Old Mutual and Prudential Africa join sustainable insurance initiative.
Old Mutual, South Africa’s oldest insurance company, has joined the Nairobi Declaration on Sustainable Insurance (NDSI), a membership organisation that seeks to incorporate environmental, social and governance principles in the core business of African insurers.
Old Mutual was founded in 1845 and now employs over 30,0000 people with operations in 13 African countries including South Africa, Botswana, eSwatini, Ghana, Kenya, Malawi, Namibia, Nigeria, Rwanda, South Sudan, Tanzania, Uganda, and Zimbabwe.
Its commitment to the NDSI follows the announcement during Septembers Africa Climate Summit that Prudential Africa, which operates in eight African countries including Ghana, Kenya, Uganda, Nigeria, and Zambia, has also joined NDSI. The commitment was formally signed by Prudential Africa’s CEO, Emmanuel Mokobi Aryee, alongside key executives: Nick Holder, Roelof Coertze, and Janice Kemoli at a packed reception held by FSD Africa and PIDG.
The announcements by Old Mutual and Prudential Africa bring to more than 130 the number of African insurers who have joined NDSI committing them to act on some of humanity’s biggest challenges including climate change, biodiversity loss, extreme hunger, human rights violations, poverty, and social inequality. This includes the creation of the African Climate Risk Facility, a commitment to underwrite $14bn of cover for climate risks by 2030 providing protection for 1.4 billion people against floods, droughts, and tropical cyclones.
Welcoming the latest signatories, Philip Lopokoiyit, Chair of NDSI and Group CEO of ICEA LION, said: “We are delighted to extend a warm welcome to Old Mutual and Prudential Africa as they join the Nairobi Declaration on Sustainable Insurance (NDSI) family. It’s truly remarkable to witness major African players taking this step, as it not only sets the pace for sustainability and ESG initiatives but also serves as an inspiring example for smaller firms. This move encourages a broader industry-wide shift towards more responsible and sustainable practices.”
Richard Treagus, Chief Risk Officer of Old Mutual Limited said: “Creating shared value and sustainable transformation is at the core of how we do business at Old Mutual. The heart of our vision and strategy is to create positive economic, environmental, and social outcomes for all our stakeholders. We believe that active participation drives the kind of change that will make the markets we operate in more sustainable. In our continued commitment to support our sustainability agenda, we are very proud of the recent signing and our inclusion in The Nairobi Declaration on Sustainable Insurance (NDSI), where through collaboration, we will actively develop and promote sustainable, inclusive and innovative insurance solutions. Although climate change brings considerable increase in insurance risk, we believe there are also big opportunities for Africa, and that the continent can take the lead in developing solutions that will not only address climate change but also create economic growth ”.
Commenting at an NDSI signing ceremony during the Africa Climate Summit, Emmanuel Mokobi Aryee, CEO of Prudential Africa, said the company will “collaborate within the working groups to ensure that, together, we achieve the goals of NDSI and push our common agenda”. He emphasised the company’s commitment to being a voice for a just and inclusive transition to clean energy in emerging markets and noted that NDSI builds on the work of the UN-convened Net-Zero Asset Owner Alliance (NZAOA), which Prudential joined in 2021.
The NDSI commits members to take concrete actions in support of the United Nations Sustainable Development Goals (SDGs) including:
- Action on Climate Change by proactively assessing, managing, and transparently disclosing climate change-related risks and opportunities.
- Support for Insurance SDGs by aligning their strategies with the Insurance Sustainable Development Goals in pursuit of social and environmental sustainability within the insurance sector.
- Net-Zero Emissions Economy by joining the global drive towards a resilient, net-zero emissions economy. This endeavor will help mitigate the impacts of climate change while fostering economic growth in Africa.
- Engaging Stakeholders by collaborating with policymakers, regulators, and industry associations on key sustainability issues specific to the African insurance industry. Such collaboration is vital to promoting sustainable insurance practices.
For more information contact:
NDSI Communications Working Group