01 Introduction and strategy 02 Measuring and managing sustainability 03 Climate change related disclosure 04 Strengthening our foundation 05 Our universal principles 04.2 Regulatory and public affairs Guiding principles of our regulatory work We base our regulatory work on four guiding principles: Embracing regulation We realize the benefits of building our business with security, and acknowledge the opportunity cost of bad regulation. Shared effort Good regulation requires shared effort by all those involved in designing, implementing and evaluating policy within a structured and open process. Good input, better regulation Good regulation is ab out delivering benefits for all stak eholders like citizens, businesses and society. Best results for all We provide industry knowledge and real-world data that support solution finding. As a financial services company, we operate in a highly regulated environment. It is crucial that we stay up to date with changes in the regulatory and political landscape and to help shape effective regulation by contributing our knowledge and expertise. The Group Regulatory and Public Affairs department (GRPA) is the center of competence and central coordinator for all regulatory and political management activities across the Allianz Group. GRPA is based at Allianz’s headquarters in Munich with field offices in Berlin and Brussels. Its purpose is to enable Allianz to navigate and help shape the regulatory and political environment. To keep abreast of regulatory changes, GRPA maintains a sound fact base of potential policy actions and likely outcomes. It advises management to ensure that the impacts of regulatory and political developments are accounted for in the Group’s strategy and business activities. It also supports local Allianz companies with regard to regulatory and politic al strategy, such as the interpretation and handling of upcoming EU regulations, and by sharing best practices and coordinating regulatory and political topics within the Group. In our engagement with regulators and policymakers, we adhere to the Allianz Code of Conduct. Our engagements in 2022 Our engagements with regulators and policymakers in 2022 included the following topics: Sustainable finance regulation: environmental and social taxonomy; international sustainability reporting standards; corporate sustainability due diligence; sustainability disclosure; customer’s sustainability preferences in Insurance Distribution Directive suitability assessment; digitalization of sustainability data. Supporting public-private cooperation: promoting blended finance; financing the green and digital transitions; facilitating collaboration to achieving the U.N. SDGs. Prudential regulation: Solvency II review; Recovery and Resolution directive; IFRS 17. Digital regulation: Artificial Intelligence Act, Artificial Intelligence Liability Framework; Data Access and Use (including access to in-vehicle data); European Data Spaces (including European Health Data Space and upcoming Open Finance Framework); cyber resilience (including European Cloud Services Scheme). Conduct regulation: Retail Investment Strategy; Value for Money methodology; Packaged Retail and Insurance-based Investment Product Review. Allianz Group Sustainability Report 2022 124