frp_2024_sustainability_resiliency_report_v04

SUSTAINABILITY & RESILIENCY REPORT

A MESSAGE FROM THE CEO

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ABOUT FOUNDATION RISK PARTNERS

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OUR MISSION

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OUR APPROACH TO SUSTAINABILITY

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OUR PEOPLE ARE OUR GREATEST RESOURCE

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LEARNING FOUNDATIONS

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DIVERSITY & INCLUSION

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THE POWER COLLECTIVE

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WELLNESS & WELLBEING

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WE CARE

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BUSINESS CONTINUITY & RISK MANAGEMENT

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ENVIRONMENTAL AWARENESS & ACTIVITY

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CYBERSECURITY AND PHISHING AWARENESS

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MAKING A DIFFERENCE: Our Commitment to Corporate Sustainability and Social Awareness

A MESSAGE FROM THE CEO

A MESSAGE FROM THE CEO

We are pleased to launch our inaugural Sustainability report with our board of directors, clients, Foundation Risk Partners associates, carrier partners and communities we serve. We aim to share Foundation Risk Partners ’ sustainability initiatives and results while building accountability for our efforts into our organization ’ s framework. At Foundation Risk Partners we strive to always be a part of the solution. This first annual sustainability report represents our promise to be transparent about the initiatives launched to foster our key objectives. We do this to affirm our dedication to a better world. As a thought leader on all things benefits we recognize the influence we have in the insurance industry. We acknowledge the impact of our decisions on our communities and seek to a positive representative of corporate responsibility for a sustainable tomorrow.

ABOUT FOUNDATION RISK PARTNERS

ABOUT FOUNDATION RISK PARTNERS Foundation Risk Partners (FRP) is a privately held, national insurance brokerage and consultancy, backed by the international private equity firm, Partners Group. It was founded in 2017 and currently ranked as a top 20 broker in the U.S. Our company began with the convergence of two large, established consulting and brokerage platforms that now provide FRP ’ s comprehensive property and casualty and employee benefits insurance services. FRP is licensed in all 50 states with more than 2,300 employees. Our benefits professionals support the health and welfare programs of local, regional and national employers, with a combined total valuation of over $2.8 billion. This combination of a locally entrenched and trusted advisor with the expanded capabilities of a nationally recognized employee benefits platform, elevates our value proposition to new levels. We are a rare combination of industry experience, leadership and innovation. We embrace the success of each of our member agencies and further support them through the collective capabilities of our internal network. We invite you to experience the difference.

OUR MISSION

OUR MISSION From a sustainability and resiliency perspective, we do this because of our commitment to service. It is fundamental to how we care for each other as a society. This document sets forth how we endeavor to care for our employee communities by minimizing our environmental footprint, fostering a spirit of volunteerism in our staff and providing an opportunity to learn from each other in service to a better and brighter future.

OUR APPROACH TO SUSTAINABILITY

OUR APPROACH TO SUSTAINABILITY The Foundation Risk Partners Sustainability Initiative represents our commitment to the environment. By reviewing our internal practices, establishing better waste management strategies and continuously evaluating our approach to vital and finite resources, we hope to make measurable progress to creating a green and vibrant future. FRP ’ s Board of Directors and leadership team are committed to developing environmental best practices throughout our agencies. We work to ensure that the appropriate governance structure is in place to provide necessary oversight for our sustainability initiatives. The Board of Directors created the Sustainability & Resiliency Committee and delegated formal oversight of sustainability matters to this committee in accordance with its charter. The committee is tasked with periodically reviewing and approving FRP ’ s policies, strategies, and external reporting with respect to sustainability and corporate risk matters. Specifically, the committee charter includes the company ’ s plans, metrics, and performance, as well as material events related to the environment, our diversity practices, cybersecurity and data protection. The committee ensures that appropriate financial and other resources are available to execute approved initiatives.

OUR PEOPLE ARE OUR GREATEST RESOURCE

OUR PEOPLE ARE OUR GREATEST RESOURCE One of Foundation Risk Partners ’ most valuable attributes is our ability to become a true extension of our clients ’ team. This is because of our deeply committed and extraordinarily talented employees. Our people represent the best of what we have to offer as an organization. Our objective is to foster a company culture where employees can achieve their goals, develop their skills and do meaningful work to further their aspirations in our industry. Every day our 2,300 associates provide clients with the guidance they need to ensure their insurance needs are being met. We can do no less for our staff. Keeping our employees engaged and successful is paramount to Foundation Risk Partners ’ success as a thought leader in the insurance community. They are our greatest resource and we are invested in supporting them as they support our company ’ s goals and objectives.

