2020 Sustainability Report CONTENTS Sustainability Report 2020 2 Tokio Marine Group's Sustainability 3 Top Message 7 Tokio Marine: Our Climate Strategy 10 Measures and Response to COVID-19 11 Tokio Marine Group’s Approach to Sustainability: Continue to be Useful to Society through Our Business Activities 17 Relationship between Tokio Marine Group Initiatives and SDGs 21 Tokio Marine Group’s Sustainability Promotion Structure and Plans and Results of Initiatives 27 Stakeholder Engagement: Promoting Initiatives Together with Various Stakeholders 34 External Evaluations and Participation in Initiatives 41 Governance 42 Corporate Governance 43 Internal Control 47 Initiatives for Building a Decarbonized Society 53 Respect for Human Rights 58 Sustainability in the Value Chain 60 Promoting ESG Initiatives through the Provision of Products and Services 62 Creating a Society Where People Can Live with Security through Sustainable Investments and Financing 65 Core Theme 1: Providing Safety and Security 67 Making Society Resilient to Natural Disasters 120 Sustainability Management 82 Building a Secure Society by Utilizing Traffic Technology Innovation 121 Improving Quality from the Customer’s Perspective 85 Increasing Safety in Daily Lives by Responding to Varying Lifestyles and Changes in Society 132 Promoting Environmental Management 88 Eliminating Poverty in Society 139 Promoting Health and Productivity Management 90 Core Theme 2: Protecting the Earth 147 Developing and Utilizing Diverse Human Resources 92 Preserving Biodiversity and Wetlands through Products and Services 96 Preventing Global Warming by Promoting the Development of Clean Energy 155 Sustainability Library 100 Building Communities for People to Live with Peace of Mind through Environmental Protection Activities 156 Overview of Group Sustainability Reporting 157 Sustainability Performance Data 102 Core Theme 3: Supporting People 165 Third-Party Assurance Link to external website 104 Building a Society Based on Health and Longevity to Ensure Peace of Mind 166 GRI Standards Content Index PDF file open 113 Nurturing Generations Responsible for the Future 173 Recognition about ISO 26000 >> Link to anchor point on this Report 117 Aiming to Create a Symbiotic Society 175 Editorial Policy 1 Sustainability Marine Group's Tokio Tokio Marine Group's Sustainability Governance Providing Safety and Security Safety Providing 1 / Theme Core We introduce Tokio Marine Group’s sustainability approach and strategies, sustainability promotion structure, stakeholder engagement, plans and results, external evaluations and participation in initiatives. Top Message >> Relationship between Group Initiatives and SDGs >> the EarthProtecting 2 / Theme Core A message from Satoru Komiya, President and Group CEO Tokio Marine Group will contribute to the United Nations Sustainable Development Goals (SDGs) based on three activity themes. Our Climate Strategy >> Tokio Marine Group’s basic approach to respond to such social issues as increasingly severe Sustainability Promotion Structure and Plans and Results of Sustainability Initiatives >> climate change and natural disasters Supporting People 3 / Theme Core We introduce our sustainability promotion structure and sustainability key items as well as the plans and results for the sustainability key items. Measures and Response to COVID-19 >> Tokio Marine Group’s initiatives toward COVID-19 Stakeholder Engagement >> Management Management Sustainability Tokio Marine Group’s Approach to Sustainability: We introduce our structure for stakeholder engagement and include specific examples. Continue to be Useful to Society through Our Business Activities >> We implement our corporate philosophy based on the Tokio Marine Group Sustainability Charter. By identifying the material issues (referred as 'materiality') in each of the three core themes of External Evaluations and Participation in Initiatives >> “Providing Safety and Security,” “Protecting the Earth” and “Supporting People,” we are working Library Sustainability toward value creation and aim to be a“ Good Company” trusted by all people and society. We introduce external evaluations as well as our participation in initiatives. 