The Link Between Corporate Governance and Corporate Social Responsibility in Insurance

Lutgart van den Berghe (1) , Céline Louche (1)

1 Vlerick Leuven Gent Management School

Based on the argument that Corporate Social Responsibility is not just a fashion but rather the future from another angle, this paper explores the link between corporate governance and corporate social responsibility in insurance. Although insurance industries have been less exposed to criticisms than other sectors, like any other business, they are subject to increasing societal scrutiny. After a short reconsideration of the corporate governance paradigms and mechanisms, the paper analyses the relevance of corporate social responsibility and corporate governance for the insurance sector. It explores its positive and negative externalities and its role as institutional investor. The paper also provides policy recommendations for mainstreaming corporate social responsibility within the sector.

Keywords: Corporate Governance; Corporate Social Responsibility; Insurance; Externalities

Domains: Humanities and Social Sciences; Business administration

Lutgart van den Berghe, Céline Louche. The Link Between Corporate Governance and Corporate Social Responsibility in Insurance. Geneva Papers on Risk and Insurance - Issues and Practice, 2005, 30 (3), pp.425-442. ⟨10.1057/palgrave.gpp.2510034⟩. ⟨hal-01098076⟩