Key highlights: 

• State Farm Where We Work is part of our commitment to creating a work environment where everyone can be their best.
• As an insurance company, we’re uniquely positioned to be able to help build safer communities – whether on the roads or in homes.
• Thriving communities are where neighbors can realize their dreams. Our community development giving encompasses job training, neighborhood reinvestment, affordable housing, food insecurities, personal financial literacy, and sustainable housing and transportation. 
• Education is one pathway toward building robust communities for today and tomorrow by creating opportunities for economic security. Our education funding is directed toward initiatives that support higher education, K-12 STEM and academic performance, college, and career success.
• Being a good steward of our environmental resources just makes sense. In 2023, we advanced our efforts of preserving resources and reducing waste, while helping our customers do the same.
• We’re in the business of keeping our promises to our customers. Building trust is imperative to fostering an ethical culture with an inclusive environment that cultivates a sense of belonging for all. 

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 we do what is in the best, long-term interest of those we serve, knowing that a better world tomorrow starts with a stronger neighborhood today.

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.

To help address the impact of tree loss on communities across the country, State Farm® and the Arbor Day Foundation are announcing a new collaboration to replant trees and help build more resilience in disaster-impacted areas.

State Farm is committing $1 million to the Arbor Day Foundation in support of tree planting and reforestation projects throughout the remainder of 2021.

“Trees play a vital role in the stability of our communities and their resilience against disaster,” said State Farm Vice President of Administrative Services Jenny Greminger, who oversees the company’s environmental sustainability team. “Replanting in a strategic way will help impacted areas recover and potentially better withstand severe weather in the future.”

In consultation with the Arbor Day Foundation, key areas impacted by natural disasters have been identified in fifteen states (Arizona, California, Colorado, Florida, Iowa, Idaho, Maryland, Michigan, North Carolina, New Jersey, New York, Ohio, Oregon, Texas, and Utah). These areas, including several national forests, will host reforestation, tree planting, and tree giveaway events starting this spring and running through the fall.

Specific events will be announced as they are confirmed. Events will address local challenges including losses from wildfires, hurricanes and tornadoes, as well as urban heat islands and emerald ash borer infestation.

This new collaboration follows the recent announcement from State Farm of a commitment to cut its greenhouse gas emissions by 50% by the end of 2030, and the release of the company’s first-ever Environmental, Social, and Governance report. These efforts are the first announced by State Farm as part of its “Good Neighbors. Better World.” initiative, in which the company is emphasizing social and environmental responsibility as essential aspects of doing business.
 

Did You Know? Quick facts on trees from the Arbor Day Foundation

Click the images below to learn more about some of the many benefits of trees for health, the economy, and everyday life.

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.