T o b e a ‘ Good Company ’
To be a ‘Good Company’ Published In: September 2013 Published By: Global Human Resources Group, International Business Development Dept. Tokio Marine Holdings, Inc. Contact Person: Kaz Okamoto ([email protected]) Naho Imai ([email protected]) It has been over 130 years since the foundation of the Tokio Marine Group in 1879 as the first insurance Table of Contents company in Japan. From the time we started, global business has been integral to our operations and we currently have a presence in 37 countries and regions with operations in 456 cities. Through this network we provide
safety and security to our customers throughout the world. 3
Currently there are approximately 40,000 employees Message from the President & CEO around the world, working to shape and grow the group. They represent a rich and diverse range of cultures, countries and backgrounds. To be able to leverage fully 5 the strengths of such diversity it is essential that we are all The History of the Tokio Marine Group working towards a single and shared vision.
As the Tokio Marine Group we are committed always to 7 operating "for the benefit of customers, business partners and society". It is this very dedication that will ensure that Global Expansion in Recent Years customers will continue to choose our services and allow us to continue to grow in the next 50 or 100 years. This is only possible through the efforts of all employees to build 9 a Good Company. Worldwide Network
This publication was prepared to be a guide that will help
to lead the way as a Good Company. 11
What is a Good Company?
15
Look Beyond Profit Empower Our People Deliver On Commitments
01 02 Message from the Preside nt & CEO
Tsuyoshi Nagano President & Chief Executive Officer Ian Tadaharu Takaaki Tsuyoshi Kunihiko Ichiro Brimecome Uehara Tamai Nagano Fujii Ishii Executive Officer Managing Executive President & Managing Managing Executive Officer Vice President Chief Executive Officer Executive Officer Executive Officer
Dear All,
Thanks to everyone’s efforts both now and Company, identify with the concept, and have an of our work? What do we exist for? What type of throughout our history, Tokio Marine Group has ongoing dialogue about its meaning. I would like relationships we should have with our customers, become a global company with a world wide to build a corporate culture that is based around with society and with our colleagues? network that is rich in diverse and talented people. the pursuit of Good Company, both through I would like to invite you all to take the time to To leverage the strength of this diversity, I believe internal reflection and our actions. Becoming a read this booklet and consider deeply about Good it is necessary for us to have a shared vision, that Good Company will be something continuous, Company. Then discuss with your colleagues, reveals what we want to be and binds us together something that is embedded within the group share your ideas. I promise to give my full support as a Global Insurance Group. regardless of changes in people or changes to all of you to realize our shared vision. For Tokio Marine Group that vision is “Good through time. I would like to create a corporate Let’s continue to build a Good Company together. Company.” I would like to work together with culture with all of you where we are always trying all of you, from around the world, to make ours a to realize the vision of Good Company. Good Company. Tsuyoshi 'Nick' Nagano In order to make this a reality, initially, we must We should all think about what Good Company President & CEO, all deeply understand what we mean by Good means to us. What is the purpose and significance Tokio Marine Holdings
03 Message from the President & CEO Message from the President & CEO 04 The History of the Tokio Marine Group
Looking back on the history of the Tokio Marine Group, we can see that within a free and open corporate culture, our predecessors embraced a global perspective and challenging spirit as they pushed onward to benefit society and its people. In this section, we will take a look at an overview of our history from inception to our recent global expansion efforts, as we unravel the strands that form the DNA of the Tokio Marine Group.
Shareholder's Meeting in April 1906
The First and Leading Since then, Tokio Marine has Becoming Global companies, Tokio Marine actively The Enduring Values and Insurance Company in continued to lead the insurance increased its share of non-Japanese Vision of Tokio Marine Japan; Tokio Marine industry for over 130 years. During In the year of its inception, Tokio business. This was achieved post-war reconstruction and rapid Marine established an agent network both through organic growth by Our corporate values are embodied In 1879 Eichii Shibusawa, a pivotal economic growth, Tokio Marine through Asia in Shanghai, Hong expanding local business and also in “What We Value” and these through a series of mergers and figure in Japanese economic history, played a crucial role by providing Tokio Marine Nichido Building circa 1900 Kong and Busan. The following represent a culmination of everything saw the establishment of a full- social infrastructure and a safety net. year the company further expanded acquisitions of leading insurance we have learnt and stood for through scale insurance company as being As society, corporate and individual the agent network to Paris, London companies. our 130 year history. These values essential “for the future of Japan and needs evolved, we helped people and New York. So from the very then form the basis of the vision its economy”. Then Yataro Iwasaki, face their risks and pioneered the beginning the company has been With this continuous focus on of Tokio Marine Group which are founder of Mitsubishi, and some fellow development and underwriting of operating on a global basis with a supporting all of our clients from the brought together in Good Company. financiers joined together to found automobile, property & casualty and major focus on supporting Japanese beginning wherever they are from These values and vision are timeless ‘Tokio Marine Insurance Company’ life insurance. companies as they looked to expand and wherever they are going, we and the cornerstone of our global and it became the first fully-fledged overseas. From around 2000, in hope to become global. insurance business in the past, joint stock company in Japan. Present Tokio Marine Nichido Building addition to supporting Japanese present and the future.