2 Sustainability Marine Group's Tokio Top Message Toward a Safe, Secure and Sustainable Future Governance customers infected with COVID-19 for some medical insurance products that normally have waiting periods for insurance payments. Although consistently providing all stakeholders with the kind of value demanded by each of them Providing Safety and Security Safety Providing 1 / Theme Core Satoru Komiya is no simple task, we will continue searching for ways to do so. We will keep up our efforts to become President and Group CEO an even better company without being content with the status quo. Tokio Marine Group’s globally Tokio Marine Holdings, Inc. shared slogan “To Be a Good Company” incorporates this desire in the words “To Be.” In the years ahead, Tokio Marine’s unchanging purpose will be to protect our customers and local communities in their times of need by providing safety and security. First of all, let me express my heartfelt sympathies to everybody affected by COVID-19 and to those who In working to realize this purpose, under our Mid-Term Business Plan “To Be a Good Company 2020,” suffered damage by natural disasters. Looking back, we have set “Providing Safety and Security,” “Protecting the Earth” and “Supporting People” as our core my first year as President and Group CEO was truly a themes and are working to solve social issues through the participation of all employees globally. tumultuous one. In 2019, Japan was struck by a series Our ever more self-motivated employees will act with integrity and compassion, and as this spreads of major natural disasters for the second year in a row, the EarthProtecting 2 / Theme Core which severely affected the lives of many citizens. throughout organizations and the entire Group, we believe that it will create a virtuous cycle of Making matters worse, since the beginning of 2020 developing innovative products and services along with contributing to local communities and COVID-19 has grown into a global pandemic that is still claiming numerous precious lives across the society as we work toward the creation of a sustainable future and to contribute to the attainment of globe. The proliferation of COVID-19 is wreaking havoc on society in ways not seen since the days the Sustainable Development Goals (SDGs). By implementing these initiatives, we aim to become a of the Great Depression, as the Olympic Games and other events were postponed or cancelled and “Good Company” that is trusted by all people and society. global economic activity came to a standstill. Providing Safety and Security As illustrated by these developments, we are now living in uncertain, turbulent, complex and unclear Supporting People 3 / Theme Core times, and the spread of COVID-19 has further aggravated society’s sense of uncertainty. People around the world have become deeply concerned about the sustainability of society and question There are demands for responding to increasing public interest in climate change and appropriately their future safety and security. I feel that it is tough times like these when the purpose of corporate addressing risks to prevent and mitigate damages from natural disasters as well as for building safe existence is called into question. Under these circumstances, recent years have witnessed calls for a and secure communities. shift to multi-stakeholder capitalism that contributes to all stakeholders. Tokio Marine Group remains committed to providing safety and security throughout its business Since its founding, Tokio Marine Group’s purpose (raison d’etre) has been to protect customers and activities to ensure it can properly support customers and society. These efforts include engaging in local communities in times of need by providing them with safety and security, with the trust of industry-academia collaborative research, creating value through a variety of products and services, Management Sustainability customers as the starting point of all our activities. This founding purpose will remain unchanged participating in international initiatives, continuously supporting recovery efforts of disaster-stricken in the future. In fact, over the last several months, Tokio Marine Group has adopted a variety of new regions in collaboration with partners and conducting on-site Disaster Prevention Lessons for approaches toward finding solutions to issues concerning COVID-19. Let me cite some examples. schoolchildren. In Japan, Tokio Marine & Nichido provides coverage for specific infectious diseases but some of its products did not cover COVID-19. Addressing this situation, the company revised the scope The prompt payment of insurance claims in times of emergencies such as natural disasters is of paramount importance. In fiscal 2019, a total of 22,000 employees in Japan made their utmost of coverage of its policies for these infectious diseases to retroactively include COVID-19 upon Library Sustainability controlling underwriting risk. Overseas, PT Tokio Marine Life Insurance Indonesia and Tokio Marine efforts to respond to insurance claims. In addition, Tokio Marine Group is promoting initiatives such Life Insurance (Thailand) temporarily expedited payments, regardless of policy waiting periods, to as further accelerating insurance payments leveraging technology; developing insurance products 3 Sustainability Marine Group's Tokio