We do this in a few ways:

x Learning Foundations x Diversity & Inclusion x Wellness & Wellbeing

LEARNING FOUNDATIONS

LEARNING FOUNDATIONS

working remotely through greater flexibility which leads to higher course completion rates and better information retention. Additionally, custom courses can be made available based on specific needs or requests and team members can create learning paths to upskill themselves and advance their careers. Account Management Training Academy The Account Management Training Academy is designed to develop both tactical and strategic skills in each phase of the client life cycle by creating value for the client, expanding existing relationships, and ensuring the highest quality customer experience – all with a goal of supporting client retention. Each academy module provides fundamental technical knowledge as well as project management skills and product training presented by subject matter experts. The blended, interactive format includes live classroom, virtual and online learning along with testing to ensure the successful transfer of learning.

Excelling as an organization is only possible when the entire staff is focused on improving personal contributions. To that end, we have transformed our company into a premiere learning environment through staff education and information sharing. We facilitate organic learning through an internal training program, Learning Foundations which is separated into three different approaches based on company career track: Learning Foundations Sales Academies The Learning Foundations Sales Academies are designed to support the learning culture of FRP and provide comprehensive training for producers in all FRP companies. Learning Management System (LMS) FRP offers many of our learning programs through a learning management system (LMS) as it provides a robust and unified learner experience. Utilizing the LMS, our Learning & Development team can distribute content for a blended learning environment that includes live, virtual, and online courses. The LMS also supports team members

DIVERSITY AND INCLUSION

DIVERSITY AND INCLUSION

time and again that we make the best decisions when we jointly explore and vigorously debate a range of viewpoints, in order to achieve clarity of direction. This process of 'creative abrasion' is key to the partnership approach that sits at the heart of our business. following organizations: x 10,000 Black Interns, x American Corporate Partners x Girls Who Invest, x High Water Women x Advance (Gender Equity In Business) x Him For Her x Level 20 As such, Partners Group supports DEI through though their initiatives with the

Our approach to DEI is an ongoing process of learning, understanding, training and implementation of programs that allow us to further mature as an organization. While we have always embraced diverse cultural and economic backgrounds, recent reflection has led us to refine and redefine how we evaluate these goals. We recently updated our required DEI training program, and encourage individual participation in paid volunteerism, a vital part of further understanding our role in the workplace, community, and society. As part of this commitment to our community, we are developing a local mentorship program to help provide career opportunities to a new and more diverse generation. This commitment extends to improving representation on our executive committee and developing a permanent executive role to further implement short- and long-term strategic DEI initiatives. By including underrepresented voices in positions of leadership, we hope to address existing barriers in for the historically underserved members of our local and regional communities. This initiative is also supported by the charter of our equity partner, Partners Group. Since their inception, Partners Group have seen

x LGBT Great x Out Investors x Pathways to Higher Education x Stonewall

x Toigo Foundation x Windsor Fellowship

As a new and rapidly growing company, FRP ’ s goal is to provide opportunities for all candidates and teammates to succeed and to cultivate a workforce that mirrors the diverse communities we serve.

THE POWER COLLECTIVE

THE POWER COLLECTIVE

As part of our commitment to supporting our diverse employee community, FRP established an employee resource group called The Power Collective to support women in insurance. This group ’ s mandate is: Supporting one another : Providing a platform for open dialogue, encouragement, and solidarity in navigating challenges and celebrating achievements. Advancing diversity : Actively promoting diversity initiatives and advocating for inclusive practices within our teams and across the company. Enhancing professional growth : Offering opportunities for skill development, career guidance, and networking to help women excel in their roles and beyond.

WELLNESS & WELLBEING

WELLNESS & WELLBEING

One of FRP ’ s core capabilities is in the area of wellbeing. We are a leading provider in employee benefits and solutions and we work with many clients to build out the strategies that lead to a return on investment with regards to their employees ’ health outcomes. The approach we take with our clients is also the way we help our own colleagues. The health and wellbeing of employees is crucial to FRP ’ s success. We are teammates; we are parents; we are people. We invest in them as we invest in our clients. At FRP we support the development and achievement of our people not just as employees but as parents and caregivers. Through our work we have an intimate understanding of how healthcare operates and have made it our mission to help team members by providing opportunities to care for their health in a variety of ways. Our initiatives range from education to access. We offer webinars to keep staff informed of best practices regarding their health, physical, emotional and financial. As a benefit, all employees have access to an employee assistance program, offering counseling sessions on topics like family, work, money, legal services, health, and identity theft recovery.

This includes services like estate planning, caring for an elderly family member, and coping with anxiety or depression. We also provide expanded mental health services and voluntary benefits that speak to our employee needs such as caregiver support and long term care plan options. In Q4 of 2024, we are starting an education series that focuses on the importance of preventive care. Additionally, we opened a health clinic at FRP headquarters in Ormond to ensure our employees always have access to healthcare.

