by the issuers. SCOR does not include real
assets in its alignment ratio in the absence of external
observable inputs.

The voluntary ratios have the same denominator as the
mandatory ratios (i.e., assets covered). Their numerator
includes:

SCOR

ImpliedTemperature Rise

2019

Previous
methodology

2.8°C 2.8°C –2021 methodology /metrics

3°C

2020

3°C

2021

2022

2023

–

–

3.3°C 3.2°C 3.3°C(1) As estimated by ISS based on the following criteria: issuer established in the EU, with more than 500 employees, with a turnover above EUR 40 million, either listed on a regulated
stock exchange in the EU or in one of the following sectors: social security activities, insurance, reinsurance and pension funding, financial service activities.

2023 Group sustainability report10910. Metrics and targets

The below table provides the breakdown of the KPI weighted by turnover.
Invested value
in EUR millions(1)As of 31 December 2023
Total assets, including:% assetscovered

24,016.7

Central governments, central banks and supranational issuers

4,840.0

Assets covered(2), including:

19,176.7

100%

Assets eligible to the mandatory KPI, including:

2,134.3

11.1%

526.5

2.8%

Direct real estate for own use – in the EU

502.1

2.6%

Infrastructure debt – in the EU

252.2

1.3%

Real estate debt – in the EU

292.3

1.5%

Fixed income and equities - turnover weighted (reported)(3)

561.2

2.9%

Assets eligible to the voluntary KPI, including:

4,424.3

23.1%

Assets eligible to the mandatory KPI

2,134.3

11.1%

Fixed income and equities – turnover weighted (KPI either not reported or not mandatory)(4)2,113.9

11.0%

Direct real estate for own use – outside the EU

147.1

0.8%

Infrastructure debt – outside the EU

29.0

0.2%

Assets aligned to the mandatory KPI, including:

77.4

0.4%

77.4

0.4%

Assets aligned to the voluntary KPI, including:

231.8

1.2%

Assets aligned to the mandatory KPI

77.4

0.4%

Fixed income and equities – turnover weighted (KPI either not reported or not mandatory)(6)

8.9

0.0%

Direct real estate

0.0

0.0%

Infrastructure debt

145.4

0.8%

Real estate debt

0.0

0.0%

Direct real estate invested – in the European Union (EU)

Fixed income and equities – turnover weighted (reported)(5)

Biodiversity footprint
In 2020, SCOR partnered with Iceberg Data Lab in its
preliminary attempt to understand methodologies andhow they can contribute to understanding the challenges
and find remediation actions when possible. In the 2020
Sustainable Investment Report, SCOR provided a complete description of Iceberg Data Lab methodology CBF(Corporate Biodiversity Footprint) and a first assessment of
this metric applied to its investment portfolio.
Since then, SCOR has continued the partnership with
Iceberg Data Lab which improved data accuracy, addedpressures, and extended coverage.

 iodiversity indicator: MSA
B
and km2MSA
The Mean Species Abundance (MSA) is used todescribe biodiversity changes with reference to theoriginal state of ecosystems. It is defined as the averageabundances of originally occurring species relative totheir abundance in the undisturbed ecosystem.

Compared to 2022, the biodiversity footprint is stable.
The biodiversity footprint is the sum of 4 pressures, as­displayed below:
REPARTITION OF SCOR BIODIVERSITYFOOTPRINT (IN MSA.KM2)
26

The km²MSA indicator is the expression of the MSA on
a specific surface.
For example, a 1km² of an intensively cultivated field(10% MSA) has the value of 1*10%=0.1km²MSA.
Also, the MSA change from 100% to 75% on a 1km²
field means a loss of (100% - 75%)*1=0.25km²MSA.
Of course, this means that a MSA change from 100%
to 0% on a 0.25km² field will also have the value of0.25 km²MSA loss.
Considering two fields of equal superficies and a MSA
of 100%, the two different changes of MSA below
would result in the same amount of km²MSA lost:
100%0%This metric is still in a development phase, but SCOR considers it provides valuable inputs to support the work of the
Finance for Biodiversity Foundation and accelerates theapproach to protect biodiversity.
Biodiversity footprint for an issuer =Market value

323

Land Use

89

Water pollution

13

Air pollution

10.2. TARGETS
SOCIAL TARGETS
Gender diversity in ComEx
and top management

75%

Enterprise value

ClimateIn 2021, the Board of Directors decided to set a target for
women to represent 30% of the Group Executive
Committee’s members by 2025, up from 10% in 2020.
The Board of directors has also decided on 26 July 2023
to set an additional feminization target of the Global
Partner (GP), Senior Global Partner (SGP) and Executive
Global Partner (EGP) levels, increasing the original target
from 27% to 30% for the end of 2025.

x Issuer absolute biodiversity fooprint

Gender diversity in ComEx

with Enterprise value=market capitalization+outstanding debt(including cash)
2023

2022

SCOR biodiversity footprint(km²MSA per year)

452

458

Coverage of corporate bondand equities sub-portfolio (%)

84%

84%

Female

Male

30%

70%

2025
target

22%

78%

2023

22%

78%

2022

Gender diversity at GP, SGP
and EGP partnership levels
Female(1) Market value(2) Assets covered = total assets - exposures to central governments, central banks and supranational issuers.
(3) Provided by ISS for reported mandatory KPIs. Fixed income and equities (CAPEX weighted – mandatory KPI reported) amount is 562.2m EUR(4) Provided by ISS for reported KPIs of companies not subject to the NFRD or estimated by ISS. Fixed income and equities (CAPEX weighted - KPI either not reported or not mandatory)
amount is 30.8m EUR(5) Fixed income and equities (CAPEX weighted – mandatory KPI reported) amount is 149.1m EUR(6) Fixed income and equities (CAPEX weighted - KPI either not reported or not mandatory) amount is 10.0m EUR

110

SCOR

Male

30%

70%

2025
target

24%

76%

2023

23%

77%

2023 Group sustainability report

2022

111

10. Metrics and targets

ENVIRONMENTAL TARGETS
Climate change
SCOR is committed to transitioning all operational andattributable greenhouse gas emissions from its insurance
and reinsurance underwriting portfolios and investment
portfolios to net zero by 2050.

