Good Neighbor Stories

State Farm® releases 2022 Impact Report

Wed, 24 May 2023 10:06:41 -0500

State Farm has released its 2022 Impact Report, an overview of our efforts to be a good neighbor and work toward a better world tomorrow. This is our third report and details our efforts in 2022 and provides an update on the commitments we’ve made to build a better world.

Formerly titled the Environmental, Social & Governance (ESG) Report, the updated title and format enables us to share our ongoing and longstanding efforts across four key focus areas:

Enabling our workforce to power the future
Building environmentally sustainable and resilient futures
Strengthening communities
Demonstrating responsible governance

Key highlights:

The foundation for a strong community and thriving workforce is an educated citizenry, and we invest in expanding access to education.
We promote a more sustainable environment through renewable energy generation and emissions minimization.
State Farm sees value and potential in the communities where we live and work, and we reinvest in creating opportunities that make communities a better place for all.
As a mutual company, we operate for the benefit of our policyholders. We are focused on long-term stability and growth, as well as operational resiliency.

The State Farm Impact Report helps us share what matters most to us with those who are making decisions about their insurance, financial services, employment and more.

As a mutual company, State Farm seeks to do what is in the best, long-term and collective interest of our customers. Their needs determine our path. Our job is to be there today – to help them recover from the unexpected, and to build resiliency for tomorrow.

Being a Good Neighbor by being a Green Neighbor

Mon, 05 Dec 2022 09:30:00 -0600

Being a good neighbor means caring about the communities we live and work in.

That is why State Farm is committed to reducing its environmental impact by entering into an agreement with Constellation, one of the nation’s leading suppliers of power and natural gas whose products include renewable energy and energy management products.

State Farm has set the goal of a 50 percent reduction in greenhouse gas emissions by 2030 and is getting there by taking a variety of steps to promote renewable energy generation in markets where it has a large footprint. The insurer will purchase zero-emission, renewable energy equivalent to what is currently used to power its corporate headquarters, operations center, and other Bloomington-located facilities.

“State Farm is committed to reducing its overall impact on the environment and addressing climate change,” says Jenny Greminger, vice president of Administrative Services and Public Affairs at State Farm.” Our efforts to improve energy efficiency, reduce waste, and lessen our carbon footprint is just another example of State Farm’s pledge to be a good neighbor.”

In total, eight State Farm facilities in Bloomington, Illinois will procure approximately 103,000 megawatt hours of energy per year from Constellation. This is the equivalent of 74,000 metric tons of carbon emissions annually, or 16,000 gasoline-powered passenger vehicles driven for one year, according to U.S. EPA greenhouse gas equivalencies.

The company has implemented other initiatives to lessen its carbon footprint, reduce waste and improve energy efficiency. For example, the State Farm Bloomington campus has also increased green space and continues to reintroduce native grasses into the landscape. These efforts reduce mowing and chemical use, provide habitat for wildlife, and control storm water runoff. And in commemoration of its 100th anniversary, State Farm dedicated $2 million dollars in grants to create safer, stronger more resilient communities. The Century of Good grants supported projects focused on a range of community-specific environmental priorities from improving air quality and energy efficiency to improving recycling rates and conserving green spaces.

Learn more about our environmental efforts by reviewing the 2021 Environmental Social and Governance Report. The report outlines our progress on environmental sustainability, social impact, and responsible governance of company operations.

State Farm & Climate Risk: TCFD Report

Tue, 22 Nov 2022 10:24:57 -0600

The State Farm® mission is to help people manage the risks of everyday life, recover from the unexpected, and realize their dreams. A changing climate introduces more risk and uncertainty into the lives of our policyholders, particularly regarding the frequency, severity, and location of catastrophic weather events. State Farm believes our primary role is to be there for our customers as they face these risks by maintaining the financial strength necessary to help them recover. In an effort to provide transparency around how we address climate risks for our policyholders and our business itself, State Farm is announcing our first TCFD report.

The Task Force on Climate-Related Financial Disclosures (TCFD) is an external framework providing guidance to companies on the information needed for investors and other stakeholders to assess risks related to climate change. Our 2021 TCFD report offers more information about how we govern, evaluate, and address climate risk on behalf of our policyholders. It also helps us identify areas where we can continue to improve or that require further study. State Farm is steadfast in our commitment to understanding and assessing the risks associated with climate change and the impact to our policyholders.

This TCFD disclosure supplements our annual ESG Report. While much of the work in the organization related to the risks associated with climate change falls within the Environmental pillar of our ESG strategy, the three components of ESG are all interrelated and we are continuing to mature our coordination of ESG strategy and initiatives throughout the entire organization.

2021 TCFD Report

State Farm® releases its second Environmental, Social and Governance Report

Tue, 07 Jun 2022 07:04:05 -0500

State Farm has released its 2021 Environmental Social and Governance Report. The 2021 report demonstrates our commitment and actions toward the concept, “Good Neighbors. Better World.” by outlining our ESG framework, and progress on environmental sustainability, social impact, and responsible governance of company operations.

