GDV welcomes Omnibus Simplification Package for more efficient sustainability reporting

Written by Adam Cadle

22/01/2025

The German Insurance Association (GDV) has welcomed the European Commission’s initiative to simplify sustainability reporting through the planned Omnibus Simplification Package.

This package aims to bundle existing and future reporting obligations and reduce administrative burdens on companies.

“Sustainability information is important for us as investors and providers of risk coverage. However, the reports must be more focused,“ said Jörg Asmussen, CEO of the GDV.

“Excessive requirements are detrimental to competitiveness and do not help the economy in the green transition. The original goal of the last Commission to reduce reporting obligations by 25% is a good signal. We need sustainability reporting that focuses less on quantity and more on the quality of the information. The better the data, the easier it is for insurers to take sound decisions in terms of sustainability.”

Asmussen said the current size categories for determining the scope of reporting obligations are based on rigid threshold that are unsuitable for small and medium-sized insurers.

Due to their high turnover and balance sheet volume, almost all German insurers, including small regional undertakings, are considered large companies and are therefore subject to the same reporting obligations as international groups.

The current criteria do not do justice to the special characteristics of the insurance industry and pose major challenges for smaller undertakings in particular,” Asmussen stated.

The GDV is calling for the introduction of industry-specific size categories or for insurers to only be subjected to the relevant reporting requirements if they have more than 250 employees.
“It should not be about including as many companies as possible, but the right ones.”

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