Act4nature
In 2021, to demonstrate the rising concern of the Groupon biodiversity, SCOR set some targets through the
Act4nature international initiative. Act4nature international
is a pragmatic alliance initiated to accelerate concretebusiness actions in favor of nature and born by businesses
and stakeholders, including NGOs, academic bodies
and public institutions. Committed businesses have signed
at CEO-level 10 common commitments and set SMART
individual targets (Specific, Measurable, Attainable,
Relevant and Time-bound). SCOR’s targets and progress
linked to underwriting and investment activities, as well as
its operations, are disclosed on the Act4nature international website: SCOR-VF.pdf (act4nature.com)

UNDERWRITING ACTIVITIESDriving underwriting portfolios towards
net zero emissions
As part of the Poseidon Principles for Marine Insurance
initiative, the Group has also committed to assessing anddisclosing the climate alignment of its hull and machinery
portfolios, and to benchmarking them against two trajectories related to a 50% reduction in annual greenhousegas emissions by 2050 compared to 2008, and a 100%
reduction in emissions by 2050.
SCOR set a target to engage with clients representing atleast 30% of SCOR Business Solutions Single Risk premium
regarding their ESG commitments and their transition strategy, over the course of the new strategic plan.

Carbon intensity
by Enterprise Value (EV)in tCO2eq/EUR million invested
Corporate bonds and equities

Finally, SCOR targets to double its coverage(1) of low carbon energies by 2025 in SCOR Business Solutions(2) andmultiply such coverage by 3.5 times by 2030. This involves
providing clients with insurance solutions for new and/ or
low carbon energies and developing or reinforcing expertise in new areas (carbon capture and storage, offshorewind, hydrogen, etc.).

INVESTMENT ACTIVITIES
Decarbonization sub-portfolio target
As member of the Net Zero Asset Owner Alliance, SCOR
commits to set targets for decarbonization of its portfolio,using end 2019 as a baseline. The initial target set ran until
end of 2024(3), the new ones run until end of 2029.
SCOR uses carbon footprint including scope 3 as moremeaningful especially for carbon intensive sectors. For
these reasons and despite some weaknesses in the current
data, SCOR has decided to set carbon intensity targets
including scope 3 on its corporate bond and equities
sub-portfolio based on enterprise value of issuers.
For the sake of transparency, SCOR will report on decarbonization progress on a yearly basis. However, figures
should be read cautiously and only a longer-term trend
provides reasonable information on the decarbonizationachievements.
For its corporate bond and equities sub-portfolio,
SCOR has set a target to reduce its carbon intensity by
27% by the end of 2024 and by 55% by the end of 2029.
This will be achieved by combining a best-in-class selection and active engagement with investees to impact thereal economy. The decarbonization path cannot be
achieved by rebalancing most emitting sectors to least
emitting ones with no consideration for supporting companies with credible path to decarbonization. Progressshould be measured globally over the period, keeping in
mind the lag of the data and the time it takes for companies
to show visible results in their own decarbonization path.

Scopes 1, 2 and 3 emissions
2023

2022

2019

561

407

752 (273 prior
to restatement)

Changesince 20192025
target2030
target

-25%

-27%

-55%

(1) For production, storage and transmission. Based on Estimated Gross Premium Income (“EGPI”) for 2020.
(2) SCOR Business Solutions (formerly SCOR Specialty Insurance) Single Risk: large industrial risks, underwritten on a risk-by-risk basis (as opposed to reinsurance treaties, underwritten
on a portfolio basis by insurance companies).
(3) The AOA Target Setting Protocol requires to set target by 2025 and 2030, which respectively means as of 31 December 2024 and 31 December 2029.

112

SCOR

Due to methodology enhancements performed by
SCOR’s carbon emissions information provider, mainly
related to a better incorporation of scope 3 emissions, thecarbon intensity base year was restated in 2022 to reflect
these changes.
In 2023, corporate bonds and equities represented 44%of the SCOR total portfolio (compared to 45% in 2022).
The carbon footprint data provided by ISS represented
93% of this corporate bond and equities sub-portfolio. Outof the covered portfolio:• 99% of investment value has reported scopes 1 and 2
emissions (1% is estimated)• 64% of investment value has reported scope 3 emissions(36% is estimated)

The carbon intensity of the corporate bond and equities
sub-portfolio has increased in 2023 comparing to 2022
(561 tCO2eq/EUR m vs 407 tCO2eq/EUR m). Thisrebound, partly linked to the Covid-19 economic recovery, was expected as corporate emissions are updated for2021 FY. Despite the emissions rebound, SCOR is still on
track to achieve the 2025 target (-27% by 31 December
2024 compared to the December 2019 level).
For its direct real estate for investment sub-­portfolio, SCOR has set a target to reduce the carbon
intensity of the investment direct real estate sub-portfolio by
50% by end 2029 (base year end 2020). This will beachieved by improving the energy efficiency ofbuildings.

Decarbonization sector target
As member of the Net Zero Asset Owner Alliance, SCOR
commits to set targets for decarbonization for high-emitting
sectors of its portfolio. Regarding the power utilities portfolio, SCOR has set a target to reduce the carbon intensity(MtCO2eq/PJ) by 38% by end 2034 compared to endof year 2019. This will be achieved by combining a bestin-class selection and active engagement with investees to
impact the real economy.
There is a lag between emissions and data collection.
Hence, the results available are as of 2022 (latest data
available).
Carbon intensityof power utilities
in MtCO2eq/PJ
Powerutilities

Scopes 1 and 2
2019

2021

Evolution
Target
since
2035
2019
2022

0.048

0.041

0.039

-20 %

-38 %

The calculation of the carbon intensity covers 98% of
power utilities producing power included in the 2022
Group portfolio.

Biodiversity target
SCOR aims to ensure, to the best of its abilities, that by
2030 its investment portfolio does not contribute to
deforestation.

There is a lag between emissions and data collection.
Hence, the results available are as of 2022 (latest data
available).
Carbon intensity
per surface
in kgCO2eq
per m2
Directreal estatefor investment

Scopes 1 and 2
2020

2021

Evolution
Target
since
2030
2020
2022

17.1

15.6

15.2

- 11 %- 50 %

85% of total gross internal area(1) in 2022 of all the direct
real estate for investment is covered by the study.
As part of the NZAOA membership, SCOR will work in
the coming months with other members to extend targets
to additional asset classes and set new decarbonization
targets by 2030. This will enable to align with the mandatory requirements of Article 29 of the French Law forEnergy and Climate.

(1) Total gross internal area represents the sum of square meters of all buildings.

