Alwen Hough Johnson (AHJ) has become the first Lloyd’s (re)insurance broker to be recognised as a climate neutral company.
AHJ has been awarded this status by international climate protection solutions provider ClimatePartner.
It means the broker is able to calculate and monitor its greenhouse gas emissions, or corporate carbon footprint (CCF), and can prove that its operations are contributing to offset projects to balance the remaining emissions.
The CCF calculation includes emissions from sources such as energy and heating, business travel, employee commuting, office supplies and all other possible emitters used in the day-to-day operation of the company.
The calculation also showed the broker where it needed to reduce carbon emissions. Each year this will be updated to monitor progress and identify additional areas for improvement.
AHJ will offset any unavoidable carbon emissions by supporting projects from the ClimatePartner portfolio. All of these projects are independently assessed and monitored in accordance with the UN Sustainable Development Goals.
The company has chosen to support the development of wind energy in Vader Piet, Aruba and forest protection in the Kasigau Wildlife Corridor, Kenya as its two offsetting projects for 2021.
In order to assist clients, AHJ has developed a system to provide an assessment of the sustainability credentials of a reinsurance panel to help them understand their own carbon footprint and to aid them in conversations with future business partners.
AHJ CEO Gary Masters said: “Over recent years it has become apparent just how important it is for all companies to operate in a socially responsible manner and we have been greatly encouraged by the level of enthusiasm with which staff have engaged with our various environmental initiatives.”
John Neal, CEO of Lloyd’s of London, welcomed the progress made by AHJ and urged other participants to take similar steps as the market continues its focus on climate change.
“AHJ’s move to climate neutrality is great to see, and we look forward to seeing others following in their footsteps, as the Lloyd’s market continues to move towards a more sustainable marketplace,” Neal said.
“During such a critical year for climate action, progress like this will ensure the insurance sector continues to build momentum in support of decarbonisation and the transition to net zero.”