Topics in the report include:

Progress toward our goal of reducing greenhouse gas emissions by 50% by 2030 (using 2019 as a baseline year); we’re on track to meet that goal.
Progress toward our supplier diversity goal.
An update on our $100 million pledge with Business Roundtable over a 5-year period to help minority communities and address issues of racial equity and justice.
More context on our data privacy and security efforts and the governance structures we have in place to ensure we keep our promises to customers and protect the information they’ve entrusted us with.
Continued reach and breadth of our philanthropy efforts – over $55 million in grants given in 2021 and 202,000 hours volunteered by agents and employees.
Efforts to use less paper – 70 million paper communications reduced last year alone.

As our ESG strategy matures, State Farm will identify the appropriate industry standards to track and validate progress.

Good Neighbors. Better World.

Tue, 30 Mar 2021 07:59:34 -0500

For us at State Farm^®, it’s not enough simply to do business with people; we must also be good neighbors alongside them. We’re committed to being a responsible corporate citizen that enhances the vibrant communities where our associates and customers live and work. This “Good Neighbors. Better World.” approach guided our actions in 2020 and continues to drive us going forward.

Those actions are shared in our first-ever annual report detailing our progress in environmental, social, and governance areas. One example is how in 2020, our national and local philanthropic giving totaled nearly $57 million—with more than $16 million supporting pandemic relief. State Farm invested an additional $10 million in minority and women small business owners in the Company’s home state of Illinois.

And—because cleaner air helps make a better world—State Farm is committing to reduce its greenhouse gas emissions by 50 percent by the end of 2030.

We have renewable or carbon-free power purchase agreements for several of our main employee campuses and we’re actively exploring sustainable solutions for fleet vehicles, energy efficiency capital projects, green natural gas – plus how to engage employees individually toward this target.

This step is just the first in our continuing efforts to being good stewards of the neighborhoods we serve.

Download the 2020 ESG Highlights infographic

State Farm Commits to Reducing Greenhouse Gas Emissions

Tue, 30 Mar 2021 07:57:59 -0500

In conjunction with today’s release of the first State Farm^® Environmental, Social and Governance Snapshot, State Farm announces its commitment to reduce its greenhouse gas (GHG) emissions by 50 percent by the end of 2030.

Initially, State Farm will focus its efforts on reducing two types of emissions:

Direct GHG emissions, such as those from company facilities and vehicles (Scope 1 emissions)
Indirect GHG emissions, such as those from the generation of electricity supplied to the Company (Scope 2 emissions)

“As a company, our mission is to help people manage the risks of everyday life, recover from the unexpected, and realize their dreams,” said State Farm Chairman, President & CEO Michael Tipsord. “We also believe we have a responsibility to promote, influence, and engage in environmentally sustainable behaviors on behalf of our current and future customers and associates.”

This 50-percent reduction goal aligns with the Science-Based Target initiative (SBTi) goal of keeping global temperature rise below 1.5 degrees Celsius by 2050.

State Farm is currently working with a third party to validate its GHG assessment and obtain Independent Assurance Statements for 2019 and 2020 GHG baseline data.

State Farm has already made progress toward this goal, with recent facility efficiency measures detailed in its ESG report along with a recently-finalized renewable power purchase commitment for its Richardson, Texas office and data center facilities.

State Farm is also exploring sustainable solutions for fleet vehicles, energy efficiency capital projects, virtual power purchase agreements, and green natural gas.

State Farm Releases its First Environmental, Social and Governance Report

Tue, 30 Mar 2021 07:57:11 -0500

State Farm^® today shares an Environmental, Social and Governance Snapshot to convey its commitment and actions toward the concept of “Good Neighbors. Better World.”

This ESG report, the first of its kind in the Company’s history, summarizes 2020 State Farm work in the areas of environmental sustainability, social impact, and responsible governance of company operations.

“For nearly one hundred years, State Farm has functioned on the belief that being a good neighbor means being good stewards of the neighborhoods we serve,” said State Farm Chairman, President & CEO Michael Tipsord. “We want to help make a better world by building resilient futures, empowering good neighbors, and protecting what matters.”

Highlights of the new report include:

Increased energy efficiency: More than 80% of State Farm facilities have an Energy Star Score of 75 or higher.
$100 million committed in support for minority communities for issues of racial equity and justice over the next 5 years.
98,000 hours of employee & agent volunteering, which generated $647,500 in related grant funding
Evolving workforce demographics: women comprise 57% of employees and 37% of executive roles. Minorities hold 24% of executive roles.

To accompany this report on 2020 activity, State Farm is also announcing a new environmental commitment to reduce its greenhouse gas (GHG) emissions by 50% by the end of 2030.

State Farm is the largest auto and homeowner insurance provider in the U.S., with more than 85 million policies and accounts.

Download the 2020 ESG Highlights infographic