Droplet Company releases ESG report: R&D investment to reach 2.99 billion by 2023.

On October 11, Water Drop Company released the "2023 Environmental, Social, and Governance (ESG) Report", outlining the company's work in key areas such as corporate governance, technological innovation, inclusive protection, and social responsibility. The report showcases the achievements of Water Drop Company in ESG construction in 2023. With the achievements in ESG management, practice, and information disclosure in 2023, Water Drop Company's ESG rating score jumped to "A", for the first time entering the industry's front ranks. Over the past year, Water Drop has innovated and explored in various areas of ESG. In terms of technological innovation, the company continues to explore the application of technologies such as big data, artificial intelligence, and blockchain in the industrial value chain. In terms of social responsibility, the focus is on serious illness assistance, continuous attention to special groups such as the elderly and those with rare diseases, leveraging their own product and technological advantages to help build an inclusive society. In terms of environmental protection, actively responding to the "dual carbon" strategy, advocating for green offices, reducing their own operational carbon emissions, and becoming one of the member companies of the "Private Enterprise Green Low-carbon Development Alliance". The founder and CEO of Water Drop Company, Shen Peng, emphasized in the report: "To provide high-quality and inclusive insurance and health services solutions for the people, actively practicing the concept of sustainable development, and continuously deepening the organic integration of corporate strategy and social responsibility are the top priorities for Water Drop Company's ESG construction." Continuing to invest in research and development with a total of 299 million yuan in 2023, Water Drop Company emphasizes the importance of developing new quality production forces as an intrinsic requirement and important focus to promote high-quality development. The report shows that Water Drop Company invested 299 million yuan in research and development in 2023 and applied emerging digital technologies to the product and service field to continuously improve efficiency and better serve users. In 2023, Water Drop deployed a large language model "Water Drop Water Guardian Model" focusing on the insurance field. This model covers various scenarios of insurance business, including consultation, underwriting, and claims. In order to communicate with users independently in real time and improve user interaction efficiency, Water Drop also developed the "AI Insurance Consultant" and established the claims service system "Water Drop Bao Bang Pei" to form a core assistance service system centered around "online claims assist application, claims materials assist review, notification conclusion assist interpretation, and claims disputes assist mediation". As of December 31, 2023, the coverage rate of the "AI + human" claims conclusion interpretation function reached 99%. Water Drop Company attaches great importance to the conversion application and protection of innovative results, strictly abides by the Patent Law, trademark law, and other laws and regulations, and continuously improves the group's intellectual property rights. In 2023, the company obtained 38 authorized patents, registered 132 trademarks, completed 20 copyright registrations, and successfully passed the qualification review of "National Intellectual Property Advantage Enterprise", and was selected for the first batch of "Commercial Secret Protection Demonstration Base" list in Beijing. Undertaking social responsibility to help build a multi-level medical security system, in response to the pain points of serious illness assistance, Water Drop Company leveraged industry insights and its own product and technological advantages to innovate and explore solutions in the field of serious illness assistance. Through platforms such as Water Drop Raise and Water Drop Public Welfare, the company cooperates with social forces to help improve the construction of a multi-level medical security system and promote the high-quality development of medical security. In 2023, as a member unit, Water Drop Company actively participated in the construction of multi-level medical security systems such as "Jinqing Bang" and "Haihui Bang". By the end of 2023, 1003 patients had applied for assistance through the "Haihui Bang" platform, with the total amount of multi-level medical assistance reaching 13.63 million yuan. The "Jinqing Bang" application has realized full crowd monitoring of Jinyun people seeking medical treatment, automatically screening more than 5.2 million people, identifying more than 13,000 individuals with high self-payment medical expenses, and social assistance funds reaching more than 116.76 million yuan. At the same time, the company's participation in the practice of building a multi-level medical security system has been included as a classic case in the "Medical Security Blue Book (2023)" and has won awards such as the 8th China Charity Annual Meeting 2023 Annual Charity Project, providing valuable references for the construction of a multi-level system in China. Water Drop Company continues to increase the coverage of rural revitalization insurance. In June 2023, the company donated rural revitalization insurance to all 1471 villagers in Zhongtanbao Village, Yingxiu Town, Wenchuan County, Sichuan Province, with a total coverage amount of 280 million yuan. In addition, by the end of 2023, "Water Drop Rural Clinic" had established 139 rural clinics in 12 provinces including Xinjiang, Sichuan, Shandong, Fujian, Guizhou, and Yunnan, benefiting more than 500,000 people. In 2023, with the increasingly improved background of charity laws and regulations, Water Drop Public Welfare, as an internet public fundraising information platform designated by the Ministry of Civil Affairs, collaborated with 41 public charity organizations, launched 322 public welfare projects, actively creating a more transparent, efficient, and accurate internet charity ecosystem, cherishing and protecting every kind-hearted donation from millions of netizens. Since its establishment, Water Drop Company has attached great importance to fulfilling social responsibilities and embedding sustainable development into its corporate genes. Over the past year, while developing its business, Water Drop actively undertakes corporate social responsibilities, implements the concept of sustainable development, and promotes the harmonious coexistence of enterprises with society and the environment through practical actions. In the future, Water Drop Company will continue to adhere to its original entrepreneurial spirit, forge ahead with determination, give back to society, and resonate its corporate development with national strategies and industry progress.