WE CARE

WE CARE Foundation Risk Partners is dedicated to supporting organizations and families in need through our regional Cares networks of community outreach. It not only strengthens our internal corporate culture by way of fellowship but reminds us all why we do what we do - to protect what matters most to you. And for many of our neighbors, close and far, a helping hand, food, shelter and support can make a world of difference. The FRP family is kind and compassionate and prioritizes helping others so that tomorrow will be better than today. We spearhead this work through our CARES program which has two pillars of focus: x CARES Forward – Paying it forward to our nonprofit clients and local communities with a focus on health & wellness x CARES Comfort – Caring for our colleagues and teams through internal initiatives focused on emotional wellbeing, team building events and recognition Through these two pillars, FRP fosters growth for the individual and the company. FRP has 2,400 employees and offers 8.5 hours of volunteer time annually to all of them. That means over 20,000 hours of voluntary time that our employees can use to give back to the communities we serve. Some of those initiatives include: x Clothing Donation x Disaster Relief x Food Drives x Habitat for Humanity x Toy Drives

BUSINESS CONTINUITY AND RISK MANAGEMENT

BUSINESS CONTINUITY & RISK MANAGEMENT

Additionally, we employ secure shredding disposal services through our waste disposal vendors across our regional locations, further safeguarding sensitive information. Our ability to transition to a virtual work setting during the Covid-19 pandemic demonstrates our agility in ensuring uninterrupted service and support for our clients during challenging times. Furthermore, our client support model is built on a collaborative team approach. Each client is supported by multiple highly specialized individuals with overlapping skillsets. This redundancy and cross-training allow for consistent, high-level service even when team members change, or individuals are periodically unavailable.

Foundation Risk Partners enforces robust disaster recovery protocols. Our Agency Management System is a common operating platform and is located on a secure cloud allowing employees to service our customers from both the office and remotely. Further, our organization stores backups at a secure off-site data site located more than 100 miles away from our primary location. We maintain a redundant data facility situated over 250 miles away, which houses our current backup data. An independent third-party performs semi-annual penetration testing to ensure our systems remain impervious to outside attacks. FRP is committed to the protection, security, and integrity of all confidential information. To ensure global compliance, our company ’ s various processes and workflows undergo regular reviews by our Privacy Officer and General Counsel with a specific focus on privacy rules and HIPAA requirements. All new employees with access to sensitive information receive comprehensive training on privacy rules and requirements.

ENVIRONMENTAL AWARENESS & ACTIVITY

ENVIRONMENTAL AWARENESS & ACTIVITY

At FRP we are deeply concerned about our environmental impact. This is why we have established a committee to focus on initiatives that reinforce company sustainability practices and strengthen our resilience. The Corporate Sustainability is charged with identifying, implementing, and measuring the efficacy of our efforts to improve corporate sustainability. In pursuit of these goals the committee has done the following: x Surveyed all FRP Agencies to identify products and programs to improve our environmental footprint x Created internal communication materials to promote new sustainability policies such as: x Don ’ t Get Trashed – avoiding single use food packaging and utensils, recycling old electronics and composting organic materials x Paper Cuts – cutting back on paper use, using recycled paper and going digital x Turn Offs – investing in energy efficient appliances, unplugging appliances when they are not in use and turning off the lights when a room is not occupied

x Water You Thinking? – focuses on reducing plastic water bottle use and water conservation

CYBERSECURITY AND PHISHING AWARENESS

CYBERSECURITY AND PHISHING AWARENESS

In addition to this, we ensure that our employees and staff are briefed on cybersecurity constantly through ADP module education. Everyone in the organization must complete these education modules on an annual basis. Periodic updates from the Information Technology, such as the infographic seen here, keep everyone informed on the appropriate protocols to avoid scams and our continuing education program, Learning Foundations reinforces the knowledge required to keep the entire FRP enterprise.

FRP has very stringent policies and procedures in place as well as multiple monitoring and alerting agents that report to a 3rd party SOC that monitors and controls 24x7x365. We have a security assessment policy that applies to all FRP information systems and information system components. Corporate Synergies periodically assesses the security controls in organizational information systems to determine if the controls are effective in their application. Both security and vulnerability assessments are performed by internal staff to ensure appropriate levels of coverage and oversight are maintained. We routinely scan our network and applications for unauthorized access through our network and security vendors. FRP enforces enterprise-wide security procedures for web sites, applications, databases, servers, networks, desktops and other endpoints, which are regularly monitored and assessed. Our processes and workflow are designed and reviewed regularly by our General Counsel.