Definitions & abbreviations
Below is a list of clarifications of commonly used terms and abbreviations.
Absence due to illness
This percentage is calculated by dividing the number of sick days by the number of workable days per year. It involves the period during which DELA is financially at risk for each country for which the absence due to illness is indicated. For the Netherlands this is two years, for Belgium one year.
Amortised cost price
The amount at which financial assets or obligations are valued in the initial recognition minus payments and plus orminus cumulative depreciation. This is realised by using the effective interest method for the difference between the original amount and the amount on the expiry date. The effective interest rate is the percentage which ensures that the discount of the expected cashf lows is the same as the initial valuation of the receivable or debt.
Asset mix
The asset mix is the distribution of capital over shares, real estate, fixed-income securities, infrastructure, cash and cash equivalents. The asset mix is determined based on the ALM study and drawn up in the investment policy.
BIO
Our strategy of employee engagement, integrity and an entrepreneurial spirit.
BV
Private company
CCO
Chief commercial officer
CEO
Chief executive officer
CFRO
Chief financial and risk officer
CO2 footprint
A CO2 footprint is an inventory of the total amount of emitted greenhouse gases, expressed in CO2 equivalents. CO2 emissions are caused by the combustion of fuels. Too much CO2 in the atmosphere leads to climate change. A CO2 footprint indicates the extent to which an organisation impacts climate change and where CO2 emissions can be reduced. A CO2 footprint is categorised in Scope 1, 2 and 3. Scope 1 involves direct CO2 emissions; scope 2 indirect CO2 emissions via the acquisition of electricity and gas; and scope 3 involves all other indirect CO2 emissions.
CSRD
The Corporate Sustainability Reporting Directive (CSRD) prescribes that companies must provide more detailed reports on sustainability data from their 2024 annual report onwards and apply the European Sustainability Reporting Standards (ESRS). In addition, the accountant must provide a limited degree of assurance about this sustainability data.
DECAVI
DECAVI (B) provides services for the insurance sector (estate agents, insurers, actuaries). In addition to organizing events in the sector and publishing market studies, DECAVI has been awarding insurance trophies since 2000.
DNB
De Nederlandsche Bank (Dutch central bank)
DORA
The Digital Operations Resilience Act (DORA) is a European regulation aimed at stimulating financial organisations to better manage their IT risks and become better able to withstand cyber threats.
DUP
DELA UitvaartPlan (pre-arranged funeral insurance)
eNPS
The eNPS (employer Net Promotor Score) shows the extent to which employees of the cooperative would recommend DELA as an employer. The score is determined by the percentage of promotors minus the percentage of detractors.
Fixed-value
Inflation-proof
GreenLeave
GreenLeave is a consortium of funeral companies in the Netherlands who aim to realise sustainability in funeral options and designs in a practical way. They achieve this based on five key principles, a portfolio of products and services for aspects of the funeral, and collaboration with suppliers. See www.greenleave.nu for more information.
GRESB
The Global Real Estate Sustainability Benchmark (GRESB) is an independent scientific benchmark that assesses the sustainability policy of real estate funds and portfolios worldwide. Based on the GRESB score, fund managers can assess their sustainability policy and make improvements. See https://gresb.com/
IMVO
IMVO is a partnership of government, trade unions, social organisations and many other insurance companies in which members commit to international standards in the field of human rights and good governance.
Intercompany position
Outstanding financial positions between various entities of a group.
Materiality analysis
A materiality analyses helps companies identify the themes that are relevant (material) to the company. The CSRD requires a double materiality assessment in which the financial materiality (how sustainability themes affect a company: outside-in perspective) and impact materiality (how the company affects people and the environment: inside-out) are combined. Reporting on these material themes is a requirement for the Annual Report.
Net growth
The difference between the number of new policies and the number of terminated policies.
NFRD
The Non-Financial Reporting Directive, or NFRD, obliges large public-interest companies to report on their activities with regards to social and environmental aspects and challenges.