2011 The Great East Japan Earthquake 1923 1950's~1970's The Great Kanto Earthquake Japan’s rapid economic Thailand’s Great Flood growth period
1914 1924 1996 2002 Commences sales of Starts uniform goodwill payments for Enters the life insurance Establishes auto insurance. the Great Kanto Earthquake covered business Millea entirely by own fund. Holdings (present Tokio 1880 Marine HD). Starts operations in Paris, London, and New York.
1879 2004 Establishment of Tokio Marine Insurance Company, Japan’s Merger of Tokio Marine and first insurance company. Fire Insurance Co., Ltd. and Nichido Fire and Marine Establishes agencies in Shanghai, Hong Kong and Busan. Insurance Co., Ltd.
05 The History of the Tokio Marine Group The History of the Tokio Marine Group 06 Global Expansion in Rece nt Years
Up until about 2000, the Tokio Dept. was established in July 2007 overseas business has risen in hand with profitability, as well as Marine Group’s overseas expansion under Tokio Marine Holdings, with dramatically, accounting for 34% a solid business model”. Only those efforts were mainly focused on a strong commitment to expand of profits in 2012, a substantial companies that are able to meet providing safety and security to further our global business. From increase when compared to 3% in these conditions are invited to join Japanese businesses operating then onwards, the company rapidly early 2000. the Group. overseas. Since around 2000, the expanded its overseas insurance Organic Growth and M&A together Working in collaboration with the Group’s overseas strategy has business with large-scale acquisitions form the basis of Tokio Marine companies that have joined our undergone a significant change. in Europe and the United States. Group’s overseas strategy. With Group, we draw on the full potential In addition to supporting Japanese Representative of these expansion M&A, our prerequisites are most and diversity of all of our members clients, the Group actively engaged efforts are Tokio Marine’s three important “being able to share the to reinforce Tokio Marine Group’s in the reinsurance business and big acquisitions with Kiln Ltd. and same Corporate Values and Vision”; presence as a true global insurer. non-Japanese businesses, and Philadelphia Consolidated Holding then “sound operations backed by also directed its efforts towards Corp. (PHLY) in 2008, and Delphi the existence of an outstanding TMAsia Lloyd's M&A in developing countries. The Financial Group in 2012. management team ” and “the International Business Development As a result, the share of Group potential for growth that goes hand
Business development Development of Footholds Establishment of Material Presence Further Expansion in Further growth, diversification focused on Japanese clients in Non-Japanese Business in Lloyd's (UK) and the U.S. High growth markets and capital efficiency
2004 2002 Invests in Allianz 2000 Invests in Tokio President General Establishes Tokio Marine Newa Insurance Co., Ltd. Millennium Re Ltd. Insurance Co., Ltd. (Taiwan) (TMR) (Bermuda) 2001 (Taiwan) 2003 Invests in Millea Invests in Sino Life Establishes Tokio Invests in IFFCO- Life Insurance Establishes Tokio Insurance Co., Ltd. Millennium Re (UK) TOKIO General (Thailand) Public Marine Asia Pte. (People's Republic Ltd.(TMR(UK))(UK) 2011 2012 Insurance Co. Co., Ltd. (MLITH) Ltd. (TMAsia) of China) Establishes Tokio Acquires Delphi (ITGI) (India) (Thailand) (Singapore) 2007 2008 Marine North Financial Group, Acquires Asia Acquires Kiln Ltd. America, Inc. Inc. (U.S.A) General Holdings (UK) (TMNA) (U.S.A) 2005 (Singapore and Invests in PT Acquires Real Malaysia) Invests in Nile Invests in Tokio Marine Seguros S.A. Family Takaful Edelweiss Tokio Life Insurance Company and Nile (Brazil) Establishes Life Insurance Indonesia General Takaful Accelerated Growth of International Insurance Business: International Company Limited (Indonesia) Company (Egypt) Business (India) Invests in Alinma Growth of Group Adjusted Earnings and the Share of Development Acquires Tokio Marine Department in International Insurance Business within the Group Philadelphia (Saudi Arabia) Tokio Marine Consolidated FY2002 FY2007 FY2012 Holdings, Inc. Holdings Corp. International (U.S.A) 3% International International 21% 33%
107 143 209 Billion Billion Billion Yen Yen Yen
Domestic Domestic Domestic 97% 79% 67% Steady expansion since the year 2000. Share of our international insurance business is expected to increase significantly International insurance business grew substantially after 2007 from 3% in early 2000 to 34% of the total earnings of the group in 2012. due to large scale acquisitions of Kiln, Philadelphia and Delphi.
