DIFC Insurance Association (DIFCIA), the membership body representing insurance companies, brokers and underwriters operating in the Dubai International Financial Centre, said today (18 May) that it has become the first organization in the GCC to become a supporting institution for the United Nations Environment Programme's Principles for Sustainable Insurance (PSI).

Sustainable insurance is a strategic approach whereby all activities in the insurance value chain, including interactions with stakeholders, are done in a responsible way by identifying, managing and monitoring risks and opportunities associated with environmental, social and governance (ESG) issues.

The United Nations Environment Programme Finance Initiative established the principles as a global ESG framework for the insurance industry and launched them at the 2012 UN Conference on Sustainable Development. 

Simon Price, CEO of the DIFC Insurance Association, said: "Becoming an official supporting institution for the UN Environment Programme's Principles for Sustainable Insurance is a milestone moment for our members in the DIFC and for the Gulf region.

"It shows our commitment to making sure the insurance industry plays its full role in enabling a healthy, safe, resilient and sustainable economy, both locally and globally. I congratulate everyone in our association and look forward to the continued responsible growth of our members' businesses."

Four principles underpin the PSI, providing a framework for industry supporters to follow:

•    We will embed in our decision-making environmental, social and governance issues relevant to our insurance business.
•    We will work together with our clients and business partners to raise awareness of environmental, social and governance issues, manage risk and develop solutions.
•    We will work together with governments, regulators and other key stakeholders to promote widespread action across society on environmental, social and governance issues.
•    We will demonstrate accountability and transparency in regularly disclosing publicly our progress in implementing the principles.