Corporate Social Responsibility
The Board of Directors recognises the importance of high standards of corporate social responsibility, considers the social, environmental and ethical implications of the Group’s operations, and has adopted policies and procedures to reflect its responsibilities to its stakeholders.
Environmental
The Group’s operations
as an insurer do not impact the environment to the same extent as
many other companies. Nevertheless, the Group is committed to
achieving best practice in the areas in which it does have an
environmental impact.
Catlin Underwriting Agencies Limited, a Group subsidiary which manages the Catlin Syndicate at Lloyd’s, in October 2007 joined the ClimateWise initiative. ClimateWise is an initiative supported by various organisations participating in the UK insurance sector, including Lloyd’s and the Association of British Insurers, which have committed to take action on climate change. ClimateWise’s aims include:
- Supporting and undertaking research on climate change, including the evaluation of risks associated with new technologies for tackling climate change;
- Promoting and actively encouraging public debate on climate change and the need for action;
- Reducing the environmental impact of members’ operations; and
- Supporting climate awareness of clients.
Catlin Underwriting Agencies Limited made its first disclosures in connection with ClimateWise in 2008.
The Group has entered into a contract with The Carbon Neutral Company, a leading carbon offset and climate consulting business, to offset the carbon dioxide emissions created by Catlin employees’ business-related air travel relating to 2007 and subsequent years. The ‘offset credits’ purchased by Catlin will be used to finance alternative energy and other environmentally sound projects on a quarterly basis. For example, Catlin’s offset credits in the first quarter of 2008 helped finance the Rhine-Rhur Waste Gas Power Project in Germany, which captures methane gas from three abandoned coal mines and uses it to generate electricity and heat.
The Group utilises video conferencing capabilities in the United Kingdom, Bermuda, France and the United States to encourage employees, where possible, to conduct both internal and external meetings via video conference rather than travel.
The company attempts to make good environmental practice part of its everyday activities. For example, the Group operates a comprehensive document scanning system which enables employees worldwide to view documents electronically rather than on paper, minimising waste. The Group also encourages employees wherever possible to recycle paper and other renewable products. The Group strives to minimise energy consumption through the use of automatic light controls that switch off lights when employees are not at their desks.
Ethical
Catlin is committed to the highest
standards of ethical behaviour. The Board has considered
significant risks, including regulatory and reputational risk, that
could arise from ethical issues and, as a result, the Group has
reviewed, revised and adopted over the past several years relevant
policies and procedures. In particular, the Board has adopted the
Catlin Code of Ethical Conduct, which is available on the
Group’s website.
The Code of Ethical Conduct describes the commitment by Catlin and its employees to conduct its affairs in a fair, proper and ethical manner and in compliance with applicable laws, regulations and professional standards. All new employees are obliged to agree that they will abide by the Code, and existing employees during 2007 reaffirmed their concurrence with the Code.
In addition to the Code of Ethical Conduct, the Group has adopted other ethical policies regarding such subjects as document retention policy, broker remuneration, inside information, share dealing guidelines, fraud prevention and money laundering. All of these policies can be accessed on demand by all Group employees via the Catlin intranet.
The Board recognises that to maintain an ethically aware corporate culture requires not only policies and procedures, but more importantly leadership by example, and it, together with executive management, strives to achieve that goal.
Health and safety
The Group makes all appropriate efforts to ensure the health,
safety and welfare of its employees at work and those who may be
affected by Catlin’s operations. Employees are expected to
take reasonable care for their own health and safety at work as
well as those of others and to co-operate with management to create
a safe and healthy working environment. The discharge of health and
safety responsibilities is accorded equal priority with that of
other statutory duties and objectives.
Community involvement and charitable
donations
The Group makes charitable contributions and encourages employee
involvement in community programmes. Catlin during 2007 established
a Group-wide Charity Committee to manage the Group’s
charitable contributions and activities on a centralised basis.
The Group has instituted several programmes which encourage employee charitable giving and involvement. Through one of these programmes the Group grants time off to employees participating in Catlin- or Lloyd’s-approved community involvement projects. Under another programme the Group will match funds raised by an employee on behalf of a qualified charity up to an annual limit of US$1,000. In the UK Catlin also operates a payroll “Give As You Earn” programme through which the Group will match qualified employee charitable contributions up to a limit of £600 per year.
For 2008 the Group has selected two charity partners in the UK: Havens Hospices, which provides hospice care for both adults and children who are suffering from life-threatening illnesses, and the Starlight Children’s Foundation, which grants ‘wishes’ to seriously and terminally ill children and provides entertainment to other ill children. Catlin will make a significant financial donation to both charities during the year.
The Group has historically provided support to the Sick Children’s Trust, a UK-based charity which provides support and accommodation for the families of children undergoing hospital treatment. Stephen Catlin is Chairman of the Sick Children’s Trust and other executives contribute time to the charity. During 2006 and 2007, the Group sponsored the Catlin Cup as part of the London Triathlon to encourage triathletes working in the insurance sector to raise funds for the Sick Children’s Trust and other charities.
In Bermuda, the Group’s charitable activities are focused on two initiatives:
- A partnership with a local secondary school through which Catlin Bermuda will pay tuition and fees for eight students at Bermuda College, as well as other educational benefits, as long as the students attain certain grades, attendance and conduct standards. As part of the initiative, the students are individually mentored by Catlin employees. The goal of the programme is to help alleviate the shortage of native Bermudians with the academic qualifications to enter the international insurance industry; and
- Sponsorship of the annual ‘End to End’, Bermuda’s largest charitable fundraising event for a three-year period beginning in 2008. More than 2,500 people are expected to participate in this year’s ‘Catlin End to End’ by either walking, swimming, rowing, paddling, cycling or otherwise making their way across the Island in a one-day blitz to raise money for local charities.
Catlin offices in the United States and in other countries also participate in local charities and community involvement programmes.
The Group made total charitable donations of US$233,131 during 2007 (2006: US$101,137).