Taiwan's Financial Supervisory Commission (hereinafter referred to as the FSC) announced the "Climate Risk Financial Disclosure Guidelines for Domestic Banks" and "Climate-Related Risk Financial Disclosure Guidelines for Insurance Industry" at the end of 2021, requiring domestic banks and insurance companies to complete climate risk-related financial disclosures for the previous year by the end of June each year starting from 2023. In response to government policy, the Center for Business Sustainability at National Chengchi University (hereinafter referred to as the Center), established under the Higher Education Sprout Project, began conducting evaluations of climate-related financial disclosure (Task Force on Climate-related Financial Disclosures, hereinafter referred to as TCFD) reports for 38 domestic banks¹ and 44 insurance companies (including life insurance, property insurance, reinsurance companies, and foreign insurance company branches in Taiwan)² when the FSC mandated climate-related financial disclosures for domestic banks and insurance companies.

Mission Three of the Center plans the evaluation content, procedures, and methods based on the climate-related financial disclosure recommendations and guidelines published by the Financial Stability Board and the FSC, inviting scholars and experts to conduct the evaluation work. In September 2024, the Center held the first Climate Risk-Related Financial Disclosure Report Evaluation Awards Ceremony to recognize the top 20% of evaluated institutions and share report highlights and writing experiences to promote benchmark learning.

Footnotes

1. ¹

   The Center evaluates the 38 domestic banks required by the FSC to conduct climate-related financial disclosures, excluding: foreign and mainland China bank branches in Taiwan, credit cooperatives, farmers' association credit departments, fishermen's association credit departments, trust and investment companies, bills finance companies, and Chunghwa Post savings and remittance offices.

2. ²

   The insurance companies evaluated by the Center include: 21 life insurance companies (including 19 domestic insurers and 2 foreign insurer branches in Taiwan), 20 property insurance companies (including 15 domestic insurers and 5 foreign insurer branches in Taiwan), and 3 reinsurance companies (Central Reinsurance Corporation, American Re-Insurance Company Taiwan Branch, and General Reinsurance AG Taiwan Branch), totaling 44 insurance companies. According to FSC regulations, insurance companies currently under liquidation, including Hua Shan Property Insurance, Kuo Hua Property Insurance, AXA General Insurance, Kuo Hua Life Insurance, Global Life Insurance, Chaoyang Life Insurance, and Singfor Life Insurance (7 companies), are not required to submit climate-related financial disclosure reports and are therefore not within the scope of this evaluation.