Sustainable Estimatics: enabling insurers to track the emissions produced by car insurance claims
Solera, a global leader in vehicle lifecycle management and claims which is active in Europe, has launched Sustainable Estimatics, a carbon tracking tool. This is intended to help the insurance industry manage new environmental, social and governance (ESG) regulations and become greener and less wasteful.
The Sustainable Estimatics tool empowers insurers to quantify and mitigate the carbon dioxide equivalent (CO2e) emissions associated with their entire car insurance claims process. The primary focus is scope 3 emissions. These are the emissions generated by the indirect end-to-end activities of the claims they manage, and are notoriously difficult to measure. The tool is based on an algorithm which standardises the measurement of CO2e emissions across the lifecycle of car insurance claims.
In practical terms, this tool evaluates CO2 emissions and furnishes insurers with invaluable insights to drive their carbon footprint reduction initiatives. As regards the circular dimension, it enables insurers to compare the environmental impact of repairing car parts versus replacing them.
Solera has attained ISO 14064 certification for car insurance claims, validating the methodology and technology employed to procure verified carbon emissions data.
Sustainable Estimatics enables insurers to:
- Establish an emission baseline accurately;
- Measure and monitor scope 1 (emissions that a company generates directly), 2 (emissions that a company generates indirectly) and 3 (all the emissions associated with a company's entire value chain) carbon footprints throughout the entire lifecycle of car insurance claims;
- Set CO2e emission targets, track performance against these targets, and implement strategies to effectively reduce CO2e emissions from their claims process.