01 Introduction and strategy 02 Measuring and managing sustainability 03 Climate change related disclosure 04 Strengthening our f oundation 05 Our universal principles 01.7 Our sustainability integration approach Our sustainability risk management framework We continue to expand and strengthen our sustainability risk management approach. A key enabling factor is understanding the requirements and limitations of our operating entities to develop global sustainability processes that can be integrated into local processes and systems. We periodically review and update our sustainability risk management approach to ensure it is curr ent and relevant in context of our core businesses. 01.7.4 Regulation as a driver of sustainability integration Regulation is necessary to drive integration of sustainability considerations in a structured way. We welcome sustainability regulation as a major driver for fair competition and a level playing field. We actively engage in and support regulatory dev elopments. For example, we are a member of the European Commission’s Platform on Sustainable Finance and have contributed to the work of the European Financial Reporting Advisory Group (EFRAG) on EU sustainability reporting standards, via in-kind memberships in the Project Task Forc e on European Sustainability Reporting Standards (PTF-ESRS) until April 2022 and in the Sustainability Reporting Technical Expert Group (SR TEG) since May 2022. In this context, Allianz aims to contribute expert input with r espect to the insurance industry, such as on the dual role of insurers as preparers and users of sustainability information as well as on existing interconnected regulation. 1. Allianz contributes to the EU standard- setting activities of EFRAG, which has submitted its first set of technic al advice on the sector-agnostic EU sustainability reporting standards in late 2022, via an in-kind member, which represents the EU insurance industry in the EFRAG Sustainability Reporting Technical Expert Group (SR TEG). 2. Over two years since October 2020, we were the onl y insurer within the EU Platform on Sustainable Finance which acts as a permanent expert group of the European Commission to assist developing the EU’s sustainable finance policies, notably the further development of the EU taxonomy. We aim to leverage regulation on sustainability by ensuring consistent implementation across all A llianz businesses as well as building business opportunities in line with regulatory concepts. Allianz has established a Sustainable Finance Regulation implementation project at Gr oup level to drive this. In close interaction with Group Centers and Legal Entities, internal guidance is designed to ensure consistent interpretation and implementation. Beyond regulatory compliance, the concepts are used to guide internal standards for product and business development. See Regulatory and public affairs (section 04.2). A llianz Gr oup Sustainability R ep or t 2022 20