2023 Group sustainability report113

APPENDICES

114

SCOR

2023 Group sustainability report

115

11.
Other
sustainabilityrelated data
11.1. Engaged People & Positive Workplace 118

116

SCOR

11.2. Sustainability in underwriting121

11.3. Sustainable investment activities

122

11.4. Sustainable operations122

11.5. Business ethics

123

2023 Group sustainability report11711. Other sustainability-related data

EMPLOYMENTThis section aggregates data presented in the sustainability report as well as additional datarequired by voluntary frameworks (e.g. SASB,
Global Reporting Initiative)

Breakdown of employees by type of working time (by gender and by region)
2023

Breakdown of employees by Hub
MetricEMEA
AmericasAsia-PacificTotal headcount

11.1. ENGAGED PEOPLE& POSITIVE WORKPLACE

Unit
numbernumbernumbernumber

2023
2,009
923
559
3,491

2022
2,033
934
555
3,522

Women

Total

Men

Women

Total

Full-time employees

1,805

1,521

3,326

1,798

1,544

3,342

Part-time employees

48

117

165

52

128

180

Total

1,853

1,638

3,491

1,850

1,672

3,522

Breakdown of employees by business unit

The consolidated human resources data presented cover
the entire Group (SCOR SE and all its consolidated subsidiaries through full integration), which includes SCOR
(3,134 employees including SCOR Syndicate and SVOne SAS), ReMark (195 employees), ESSOR (103
employees), AgroBrasil (50 employees), SIP UK Ltd (2employees), MRM (7 employees), but does not include
the employees of Château Mondot SAS (23 employees)
and Les Belles Perdrix de Troplong Mondot EURL (29employees). These entities, all wholly owned subsidiaries
of SCOR SE, except MRM, of which SCOR SE holds
59.9% of the capital, are all managed independently fromthe Group in terms of human resources (HR policies, processes, rules and frameworks, etc.).

Metric

Unit

2023

2022

SCOR P&C
SCOR L&H
SCOR Investments
Group Functions
and Support
Partners
Total headcountnumbernumbernumber

1,244
1,024
110

1,239
919
109

numbernumbernumber

1,113
–
3,491

1,137
118
3,522

Breakdown of employees by age(1)2023
NumberUnder
30 years old
Between30-50 years oldOver
50 years old

For more information on the approachto collect data, please refer to Section 6.10.1– Human resources data: methodology
in the 2023 Universal Registration Document.

2022

%

Number

%

243

9%

266

10%

1,633

64%

1,659

64%

692

27%

663

26%

Breakdown of employees by gender
2023
Men
Women
Total

2022

Number%Number

%

1,853
1,638
3,491

53%
47%
–

1,850
1,672
3,522

53%
47%
–

Breakdown of employees by status (SCOR only)

2022

Men

2023

2022

EMEA

AmericasAsia-Pacific

Total

EMEA

AmericasAsia-PacificTotal

Full-time employees

1,854

918

554

3,226

1,863

931

548

3,342

Part-time employees

155

5

5

165

170

3

7

180

Total

2,009

923

559

3,491

2,033

934

555

3,522

Employee turnover rate (by gender, age,and region)

New hires (by gender, age, region
and contract type)

MetricMetric

Unit

2023

2022

New hires

-

416

455

Men

%

54

55

Women

%

46

45

Under 30

%

31

32

30-50

%

62

60

Over 50

%

7

8

EMEA

%

55

55

Americas

%

29

26

Asia-Pacific

%

16

19

Unit

2023

2022

Voluntary employee
turnover rate (resignation)(1)

%

8.74

8.97

Turnover rate(2)

%

12.33

12.74

Men

%

11.78

12.95

Women

%

12.94

12.50

Under 30

%

18.05

18.82

30-50

%

12.91

11.82

Over 50

%

9.15

12.64

EMEA

%

11.85

11.37

Americas

%

14.13

16.12

Asia-Pacific

%

11.01

11.74

Departures (by gender)

2023

2022

2023

Men

Women

Total

Men

Women

Total

Non-Partners

1,079

1,179

2,258

1,068

1,236

2,304

Partners

578

298

876

589

283

872

Breakdown of employees by type of contract
2023

2022

2022

Men

Women

Total

Men

Women

Total

Resignation

154

151

305

172

142

314

Mutual agreement

15

11

26

8

12

20

Dismissal

26

28

54

32

34

66

Retirement

19

24

43

25

20

45

Men

Women

Total

Men

Women

Total

Death

2

–

2

–

1

1

Permanent contracts

1,826

1,624

3,450

1,834

1,654

3,488

Company transfer

1

–

1

–

–

–

Fixed-term contracts

27

14

41

16

18

34

End of fixed term contract

6

12

18

13

20

33

Total

1,853

1,638

3,491

1,850

1,672

3,522

Total

223

226

449

250

229

479

Trainees

129

100

229

95

98

193

Total including trainees

1,982

1,738

3,720

1,945

1,770

3,715

(1) Due to local laws, the age of the employees working in the Americas Hub has not been taken into account in these figures.

118

SCOR

(1) Number of permanent contract resignations during the year, excluding intercompany transfers as a proportion of the overall permanent contract headcount as at December 31, Y-1.
(2) Number of permanent contract departures during the year, excluding intercompany transfers as a proportion of the overall permanent contract headcount as at December 31, Y-1.

2023 Group sustainability report11911. Other sustainability-related data

TRAINING AND SKILLS DEVELOPMENT
INDICATORSDIVERSITY AND INCLUSION
Metric

Unit

2023

2022

Training participation

Proportion of women on the
Board of Directors

%

40

42.8

Proportion of women on Executive
Committee (= share of women in
management positions – top)(1)
%

22

22

Metric

Unit

2023

2022

Rate of participation
to one training(excl. mandatory training)

%

80

76

Training spending and budget
Metric

Unit

2023

2022

Training budget

EUR
million

1.5

1.2

Average amount spent
per headcount on training anddevelopment

EUR

416

363

Breakdown of training hours by genderand management level
Metric

Unit

2023

2022

Total number of training
hours (including mandatory
trainings) per employee

Hours peremployee

12

14.5

Men

Hours

20,977

26,692

Women

Hours

19,96622,528“Partnership” level, GP to
EGP (= management
positions)

Hours

3,508

2,628

Management
positions – junior

Hours

6,095

7,105

Non partners

Hours

31,341

39,388

Unit

2023

2022

Percentage of employees thatparticipated in a regularperformance and careerdevelopment reviews

%

87

84

Men

%

86

85

24

23

Proportion of women in
management positions – junior(AP)(1)%39

Proportion of women at Partner
level

%

Proportion of womenat Non-Partner level(1)SOCIAL DIALOGUE AND LABOR RIGHTS
Unit

2023

2022

Difference in hourly
pay - mean

Metric

Unit

2023

2022

%

22.6

36.2

Number61

67

38

Difference in hourly
pay - median

Number of meetings with
employee representatives

%

27.7

31.8

Number of CECC(1) meetings

Number

12

5

%

87.1

73.3

12

7

32

Women who received
bonus pay

Number34

Number of collective agreements
signed%52

54

Men who received
bonus pay

%

84.0

68.4

Number28

4

Proportion of women in revenuegenerating functions(1)

%

31

31

Difference in bonus
pay - mean

Number of meetings
with employee representatives todiscuss local health and safety

