Exploring the Drivers of Environmental, Social, and Governance Measures in Indian Insurance Companies

This study examines the determinants of environmental, social, and governance (ESG) performance among Indian insurance companies, with attention to how these determinants influence the three ESG pillars. All business operations of insurers will be impacted by ESG factors and sustainable insurance, with investment activity, risk management, product management, and the valuation of assets and liabilities having the most effects. Using data from 10 major insurance companies of India, the study identifies the most common guidelines for report development, as well as components of the ESG-driven approach: environmental (waste and pollution, climate change, energy efficiency), social (workforce and diversity, customer engagement, communities), governance (code and values, reporting, risk management). The study systematizes the best practices of insurance companies for applying the ESG-driven approach to manage their sustainable development and highlights the need for insurance companies to improve their reporting and disclosure practices related to the development of the ESG-driven approach.