QBE has been praised for its approach to impact investing, after judges in an international competition ranked the firm’s program among the best in the world.
The firm’s global initiative, Premiums4Good, sees QBE invest up to 25% of a customer’s everyday insurance spend in areas that create positive environmental or social change.
Free to customers, the scheme is embedded across the company and has seen investments directed to a wide range of projects – including ones that aid renewable energy and water conservation as well as others that address homelessness or support at-risk families.
“Premiums4Good is a significant milestone for QBE and we’re delighted to be recognised as one of five leaders at the Impact Investment Awards,” said Phil White, QBE’s chief customer officer of credit lines.
“We currently have 34 investments globally that are in the Premiums4Good pool with a value of around US$470 million, and we’re on track to deliver solid growth in this sector,” he added.
The scheme won Impact Asset Owner of the Year 2018 at the inaugural awards, which aims to recognise outstanding efforts in the local impact investing ecosystem.
The judges noted that Premiums4Good is an innovative way of mobilising capital for positive impact and said QBE served as a prime example of how large institutional investors can have a substantial impact portfolio driven by customers, where social value is integrated with business value.
“We really believe in the positive change this program is contributing to communities here and around the world,” said White. “QBE is committed to finding opportunities that deliver a financial return, but also deliver social and environmental benefits to the communities in which we operate.”
Typically invested in social impact bonds, green bonds, developing renewable energy resources, and providing water and energy to remote communities, QBE has committed a minimum of $100 million in 2018.
One of the insurer’s local investments is the Aspire Social Impact Bond, which funds the Aspire Program – an Adelaide-based homelessness services specialist.
The Hutt Street Centre, which operates the program, partners with community housing providers to offer a Housing First program for up to 600 people who are homeless or at risk of homelessness.