%

53.9

59.9

Proportion of women in STEM
related positions(1)

%

34

36

Difference in bonus
pay - median

73.6

35.8

Proportion of women in leadershipprograms%

50

57

Share of employees withdisabilities

0.6

0.62

%

MetricUnit

2023

2022(2)SCOR average global
compensation

EUR

145,345 143,391

SCOR average fixedcompensation

EUR

118,366

114,389

SCOR average bonus

EUR

12,37815,728SCOR median annualcompensation

EUR

113,201

110,000

COMPENSATION BREAKDOWNBY GENDER

Women

%

88

84

“Partnership” level, GP to EGP(= management positions)

Metric

Unit

2023

2022

%

79

72

Management
positions – junior

/100

90

91

%

87

86

The index of professional equality
between men and women(France)(3)

Non partners

%

88

85

(1) Perimeter: SCOR only (including SCOR Syndicate for 2022 and SCOR Syndicate
and SV One SAS for 2023)

120%

Days relating to community engagement are calculated
on a declarative basis. Within the SCOR for Good program, volunteer employees validate their participation incharity activities with their manager and report their“leave” in the Group’s information system. Employees are
not asked to provide any proof of their commitment.

MetricCOMPENSATION(TOTAL AND GENDER PAY GAP)

Performance and career development reviews(1)MetricProportion of women at“Partnership” level, GP to EGP(= share of women in
management positions)(1)

UK Gender pay gap for SCOR Services UK limited
SCOR services UK limited publishes in April, on a yearlybasis in Gender pay gap report (see SCOR SERVICES UK
LIMITED gender pay gap data for 2023-24 reporting
year – GOV.UK (gender-pay-gap.service.gov.uk/
EmployerReport/u7RAscOY/2023).

%

11.2. SUSTAINABILITYIN UNDERWRITINGEMPLOYEE ENGAGEMENT
AND WELLBEING

EU TAXONOMY ELIGIBILITY

Employee engagement survey

Metric

Unit

2023

2022

In 2023, 58% of SCOR employees participated in to theengagement survey (compared to 60% in 2022). The
engagement score is calculated as an average scoreobtained for the questions “I am happy working at SCOR”
and “I would recommend SCOR as a great place to work”.

Share of eligible activities under
the European Taxonomy(underwriting)

%

14.1

14.2(2)

Metric

Unit

2023

2022

Employeewellbeing score

/100

65

66

Employeeengagement score

/100

65

65

Men

/100

65

64

Women

/100

64

65

Under 30

/100

73

71

30-50

/100

63

63

Over 50

/100

67

66

Absenteeism rate(1) Science, Technology, Engineering and Mathematics(2) Excluding ReMark, ESSOR, AgroBrasil, SIP UK Ltd, MRM and SCOR corporate
officers.
(3) The index of professional equality between men and women in France is based on
5 indicators: pay gap between men and women, gap in the distribution of pays rises
between men and women, gap in the distribution of promotions between men andwomen, pay rises on returning from maternity leave and gender equality among the
top ten earners.

SCOR

Metric

Unit

2023

2022

Absenteeism rate

%

3.60

4.30

COMMUNITY ENGAGEMENT
Metric

Unit

2023

2022

Number of community
engagement days

-

726

475
(1) Common European Companies Committee(2) 2022 recalculated ratio (57.6% in the previous calculation format, based on grosswritten premiums).

2023 Group sustainability report12111. Other sustainability-related data

11.3. SUSTAINABLE INVESTMENT ACTIVITIESBREAKDOWN OF GHG EMISSIONS FOR OPERATIONS BY SCOPE (LOCATION BASED)
MetricUnit

2023

Coverage2022

Coverage

Metric

Unit

2023

2022

Scope 1tCO2eq

471

98.5%

755

99%

Exposure to fossil energies

EUR million

42

57

Scope 2tCO2eq

3,705

98.5%

3,865

99%

Median ESG rating(1)

-

C

C

Scope 3tCO2eq

17,68598.5%

12,367

99%

Financing transition bucket% Total AUM

9.7

8.5

Related greenhouse gas emissions

tCO2eq21,861

98.5%

16,98799%

Implied Temperature Rise(2)

°C

3.3

3.2

Eligibility ratio (mandatory – revenue based)(3)

%

11.1

10.6

Eligibility ratio (voluntary – revenue based)(4)

%

23.1

16.9

Alignment ratio (mandatory – revenue based)(5)

%

0.4

NA

Alignment ratio (voluntary – revenue based)(6)

%

1.2

NA

Carbon intensity by Enterprise Value (EV)t CO2 eq/EUR
million invested

561

407

Biodiversity footprint (CBF)(7)km2MSA/year

452

458

EU taxonomy for sustainable activities

11.4. SUSTAINABLE
OPERATIONSBREAKDOWN OF GHG EMISSIONS BY SOURCES FOR SCOPE 3 IN OPERATIONSMetricFuel and energy-related activities
Waste
CommuteBusiness travel
Purchased goods and services(Paper, external data centers, cloud,applications in SAAS and water)
Capital goods (IT equipment)
Downstream leased assets
Total scope 3

PAPER, WATER, WASTE

For information on the scope and methodology of datacollection for sustainable operations see section 6.10.2– Environmental data: methodology in the 2023 Universal
Registration Document.

ENERGY CONSUMPTION AND MIX
WITHIN THE ORGANIZATION
Metric

Unit

2023

2022

Electricity

GWh

10

10.8

Of which conventional
electricity

GWh

4.2

3.9

Of which renewableelectricity

GWh

5.8

6.8

Fuel (non-renewable)

L

7,120

2,210

Gas

m3

40,587

46,620

Other heating

GWh

1.1

1.4

Other cooling

GWh

2.7

3.1

Total energy consumption

GWh

14.3

15.8

MetricUnit

2023

2022(1)

Total waste disposed

t

344.5

362.1

99.6

72.6

9.7

5.2

35

32.4

Of which sorted andrecycled paper wastet

Of which IT & electronic
waste recycledt

Of which other waste
recycledt

Purchased paper

t

8

15.1

Total water use

m3

36,21636,274

2023
101
7
1,449
12,972

CoveragetCO2eq588

527

tCO2eqtCO2eqtCO2eq619
1,948
17,685498
2,732
12,367

99%

2022
130
8
1,464
7,010

Coverage99%

ENERGY INTENSITY (GHG EMISSIONS/ EMPLOYEE)MetricGHG emissions from scope 1
GHG emissions from scope 2
GHG emissions from scope 3
CO2 emissions from business travel (flight and rail)
Greenhouse gas emissions (scopes 1 and 2)
Greenhouse gas from operations (scopes 1, 2 and 3)