NPS
NPS stands for Net Promotor Score. Customers are asked in surveys the extent to which they would recommend a specific company, product or service to others. They can give a score between 0 and 10. The group of responders who give a mark of 0 to 6 are called detractors. The group marking a 9 or 10 are qualified as promoters, and the remainder (7 and 8) are considered passive-neutral. The NPS is determined by subtracting the percentage of detractors from the percentage of promotors. For example, if research shows that 30 percent of the responders is a promotor and 20 percent is a detractor, the NPS is +10.
NV
Public limited company
ORSA
Solvency II regulations require insurers to perform an annual ORSA (Own Risk and Solvency Assessment). An ORSA is performed by or on behalf of the insurer to determine whether all financial risks that may occur have been mapped out and/or whether sufficient mitigating measures to minimise possible risks have been taken so that the insurer can continue to fulfil its insurance obligations in the future.
Premium income
Premium income is the total of premium paid to DELA by policyholders for purchased products.
Pulsescore
measurement of the emotional value of a company based on the appreciation, positive association, trust and admiration attributed to the company by stakeholders.
RCSA
Risk Control Self Assessments map any substantial risks that may endanger the realisation of the goals and continuity of the company. The goal is to take mitigating measures after the assessment has been performed.
Risk appetite
The risk appetite of a company indicates the nature and scope of the risks a company is willing to take in order to realise its operational goals.
SA
Société anonyme (public limited company)
Solvency II
European regulations for solvency requirements for (re)insurers. Solvency II aims to promote an internal European market for insurance services and provide sufficient consumer protection. The starting point is an economic-risk-based approach, in which all assets and liabilities are valued at market value. In addition, the starting point is the link between the solvency requirements and the risk profile of insurers.
Solvency II is the name for the statutory regulations that are imposed on insurers by the supervising body. These regulations involve:
- Quantitative requirements for capital buffers and the valuation principles requirements for the setup of risk management and governance
- The establishment of a report (SFCR) and publication of this report in the framework of transparency
- The performance of an ORSA (Own Risk Solvency Assessment)
Solvency ratio
A solvency ratio indicates to what extent a company is able to fulfil its financial obligations. Under Solvency II, this figure is calculated by dividing the available capital by the required capital, taking into account the actual risks.
Stakeholder dialogue
A stakeholder dialogue involves discussions related to a specific theme. This could be any matter or problem which an organisation wishes to address that requires broad input. The usefulness of a stakeholder dialogue can therefore vary per organisation.
Stakeholder watch
Stakeholder watch is a research tool that measures on a daily basis the reputation of an organisation and the possible effect of publications in the media. Because the measurements are taken daily and explicitly ask respondents what effect publications in the media have had on how they perceive the organisation, there is a direct correlation between a publication and/or widely shared social media post and its reputational impact.
TCFD
Task Force on Climate-related Financial Disclosures, a framework for the financial sector to include the impact of climate change in their operational processes and decision-making.
Value creation model
The value creation model indicates which instruments (both financial and in areas like resources and people) are used by an organisation (input), how the organisation converts them into products and services (output) – the business model – and what value this adds and subtracts for stakeholders and society as a whole (outcome) in the short and long term.
VBDO benchmark
Research by the Dutch Association of Investors for Sustainable Development (VBDO) into the investment policies of the 20 largest insurers in the Netherlands.
