Mr. Rob Wesseling reports

CO-OPERATORS LEVERAGES FINANCIAL STRENGTH TO INVEST IN CLIMATE-RESILIENT, SUSTAINABLE FUTURE

With the launch of its integrated annual report, Co-operators General Insurance Company had 2022 net income after tax of $309-million and a return on members' equity of 8.5 per cent, a strong financial performance by the insurer and financial services co-operative in a year marked by economic uncertainty and continued climate volatility. In addition to $2.39-billion paid in claims and benefits to its clients in 2022, Co-operators is directing a significant proportion of its financial strength toward building the long-term sustainability and resilience of its clients, members and communities.

By the end of 2022, Co-operators had invested $2.69-billion -- nearly 24 per cent of its total invested assets -- into impact investments that provide strong financial returns and positive social and/or environmental impacts that can be adequately measured, tracked and reported. Nearly 75 per cent of these investments support climate solutions like renewable energy projects that generated more than 86.5 million MWh (megawatt-hours) of renewable energy, equivalent to powering roughly 7.5 million homes for one year. Committed to going further, Co-operators will increase its impact investing efforts in the future.

"By 2026, 50 per cent of our portfolio will be impact investments or investments that support the transition to a sustainable, resilient, low-emissions society. By 2030, we will increase this to 60 per cent," said Co-operators president and chief executive officer Rob Wesseling. "In addition to providing compelling returns on our investment, these investments help drive us toward our purpose of financial security of Canadians and our communities, not just today, but for generations to come. We know that if we fail to address the climate crisis head on, the collective financial security of all Canadians will be increasingly in peril. We've made the conscious and strategic business decision to put our financial weight behind building a net-zero, climate-resilient, sustainable future."

Co-operators is also working to catalyze private financing of climate adaptation infrastructure in Canada. The 'whole-of-society' approach is led by former Mayor of Edmonton, Don Iveson, who is working with Co-operators as an executive adviser of Climate Investing and Community Resilience. The initiative has engaged multistakeholder collaborators like ICLEI Canada, the Canadian Climate Institute, the Institute for Catastrophic Loss Reduction, the Federation of Canadian Municipalities, the Institute for Sustainable Finance, and others to move critical conversations forward and build the capacity needed to bring climate adaptation solutions to life.

Beyond leveraging its own investment portfolio, Co-operators is catalyzing impact and climate transition investing markets in Canada, offering investment solutions and opportunities for institutional investors to join their efforts, through their asset management company Addenda Capital. Addenda has mobilized over $237-million in assets under management through Canada's first impact fixed income pooled fund. Addenda also launched Canadian and international climate transition equity funds with $100-million in seed capital from Co-operators. Both funds are net-zero aligned.

The integrated annual report serves as Co-operators public accountability statement and is available to all members, clients and the public.

About Co-operators General Insurance Company

Co-operators General is a leading Canadian multiproduct insurance company and is part of The Co-operators Group Ltd. Co-operators is a leading Canadian financial services co-operative, offering multiline insurance and investment products, services, and personalized advice to help Canadians build their financial strength and security. Co-operators has more than $58.2-billion in assets under administration. Co-operators has been providing trusted guidance to Canadians for the past 78 years.