Only 27% of brokers implementing Net Zero plans

According to the insurer’s Broker Barometer survey, which polled 224 brokers in all job levels across the UK in December, a further 31% of brokers have developed a plan, but have not taken any steps to implement it.

One third of brokers have committed to developing a plan, Aviva noted.

The findings are higher than recent data from Ecclesiastical in April when the provider flagged a lack urgency and interest in the transition to Net Zero among brokers. It warned that brokers were ‘sleepwalking’ into the climate crisis.

Ecclesiastical’s research, conducted with 251 UK brokers in January and February, found that just 10% of regional brokers – up from 5% the year before – and 4% of provincial brokers – up from 2% – had made a Net Zero commitment. 

However, some 39% of national brokers have set a Net Zero target, which is up 1% on 2022.

Interested

Aviva’s investigation detailed that the overwhelming majority of brokers (97%) said they were actively interested in making their, and their clients’, businesses more sustainable.

The barometer also highlighted that 26% of brokers said their clients had asked them for advice on reducing their carbon footprint.

Among the efforts made by brokers to move towards Net Zero, greater use of video conferencing and reducing travel topped the list (see the 10 actions box below).

The British Insurance Brokers’ Association unveiled publications on environmental, social and governance for its members last week to create guidance to help brokers on their ESG journey.

The Financial Conduct Authority called on firms to do more on ESG in February, stressing that businesses must continue to adapt their priorities to meet the changing environmental needs for a more sustainable world.

Trend

Adam Winslow, CEO of Aviva UK & Ireland General Insurance, said: “It’s fantastic to see that 10% more brokers have brought their Net Zero plans to life since our last survey.

While this is an encouraging upward trend, we need to be mindful of those brokers who do not yet have an active plan, and provide practical initiatives and training to support the uptake of implementation.”

Winslow added: “The move to Net Zero undoubtedly presents a huge commercial opportunity for the insurance industry, as businesses of all kinds will have to adapt their operations.

We need to provide practical initiatives and training to support the uptake of implementation.

Adam Winslow

“This is particularly the case for brokers who are trusted to use their own experience and expertise to help businesses manage their risk and be more resilient during times of change.

“Brokers that are delivering guidance on becoming a Net Zero business, as well as their insurer partners, will want to be confident that they are leading by example. We all have to play our part in meeting our collective Net Zero climate goals.”

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