Unit
tCO2eq/employee
tCO2eq/employee
tCO2eq/employee
tCO2eq/employee
tCO2eq/employee
tCO2eq/employee

2023
0.13
0.65
4.75
3.49
0.78
5.53

2022
0.20
0.81
3.33
1.89
0.97(1)
4.34(1) 99% coverage

BUSINESS TRAVEL AND EMPLOYEECOMMUTING

11.5. BUSINESS ETHICS

Metric

Unit

2023

2022

Distance travelledkm

29,729,785

21,589,848

CYBERSECURITY

km

27,680,999

20,355,288

MetricUnit

1,234,560

Number of fake phishingcampaigns carried out–

Number of fake phishingemails sent–

Of which air travel
Of which train travelkm

2,048,786

BREAKDOWN OF GHG EMISSIONS FOR OPERATIONS BY SCOPE (MARKET BASED)
MetricUnit

2023

Coverage2022

Coverage

Scope 1tCO2eq

471

98.5%

755

99%

Scope 2tCO2eq

2,420

98.5%

3,009

99%

Scope 3tCO2eq

17,68598.5%

12,36799%

Related greenhouse gas emissions

tCO2eq

20,576

98.5%

16,13199%(1) Coverage ratio: 70% of total AUM (73% in 2022). (2) Coverage ratio 2023: 63% of total AUM (57% in 2022). (3) Coverage ratio 2023: Assets covered by the Taxonomy represent
80% of total assets (79% in 2022). (4) Coverage ratio 2023: Assets covered by the Taxonomy represent 80% of total assets (79% in 2022). (5) Coverage ratio 2023: Assets covered by
the Taxonomy represent 80% of total assets (79% in 2022). (6) Coverage ratio 2023: Assets covered by the Taxonomy represent 80% of total assets (79% in 2022). (7) Coverage ratio
2023: 37% of total AUM (37% in 2022)

122

Unit
tCO2eqtCO2eqtCO2eqtCO2eqSCORCOMPLIANCE
2023

2022

12

8

60,841

46,219Metric

Unit

2023

2022

Number of hours
dedicated tocompliance training

Hours

5,922(2)13,463

BREACHES OF CUSTOMER PRIVACY:COMPLAINTS
Number of substantiated complaints received concerning
breaches of customer privacy in the last financial year, including breakdown of figures (by the source of the complaint, e.g.
complaints from regulatory bodies, third-parties, etc.).
Metric2023

2022

Number of complaints received –from outside parties andsubstantiated by the organization

Unit

0

0

Number of complaints from
regulatory bodies

0

0

–

(1) Excluding fugitive emissions.
(2)Excluding cyber security training course

2023 Group sustainability report

123

12.
Tables ofcorrespondence

124

SCOR

12.1. Article 29 of the French Energy-Climate Law126

12.1. SASB mapping

128

12.2. Task-force for Climate-related Financial
Disclosures (TCFD)

130

12.3. Global Reporting Initiative (GRI)

131

2023 Group sustainability report12512. Tables of correspondence

12.1. ARTICLE 29 OF THE FRENCH ENERGY-CLIMATE LAW
The table below indicates where the information in line with the requirements of Article 29 of the French Energy-Climate Law
can be found.
For simplification:• “URD” refers to the 2023 Universal Registration Document available on scor.com• “SR” refers to this 2023 Sustainability report• “SP” refers to the Sustainability Policy available on scor.com
Art 29 decree no. 2021-663 of 27 May 2021 sections

Sources

Art 29 decree no. 2021-663 of 27 May 2021 sections

Sources

III 1°SR - 1 – SCOR’s approach to sustainability
SR - 2 – Good governance
SR - 2.5 – Communication and transparency
SR - 2.3 – The role of asset managers
SR - 1.2 – SCOR’s approach

III 5°SR - 10.1 – Eligibility and alignment of SCOR (re)insurance
activities under the European Taxonomya) Entity’s general approachb) Stakeholders’ informationc) Article 8 and Article 9 financial
Sectiond) ESG criteria in the decision-making processe) Adherence to a charter, code, initiative and certifications

Also in:
URD - 6.1 – Sustainability strategy and governanceSP - 2 – SCOR’s approach
SP – 2.1 – General reference framework
SP - 2.6 – Disclosing

III 2°a) Internal resources and means

SR - 2.3 – Spreading knowledge on sustainable investments anddevelopment of internal expertise

III 3°

Governancea) Knowledge, skills and experience of governance bodies

SR - 2.1 – Board of Directors’ oversight of sustainability-related
issuesAlso in:
URD - 6.6 – EU taxonomy methodology and key performanceindicators
III 6°

Alignment with the Paris agreementa) Targetsb) Methodologiesc ) Resultsd) N/Ae) Use in investment strategyf) Change in investment strategyg) Monitoring outcomes and changesh) frequency of updates

SR - 5 – Sustainable investment activities
SR - 8.3 – Investment activities
SR - 10.1 – Investment activities
SR - 11.3 – Sustainable investment activities

Alignment with long-term biodiversity targets:- Compliance with Convention on Biological Diversity- Analysis of contribution to the reduction of the main impacts
on biodiversity- Footprint

SR - 5 – Sustainable investment activities
SR - 8.3 – Investment activities

III 8°
andIII 8°
bis

Identification, assessment, prioritization,
management of ESG risks

SR - 1.2 – Identifying risks, opportunities, and impacts (IRO)
SR - 8 – Impacts, risks and opportunities identification andmanagement

III 9°

Improvement plan

URD - Section 6.3.2.3 – Achievements and next steps

III 7°

Also in:
URD - 6.1.2.2 – A governance dedicated to sustainability
URD - 6.1.2.3 – Performance conditions on social andenvironmental issuesb) Reinforcement of internal capabilities

SR - 2.3/ Spreading knowledge on sustainable investments anddevelopment of internal expertise

Inclusion in remuneration policies

SR - 2.4 – Performance conditions on social and environmental
issuesAlso in:
URD - 2.2.1 – Compensation of executive corporate officers andthe directors
URD - 6.1.2.3 – Performance conditions on social andenvironmental issuesc) Integration in the internal rules of the Board of Directors

European taxonomy & fossil fuels

Also in:
URD - 6.3.2.1 – Responsible investment approach
URD - 6.3.2.3 – Achievements and next steps

Also in:
URD - 6.1.2.2 – A governance dedicated to sustainability
URD - 6.1.2.3 – Performance conditions on social andenvironmental issues

SR - 2.1. Board of Directors’ oversight of sustainability-related
issuesAlso in:Internal regulations of the Board of Directors of SCOR SE - Part 1/
Activities of the Board of Directors/ (1) Mission of the Board of
Directors

III 4°

126a) Scope of engagement strategyb) Voting policyc) Engagement strategy resultsd) Voting policy resultse) Investment decisions

