Bermudian carrier Aspen has formally launched Project Leaf, an ESG integration strategy that it claims will incorporate environmental, social and governance information into the decision making process for its Credit and Political Risk (CPR) portfolio.
By 2026, the project aims to see over two thirds (66%) of Aspen’s CPR premium originating from transactions with a favourable ESG classification.
A favourable classification is determined by exposure that has a positive ESG risk factor, for instance project finance for solar or wind assets.
Project Leaf was conceived in June 2020, led by Aspen’s head of Credit and Political Risk, Dan Osman, alongside a team of underwriters and credit analysts across London, Singapore and Bermuda.
The team has begun with an investigation of ESG risk exposures across Aspen’s CPR portfolio, before engaging with clients to understand their own environmental, social and governance objectives.
To deliver on its target, Aspen’s CPR team will follow a developed framework for assessing and classifying underwriting transactions, allowing the team to report progress toward this goal.
To support progress, the working group, led by Osman, will also be launching initiatives that include a school mentoring scheme, a series of charitable partnerships, and an internal programme to reduce the Group’s carbon footprint.
Osman commented: “Project Leaf has set out to create a transparent roadmap for Aspen’s CPR portfolio that is closely aligned with the wider Group’s corporate objectives and ESG strategy.”
“Several objectives are already locked in for delivery in the next five years and the team looks forward to reporting on its progress in line with the Group’s shift to make ESG integration a top-down strategic priority.”