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Risk Management and Strategies for Material Topics
Procedures for Identifying Material Topics

Executive Office confirms the boundary and relevant content of the Report through cross-reference between material topics and GRI Standards Topics before further formulating thecorporate sustainability report with information provided by each department. After passing the third-party assurance and submitting it to Board of Directors, it is ready for stakeholders todownload. Subsequently, the Executive Office is still in charge of coordinating with the contact person at each department to continuously collect information through internal and externalchannels as well as follow up and communicate with stakeholders.

Level of significance on each sustainability topic

Mercuries Life Insurance evaluates 'actual 'and 'potential' positive and negative impacts through 'likelihood' and 'impact scale'. The "positive significance" and "negative significance" of each topic are calculated, and the total score of the impact degree of each topic is obtained by summing up the absolute value scores, and then sorted according to the total score of "impact degree”. Finally, the corporate sustainability group discusses and decides on ten major topics: ethical management, business performance, employee compensation and welfare, risk management, corporate governance, information security, compliance with laws, digital finance and innovation, fair hospitality and customer experience, climate change response and environmental management.

Report Topic and Boundary
Stakeholder Engagement
Stakeholder communication frequency and channels

With the overview of the industrial condition and expectation of policies announced by the competent authority as well as consideration of importance on operation and business through internal analysis, stakeholders are classified in nine categories. Based on the topics concerned by them, we offer channels for continuous communication to respond to stakeholders.

Mercuries Life Insurance Inc.

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