It’s almost 300 years since a few compassionate business owners took steps to improve the poor working and living conditions, low wages, child labour and pollution brought about by the Industrial Revolution. They were the pioneers of corporate social responsibility (CSR), which has been evolving ever since.

‘Over the last decade or so, CSR has changed from being primarily focused on community-based activities or philanthropy to having a much broader meaning,’ says Sarah Kelly, who has responsibility for CSR at MetLife Australia. ‘CSR can include community support; diversity, equity and inclusion initiatives; environmental considerations; and employee engagement and wellbeing. At MetLife, these all sit under the banner of sustainability.’

Now a preferred umbrella term both inside and outside the insurance industry, sustainability is also playing a more significant role within organisations.

‘In the past, corporate responsibility was generally treated as a purely operational issue with an adjunct or specific standalone function,’ says Rob Siveter, Suncorp New Zealand’s sustainability manager. ‘Now, it’s being integrated as a critical component of business strategy.’

In addition, a growing awareness of social and environmental issues is shifting both customer expectations around companies’ social license to operate and regulators’ requirements.

‘There are also many internal drivers, but, from our perspective, the biggest is that sustainability makes good business sense,’ continues Siveter. ‘It creates opportunities for new products and services, better risk management and, ultimately, allows us to meet our purpose of building futures and protecting what matters.’

For example, Vero — which is a subsidiary of the Suncorp Group — is collaborating with suppliers to create a code of practice spanning a variety of environmental and social impacts. The company is on track to meet its target of reducing carbon emissions in corporate operations by 51 per cent by 2030. It has committed to using 100 per cent renewable energy sources to power operations by 2025 and is in the process of transitioning its car fleet 
to hybrid vehicles. 

‘We’re also committed to making our products available to a wider section of society and supporting the resilience of customers experiencing financial vulnerability,’ says Siveter. This includes a fund of up to NZ$10 million to help customers who are facing financial hardship maintain insurance policies, and Drive; a scheme that seeks to provide affordable car insurance to Kiwis on limited incomes in partnership with social lender Good Shepherd. 

Siveter sees no conflict between insurers’ commercial and social responsibilities. 

‘If we don’t serve our communities, our customers won’t support us over the long term,’ he says. ‘Conversely, if we don’t maintain a level of commercial viability, we won’t be able to support our customers or provide employment and wider benefits to our economy.’

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