Does SDG-13 disclosure impact the performance of insurance companies?

In this research, we investigate how compliance with SGD-13 impacts the financial standing and risk profiles of insurance companies worldwide. We apply a differences-in-differences methodology, which allows us to assess the unique effects of SGD-13 compliance within the insurance sector. Our findings reveal that insurance companies compliant with SDG-13 experience greater profitability with an additional effect in the period following the introduction of SDG-13. Moreover, the insurance companies compliant with SDG-13 decrease their solvency ratio and their price volatility. Finally, the findings reveal that insurance companies compliant with SDG-13 in low-to-middle-income countries derive more substantial profitability and risk benefits than their high-income country. • This study aims to investigate the relationship between SDG-13 and value and risk of insurance companies. • The study focuses on a sample of 228 insurance companies across the globe over the period 2012–2022. • Insurance companies aligning with SDG-13 achieve an additional positive impact on profitability after the adoption of SDG-13. • Compliance with SDG-13 correlates with a reduction in solvency ratios and price volatility. • Insurance companies in low-to-middle-income countries have greater benefits compared to their counterparts in high-income countries.