Wta
Dutch Financial Supervision Act
NFRD
| Item | Section |
|---|---|
| Description of the company model | In brief, Profile Management Board report, Our strategy |
| Description of policy related to environmental matters | Management Board report, Our organisation, CO2 reducion Management Board report, Our organisation, Sustainable material use |
| Description of policy related to social matters and treatment of employees | Management Board report, In brief, Profile Management Board report, Our strategy, Our significance Management Board report, Our organisation, Our employees Management Board report, Our governance, Corporate governance, Acting with integrity |
| Description of policy related to respect for human rights | Management Board report, Our governance Corporate governance, Acting with integrity |
| Description of policy related to tackling corruption and bribery issues | Management Board report, Our governance, Corporate governance, Acting with integrity |
| Description of the primary risks related to environmental, social and employee matters, respect for human rights and tackling corruption and bribery issues, and how the company manages these risks; | Management Board report, Our governance, Risk management |
| Non-financial performance indicators and results for environmental, social and employee matters, respect for human rights and tackling corruption and bribery issues | Management Board report, Our strategy, Our significance Management Board report, Our organisation, Our employees Management Board report, Our organisation, CO2 reduction Management Board report, Our organisation, Sustainable material use No KPIs have been set for the respect of human rights and the fight against corruption and bribery. |
| Diversity of executive board, management and supervisory bodies (description of policies, goals, implementation and results) |
Management Board report, Our organisation, Our employees Management Board report, Our governance, Corporate governance, Supervisory board-directors |
EU taxonomy
The Paris Climate Agreement is aimed at bringing an end to global warming. The European Union has set itself the target of being climate-neutral by 2050 at the latest and introduced the European Green Deal growth strategy to support the European economy in reaching this goal. One of the crucial steps is the implementation of a uniform classification system for environmentally sustainable economic activities known as the EU Taxonomy.
The EU Taxonomy is a tool to help investors, companies, issuers and providers of financial products and project promoters navigate the transition to a climate-neutral, climate-resilient and ecologically sustainable economy. Clear definitions based on strict screening criteria of exactly which economic activities are sustainable ensures greater transparency and comparability. The EU also aims to use the system to tackle greenwashing.
The Taxonomy Regulation establishes six environmental objectives. Two are related to the mitigation and adaption of climate change while the other four are environmental objectives including the transition to a circular economy and the prevention and control of pollution. The taxonomy describes which activities are making a substantial contribution to achieving one of the environmental goals. Based on Article 8, companies are required to report what proportion of their turnover and capital & operational expenditure is environmentally sustainable.
The first reporting obligations came into force on 1 January 2022. This means that all organisations to whom the EU Taxonomy regulations apply must publish the key indicators in their annual report. These indicators are related to the ‘taxonomy-eligible economic activities’ and the ‘taxonomy-aligned economic activities’ which are set out in the screening criteria. Financial companies are required to disclose the share of their investments related to the financing of taxonomy-eligible and taxonomy-aligned activities. From reporting year 2023 (published in 2024), companies are required to report on the level in which their economic activities are compliant with the EU taxonomy, i.e. the extent to which they are taxonomy-aligned.
In our annual report we make a distinction between our core activities (business operations) and our investments.
Business operations (insurance and funerals)
Our core activities, insurance and funeral care, do not make a significant contribution to any of the six environmental objectives. We therefore have a 0 percent ‘eligible’ report score and 0 percent ‘aligned’.
Investments
As prescribed in the regulations, the following tables show which part of the investment portfolio is eligible for and which part is aligned to the taxonomy.