SR - 5.4 – Stewardship strategy and activities
Also in:
SP - 2.3 – Engaging
SP - 3.2 – Climate change/ Stewardship and Engagement withkey stakeholders/ Investments
URD - 6.3.2.1 – Responsible investment approach

SCOR

2023 Group sustainability report12712. Tables of correspondence

12.2. SASB MAPPINGThe following correspondence table was drawn up at the request of some of SCOR investors and reflects SCOR’s understanding of the well-known framework of the Sustainability Accounting Standards Board and more specifically the Industry
Standards Version 2018-10 for the Insurance sector.
For simplification:• “URD” refers to the 2023 Universal Registration Document available on scor.com• “SR” refers to this 2023 Sustainability report• “SP” refers to the Sustainability Policy available on scor.com
Code

Accounting metric

Unit ofmeasureSCOR source

Transparent Information & Fair Advice for Customers

FN-IN 270a.1

FN-IN-270a.2

Total amount of monetary losses as a result oflegal proceedings associated with marketing andcommunication of insurance product-related
information to new and returning customers

ReportingCurrency

Complaints-to-claims ratio

Rate

For more information on litigation associatedwith SCOR SE, see 2023 URD Section 4.6
Note 24 – Litigation.
Not applicable, as SCOR is a B2B business and does nothave retail consumer complaints about mis-labeling forexample.

Customer retention rate

Rate

Not applicable, as SCOR is a B2B business.

FN-IN-270a.4

Description of approach to informing customers
about products

n/a

No specific description of approach to informing
customers about products and services as SCOR
is a B2B business.

Incorporation of Environmental, Social, and Governance Factors in Investment Management & Advisory

FN-IN-410a.2

Total invested assets, by industry and asset class

Description of approach to incorporation ofenvironmental, social, and governance (ESG)
factors in investment management processes andstrategies

Reportingcurrency

SCOR sourcen/aFN-IN-450a.1

Probable Maximum Loss (PML) of insured
products from weather-related natural
catastrophes

ReportingCurrency

FN-IN-450a.2

Total amount of monetary losses attributable toinsurance payouts from (1) modeled natural
catastrophes and (2) non-modeled natural
catastrophes, by type of event and geographic
segment (net and gross of reinsurance)

ReportingCurrency

For more information on losses due to catastrophes, net of
retrocession for the current and previous financial years,see 2023 URD Section 1.3.5.2 – SCOR Global P&C.

FN-IN-450a.3

Description of approach to incorporation ofenvironmental risks into (1) the underwriting
process for individual contracts and (2) the
management of firm-level risks and capital
adequacyn/a

For more information on the incorporation ofenvironmental risks at SCOR see 2023 URD
Section 3.1 – Main risk factors and SR Section 4– Sustainability in underwriting activities.

Systemic Risk Management

Please refer to “1. SCOR’s approach to sustainability”
and “5. Sustainable investment activities” in this 2023
Sustainability Report.

FN-IN-550a.1

Exposure to derivative instruments by
category: (1) total potential exposure tononcentrally cleared derivatives, (2) total fair value Reportingof acceptable collateral posted with the Central
currency
Clearinghouse, and (3) total potential exposure tocentrally cleared derivatives

FN-IN-550a.2

Total fair value of securities lending collateral
assetsReportingcurrency

FN-IN-550a.3

Description of approach to managing capital andliquidity-related risks associated with systemic
non-insurance activities

n/a

See also the SP Section 2.2. Identifying Risks,
Opportunities, And Impacts / Incorporating ESG Criteria
in Business and Investment decisions.

Policies Designed to Incentivize Responsible Behavior
FN-IN-410b.1

Net premiums written related to energy efficiency
and low carbon technology

Reportingcurrency

Not available.

FN-IN-410b.2

Discussion of products and/or product featuresthat incentivize health, safety, and/or
environmentally responsible actions and/or
behaviorsn/a

For more information on sustainable products delivered by
SCOR SE, see SR Section 4 – Sustainability
in underwriting activities.

SCOR

Net estimated losses per natural catastrophes aredisclosed in the 2023 URD Section 1.3.5.2 – SCOR
Global P&C/ Impact of natural catastrophes.

For more information, see 2023 URD Sections 1.3.5.4 –Net investment income and investment income on invested
assets and Section 4.6, Note 7. Insurance business
investments.

See 2023 URD / Section – 6.3.2. Sustainable investment
activities for more information on SCOR sustainable
investment processes.

128

Unit ofmeasureAccounting metric

Environmental Risk Exposure
No monetary losses as a result of legal proceedings
associated with marketing and communication of
insurance product-related information to new andreturning customers.

FN-IN-270a.3

FN-IN-410a.1

Code2023 Group sustainability report

Further information on weather-related risks and their
management are also provided in the 2023 URD
Section 3.1 – Main risk factors and in Section 3.3– Underwriting risks related to the P&C and L&H
businesses

For more information on total derivatives financial
instruments per category see 2023 URD Section 4.6– Notes to the consolidated financial statements:
Note 7.9 – Derivative instruments.
For information on commitments received and granted see
2023 URD Section 4.6 – Note 22
For more information on restrictions on the use of capital at
SCOR SE, see 2023 URD Section 1.3.6.1 – Capital

For more information on liquidity risks at, see 2023 URD
Section 3.6 – Liquidity risks.

12912. Tables of correspondence

12.3. TASK-FORCE FOR
CLIMATE-RELATED FINANCIAL DISCLOSURES (TCFD)SCOR supports the Task-force for Climate-related Financial Disclosures (TCFD) and the implementation of its recommendations. The table below identifies sections in this report and in the 2023 Universal Registration Document (URD) providing
information aligned with those recommendations.
For simplification:• “URD” refers to the 2023 Universal Registration Document available on scor.com• “SR” refers to this 2023 Sustainability report• “SP” refers to the Sustainability Policy available on scor.com

12.4. GLOBAL REPORTING INITIATIVE (GRI)
The correspondence table below identifies SCOR’s disclosures in line with the requirements from the Global Reporting
Initiative (GRI).
For simplification:• “URD” refers to the 2023 Universal Registration Document available on scor.com• “SR” refers to this 2023 Sustainability report• “SP” refers to the Sustainability Policy available on scor.com
Disclosure

Information Source

GRI 2: General Disclosures 2021
TCFD recommendation

Reference

2-1 Organizational details

Governance

SR - 2 – Good governance
URD - 2.1.3 – Board of Directors
URD - 6.1.2 – Governance
URD - 2.1.3 – Board of Directors
URD - 2.2 – Board of Directors and Executive Committee member
compensation and share ownership

URD - 1.2 – Information about the SCOR GroupURD - 3.8.1 – Internal environment
URD - 5.3 – General Information

2-2 Entities included in the organization’ssustainability reporting

URD - 3.8.1 – Internal environment
URD - 6.10 – Note on methodology

2-3 Reporting period, frequency and contact
point

URD - 4 – Consolidated financial statements
URD - 6 – Non-Financial Performance statement
URD - 6.10 – Note on methodology

2-4 Restatements of information

URD - 6.3.3.3 – Greenhouse gas emissions and voluntary offsetting
URD - 6.10 – Note on methodology

2-5 External assurance

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial CodeURD - 4.9 – Auditing of historical consolidated financial information
URD - 6.11 – Report by the independent third party, on the consolidated non-financial statement
included in the management report

2-6 Activities, value chain and other business
relationships

URD - 1.2 – Information about the SCOR GroupURD - 4.6 note 21 – Related party transactions
URD - 6.1 – Sustainability strategy and governance

2-7 Employees

URD - 2.1.7 – Number of employees
URD - 6.10 – Note on methodology
SR - 11.1 – Dedicated people/ Employment

2-9 Governance structure and composition

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial Code2-10 Nomination and selection of the highest
governance body

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial Code

2-11 Chair of the highest governance body

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial Code2-12 Role of the highest governance body inoverseeing the management of impacts

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial CodeURD - 6.1 – Sustainability strategy and governance

2-13 Delegation of responsibility for managing
impacts

URD - 2.1 – Corporate Governance principles, shareholders’ meetings, Board of Directors,
Executive Committee, employees, and information required by Article L. 22-10-11 of the French
Commercial CodeURD - 6.1 – Sustainability strategy and governance

2-14 Role of the highest governance bodyin sustainability reporting

URD - 6.1.2 – Governance
URD - 6.1.3 – Sustainability materiality analysis

2-15 Conflicts of interest

URD - 2.1.3.4 – Prevention of risks of conflict of interest

2-16 Communication of critical concerns

URD - 6.5.2 – Code of conduct and compliance policiesa) Describe the board’s oversight of climate-relatedrisks and opportunitiesb) Describe management’s role in assessing andmanaging climate-related risks and opportunities

Strategya) Describe the climate-related risks and opportunities
the organization has identified over the short, medium,and long term

SR - 4 – Sustainability in underwriting activities
SR - 5 – Sustainable investments activitiesb) Describe the impacts of climate-related risks andopportunities on the organization’s businesses,
strategy, and financial planningc) Describe the resilience of the organization’s strategy,
taking into consideration different climate-related
scenarios, including a 2°C or lower scenario

RiskManagementa) Describe the organization’s processes for identifying
and assessing climate-related risksc) Describe how processes for identifying, assessing,and managing climate-related risks are integrated into
the organization’s overall risk managementa) Disclose the metrics used by the organization toassess climate-related risks and opportunities in linewith its strategy and risk management process

SR - 7 – Sustainable operations
SR - 8 – Impacts, risks and opportunities identification and management
SR - 10 – Metrics and targetsb) Disclose Scope 1, Scope 2, and, if appropriate,
Scope 3 greenhouse gas (GHG) emissions, and therelated risks

URD - 6.1.2 – Governance
URD - 2.2 – Board of Directors and Executive Committee member
compensation and share ownership
URD - 6.1.3 – Sustainability materiality analysis
URD - 6.3 – Integrating environmental challenges into SCOR activities
URD - 6.6 – EU taxonomy methodologyc) Describe the targets used by the organization to
manage climate-related risks and opportunities andperformance against targets

130

SR - 8 – Impacts, risks and opportunities identification and management
URD - 6.1.3 – Sustainability materiality analysis
URD - 3.3.1 – P&C business
URD - 3.3.2 – L&H business
URD - 3.4 – Market risks
URD - 3.5.1 – Credit risk related to cash and invested assets
URD - 3.8.3 – Identification and assessment of risks
URD - 6.3 – Integrating environmental challenges into SCOR activitiesb) Describe the organization’s processes for managing
climate-related risks

Metrics& Targets

URD - 6.1.3 – Sustainability materiality analysis
URD - 6.3 – Integrating environmental challenges into SCOR activities
URD - 6.6 – EU taxonomy methodology
URD - 3.1 – Main risks factors
URD - 3.2.2 – Risks related to legal and regulatory developments
URD - 3.3.1 – P&C Business
URD - 3.3.2 – L&H Business
URD - 3.4 – Market risks
URD - 3.5.1 – Credit risks related to cash and invested assets
URD - 3.7.1 – Risks related to systems or facilities
URD - 6.4.2 – Health and well-being solutions for society
URD - 6.4.3 – Supporting risk research and risk-related
knowledge-sharing

SCOR

2023 Group sustainability report13112. Tables of correspondence

Disclosure

Information Source

Disclosure

2-17 Collective knowledge of the highest
governance body

URD - 2.1.3.5 – Meetings of the Board of Directors
URD - 2.1.3.6 – Training sessions for the Directors
URD - 2.1.4.6 – The sustainability committee

GRI 302: Energy 2016

2-18 Evaluation of the performance of thehighest governance body

URD - 2.1.3.7 – Assessment of the Board of Directors

2-19 Remuneration policies

URD - 2.2 – Board of Directors and executive committee member compensation, and shareownership

2-20 Process to determine remuneration

URD - 2.2 – Board of Directors and executive committee member compensation, and shareownership

2-21 Annual total compensation ratio

URD - 2.2 – Board of Directors and executive committee member compensation, and shareownership

2-22 Statement on sustainable development
strategy

URD - 2.1.4.6 – The sustainability committee
URD - 6.1 – Sustainability strategy and governance2-23 Policy commitments

Sustainability policy

2-24 Embedding policy commitments

Sustainability policy

2-25 Processes to remediate negative impacts

URD - 3 – Risk factors and risk management mechanisms
URD - 6.5.2 – Code of conduct and compliance policies/ Reporting concerns

2-26 Mechanisms for seeking advice andraising concerns

URD - 3 – Risk factors and risk management mechanisms
URD - 6.5.2 – Code of conduct and compliance policies/ Reporting concerns

2-27 Compliance with laws and regulations

URD - 6.5 – Business ethics and digitalization

2-28 Membership associations

SR - 1.2 – SCOR’s approach

GRI 305: Emissions 2016

2-29 Approach to stakeholder engagement

URD - 6.1.3 – Sustainability materiality analysis
SR - 2.5 – Communication and transparency
SR - 3.3 – Community engagement
SR - 4.2 – Engaging with clients and partners
SR - 5.4 – Stewardship strategy and activities