| Portfolio | x €1 million | % |
| Derivatives | 14.7 | 0.2% |
| Exposures to financial and non-financial undertakings not subject to Articles 19a and 29a of Directive 2013/34/EU | 1,653.0 | 23.4% |
| Exposures to financial and non-financial undertakings from non-EU countries not subject to Articles 19a and 29a of Directive 2013/34/EU | Split not available | Split not available |
| Exposures to financial and non-financial undertakings subject to Articles 19a and 29a of Directive 2013/34/EU | 1,304.5 | 18.5% |
| Exposures to other counterparties | 4,078.7 | 57.8% |
| Totaal | 7,050.8 | 100.0% |
| Government bonds | 1,645.2 | |
| Other | 51.4 | |
| Totaal investments | 8,747.4 |
| Turnover-based | Capital spending-based | |||
|---|---|---|---|---|
| x €1 million | % | x €1 million | % | |
| All investments that finance economic activities not eligible for the taxonomy | 2,581.5 | 36.6% | 2,025.7 | 28.7% |
| All investments that are eligible for the taxonomy but not for taxonomy-aligned economic activities | 2,344.7 | 33.3% | 2,404.1 | 34.1% |
| Investments eligible for the taxonomy and the taxonomy-aligned economic activities | 456.9 | 6.5% | 84.5 | 1.2% |
| - Taxonomy-aligned exposures related to financial and non-financial undertakings that are subject to Articles 19 bis and 29 bis of Directive 2013/34/EU | 16.9 | 0.2% | 29.2 | 0.4% |
| - Investments from the insurance or reinsurance company, excluding investments continued for life insurance agreements in which the investment risk is borne by the policyholders, and which are focused on the financing of or are related to taxonomy-aligned economic activities | Not applicable | Not applicable | Not applicable | Not applicable |
| - Taxonomy-aligned exposures to other counterparties related to the total assets covered by the KPI | 440.0 | 6.2% | 55.3 | 0.8% |
| Turnover-based | Capital spending-based | |
| % | % | |
| Climate mitigation | Information not available | Information not available |
| - Transition activities | Information not available | Information not available |
| - Facilitating activities | Information not available | Information not available |
| Climate adaptation | Information not available | Information not available |
| Sustainable use and protection of water and marine resources | Information not available | Information not available |
| Transition to a circular economy | Information not available | Information not available |
| Pollution prevention and control | Information not available | Information not available |
| Protection and restoration of biodiversity and ecosystems | Information not available | Information not available |
| Nuclear energy related activities | |
| The undertaking carries out, funds or has exposures to research, development, demonstration and deployment of innovative electricity generation facilities that produce energy from nuclear processes with minimal waste from the fuel cycle. | Information not available |
| The undertaking carries out, funds or has exposures to construction and safe operation of new nuclear installations to produce electricity or process heat, including for the purposes of district heating or industrial processes such as hydrogen production, as well as their safety upgrades, using best available technologies. | Information not available |
| The undertaking carries out, funds or has exposures to safe operation of existing nuclear installations that produce electricity or process heat, including for the purposes of district heating or industrial processes such | Information not available |
| Fossil gas related activities | |
| The undertaking carries out, funds or has exposures to construction or operation of electricity generation facilities that produce electricity using fossil gaseous fuels. | Information not available |
| The undertaking carries out, funds or has exposures to construction, refurbishment, and operation of combined heat/cool and power generation facilities using fossil gaseous fuels. | Information not available |
| The undertaking carries out, funds or has exposures to construction, refurbishment and operation of heat generation facilities that produce heat/cool using fossil gaseous fuels. | Information not available |
The figures and percentages in the tables were calculated with the aid of various parties.
For the listed companies in our portfolio, the figures and percentages were determined based on data from our external capital managers combined with the input from a specialised external party that verifies which percentage of the turnover and investments (capex) is aligned for the first two goals. The percentage of the turnover and investments (capex) which are eligible is also calculated. The input used from this external party was obtained in late January and is largely based on annual reports for 2022. Since reporting on all six goals was not yet available for 2022, the calculation is based solely on the two climate goals. The activities related to nuclear energy and fossil gas were also not reported on in 2022, which is why the information is not available.
Our real estate portfolio is considered to be 100 percent eligible. Ten percent has an energy label A or better, or a comparable rating in other countries. In addition, a number of our crematoria have energy label A. The alignment of our real estate portfolio is therefore available for the first two objectives. No information is available regarding alignment with the other objectives.
We have used information from the SFDR reports from the capital managers for the infrastructure and agriculture & forestry portfolios. These reports are for 2022 so only contain alignment information about the first two environmental objectives. Three of the ten capital managers with whom we work were unable to provide this report for 2022, which represents 19 percent of the capital invested in infrastructure and agriculture & forestry. Regarding the portfolios managed by these capital managers we therefore calculate 0 percent are eligible and 0 percent aligned.