305-1 Direct (Scope 1) GHG emissions

URD - 6.3.3 – The Group’s operations
SR - 11.4 – Sustainable operations

305-2 Energy indirect (Scope 2) GHG
emissions

URD - 6.3.3 – The Group’s operations
SR - 11.4 – Sustainable operations

URD - 6.2.3 – Fostering social dialogue305-3 Other indirect (Scope 3) GHG
emissions

URD - 6.3.3 – The Group’s operations
SR - 7.1 – Measuring SCOR’s own emissions
SR - 10.1 – Selected metrics
SR - 11.4 – Sustainable operations

305-4 GHG emissions intensity

URD - 6.3 – Integrating environmental challenges into SCOR activities
SR - 7.2 – Setting targets
SR - 10.1 – Selected metrics
SR - 11.4 – Sustainable operations

305-5 Reduction of GHG emissions

URD - 6.3 - Integrating environmental challenges into SCOR activities

2-30 Collective bargaining agreements
GRI 3: Material Topics 2021
3-1 Process to determine material topics

URD - 6.1.3 – Sustainability materiality analysis

3-2 List of material topics

URD - 6.1.3 – Sustainability materiality analysis

3-3 Management of material topics

URD - 3 – Risk factors and risk management mechanisms
URD - 6 – Non-Financial Performance statement

GRI 201: Economic Performance 2016
201-1 Direct economic value generated anddistributed

URD - 4 – Consolidated financial statements

201-2 Financial implications and other risks andopportunities due to climate change

URD - 1.3.5.2 – SCOR P&C
URD - 3.3 – Underwriting risks related to the P&C and L&H businesses
URD - 3.1 – Main risk factors

201-3 Defined benefit plan obligations andother retirement plans

URD - 4.6. – Note 13 – Employee benefits and other provisions

203-2 Significant indirect economic impacts

132302-1 Energy consumption within
the organization

URD - 6.3.3.2 – Towards a more sustainable corporate culture
URD - 6.7 – Summary of the main metrics disclosed in the non-financial performance statement
URD - 6.10.2 – Environmental data: methodology
SR - 7.1 – Measuring SCOR’s own emissions
SR - 11.4 – Sustainable operations

302-2 Energy consumption outside of theorganization

URD - 6.3.2.3 – Achievements and next steps
URD - 6.3.3.3 – Greenhouse gas emissions and voluntary offsetting
URD - 6.10.2 – Environmental data: methodology
SR - 7.1 – Measuring SCOR’s own emissions
SR - 11.4 – Sustainable operations

302-3 Energy intensity

URD - 6.3.2.3 – Achievements and next steps
URD - 6.3.3.3 – Greenhouse gas emissions and voluntary offsetting
SR - 7.1 – Measuring SCOR’s own emissions
SR - 11.4 – Sustainable operations

302-4 Reduction of energy consumption

URD - 6.3.3 – The Group’s operations
SR - 7.2 – Setting targets
SR - 7.3 – Actions to further reduce the environmental footprint

GRI 304: Biodiversity 2016
304-2 Significant impacts of activities, products
and services on biodiversity

URD - 6.3.2.3 – Achievements and next steps
SR - 8.3.5 – Impacts and dependencies on Nature: ENCORE
SR - 8.3.7 – Impacts and risks from deforestation

GRI 401: Employment 2016
401-1 New employee hires and employee
turnover

URD - 6.2.1.2 – Aligning stakeholder’s interests and retaining talent through a merit-based
compensation policy
URD - 6.4.1 – Human rights at SCOR
SR - 11.1 – Dedicated people/ Employment

401-3 Parental leave

Information unavailable

GRI 403: Occupational Health and Safety 2018

GRI 203: Indirect Economic Impacts 2016
203-1 Infrastructure investments and services
supported

Information Source

URD - 6.3.2 – Sustainable investment activities
SR - 5 – Sustainable investment activities
SR - 10.1 – Selected metrics / Investment activities
SR - 10.2 – Targets / Investment activities
URD - 6.3.1.2 – Developing products addressing specific environmental issues
URD - 6.4.2 – Health and wellbeing solutions for society
URD - 6.4.3 – Supporting risk research and the risk-related knowledge-sharing

SCOR

403-1 Occupational health and safety
management system

URD - 6.2.2.2 – Quality of life and well-being at work403-3 Occupational health services

URD - 6.2.2.2 – Quality of life and well-being at work

403-4 Worker participation, consultation,and communication on occupational healthand safety

URD - 6.2.2.2 – Quality of life and well-being at work403-5 Worker training on occupational healthand safety

URD - 6.2.2.2 – Quality of life and well-being at work
SR - 3.2 – Developing skills and preparing for future needs
SR - 11.1 – Dedicated people/ Training and skills development indicators

2023 Group sustainability report133Disclosure

Information Source

403-6 Promotion of worker health

URD - 6.2.2.2 – Quality of life and well-being at work
SR - 11.1 – Dedicated people/ Employee engagement and well-being

403-7 Prevention and mitigation ofoccupational health and safety impacts directly
linked by business relationships

URD - 6.2.2.2 – Quality of life and well-being at work

GRI 404: Training and Education 2016404-1 Average hours of training per year per
employee

URD - 6.2.1.2 – Developing skills and preparing for future needs
URD - 6.5.2 – Code of conduct and compliance policies
SR - 11.1 – Dedicated people/ Training and skills development indicators

404-2 Programs for upgrading employee skills
and transition assistance programs

URD - 6.2.1.2 – Developing skills and preparing for future needs
SR - 11.1 – Dedicated people/ Training and skills development indicators

404-3 Percentage of employees receiving
regular performance and career development
reviews

URD - 6.2.1.2 – Developing skills and preparing for future needs
SR - 11.1 – Dedicated people/ Training and skills development indicators

13.

GRI 405: Diversity and Equal Opportunity 2016405-1 Diversity of governance bodies andemployees

URD - 2.1.3.2 – Composition of the Board of Directors
URD - 6.2.2.1 – Promoting on through diversity and equity
SR - 11.1 – Dedicated people/ Diversity and inclusion

405-2 Ratio of basic salary and remunerationof women to men

SR - 11.1 – Dedicated people/ Compensation (total and gender pay gap)

Overviewof publicly
available
documents
Theme
Governance

Sustainable Development
Human Resources
Business ethics

134

SCOR

Policy• Internal Regulations of the Board of Directors of SCOR SE• Corporate Governance Code• Articles of association as of 18 May 2022
• Sustainability policy (including Sustainable Investment Policy)• Sustainable development charter• UK & Australian modern slavery act• Code of conduct• Privacy/personal data statement

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Group Sustainability
Michèle Lacroix / mlacroix@scor.com
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Yun Wai-Song / ywaisong@scor.com
Cécile Gauthier / cgauthier@scor.com
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