07 Global Expansion in Recent Years Global Expansion in Recent Years 08 Worldwide Network
The Tokio Marine Group is aiming to become a top-tier global insurance 5. International insurance business group by offering quality that customers select. As of March 31, 2013, we offer our products and services in 37 countries/regions around the world North America Asia & Oceania and in 456 cities, providing safety and security to all its customers. United States Tokio Marine Management, Inc. People’s The Tokio Marine & Nichido Fire Trans Pacific Insurance Company Republic of Insurance Company (China) Limited TM Specialty Insurance Company China Zhongsheng International Insurance Brokers Co., Ltd. Tokio Marine America Insurance Company Sino Life Insurance Co.,Ltd TNUS Insurance Company Hong Kong The Tokio Marine and Fire Insurance TM Claims Service, Inc. Company (Hong Kong) Limited First Insurance Company of Hawaii, Ltd. Philadelphia Consolidated Holding Corp. Taiwan Tokio Marine Newa Insurance Co., Ltd. TMNA Services, LLC TOKIO Philippines Malayan Insurance Co., Inc. Delphi Financial Group, Inc. 1. MARINE 5. Reliance Standard Life Insurance Company Vietnam Baoviet Tokio Marine Insurance Joint Domestic GROUP International Safety National Casualty Corporation Venture Company Non-Life Bermuda Tokio Millennium Re Ltd. insurance insurance Thailand Tokio Marine Insurance (Thailand) Public business Company Limited business Tokio Marine Life Insurance (Thailand) Latin America Public Company Limited Mexico Tokio Marine Compañía de Seguros, Malaysia Tokio Marine Insurans (Malaysia) Berhad S.A. de C.V. 2. 4. Tokio Marine Life Insurance Malaysia Domestic Life Bhd. insurance Diversified Brazil Tokio Marine Brasil Seguradora S.A. business business Tokio Marine Seguradora S.A. Tokio Marine Global Re Asia Limited 3. Singapore Tokio Marine Asia Pte. Ltd. Paraguay La Rural S.A. de Seguros Financial Tokio Marine Insurance Singapore Ltd. business Tokio Marine Life Insurance Singapore Ltd. Europe, Africa & Middle East Tokio Marine Retakaful Pte. Ltd. TM Claims Service Asia Pte. Ltd. United Tokio Marine Europe Insurance Limited Indonesia P.T. Asuransi Tokio Marine Indonesia Kingdom Tokio Marine Europe Limited PT Tokio Marine Life Insurance Business Domains of the Tokio Marine TM Claims Service Europe Ltd. Indonesia Tokio Millennium Re (UK) Limited India IFFCO-TOKIO General Insurance Group and Major Group Companies Kiln Group Limited Company Ltd. 1. Domestic Non-Life insurance business Ireland Tokio Marine Global Re Limited Edelweiss Tokio Life Insurance Company Limited Tokio Marine & Nichido Fire Insurance Co., Ltd. Egypt Nile General Takaful Company Nisshin Fire & Marine Insurance Co.,Ltd. Australia Tokio Marine Management Nile Family Takaful Company Tokio Marine Millea SAST Insurance Co.,Ltd (Australasia) Pty. Ltd. U.A.E. Tokio Marine Middle East Limited Guam Tokio Marine Pacific Insurance Limited
2. Domestic Life insurance business Saudi Arabia Alinma Tokio Marine Company Tokio Marine & Nichido Life Insurance Co., Ltd. Turkey Allianz Sigorta A.S. Tokio Marine & Nichido Financial Life Insurance Co., Ltd. Allianz Hayat ve Emeklilik A.S. Tokio Marine Bluebell Re Limited 3 & 4. Financial / Diversified business Tokio Marine Asset Management Co., Ltd.
09 Worldwide Network Worldwide Network 10 What is Good Company ? Look Beyond Profit
Good Company
Empower Deliver Our On People Commitments Look Beyond Profit Look Beyond Profit We act with integrity for the benefit of our customers, business partners, and We act with integrity for the benefit of our society. customers, business partners, and society.
As an insurance company, we always seek what lies Good beyond profit; that is to say we always give the benefit Company to our customers, business partners and society.
To realize our business purpose, understand the Empower Deliver meaning of our existence, why we do our business; Our On this will become the source of our competitiveness.
People Commitments We must build a strong and vibrant company that is We inspire engagement We achieve high quality sustainable and for this we need to make a profit. and passion in all of our results by enhancing employees. stakeholder trust.
11 What is Good Company ? What is Good Company ? 12 Look Look Beyond Beyond Profit Profit
Good Good Company Company
Empower Deliver Empower Deliver Our On Our On People Commitments People Commitments
Empower Our People Deliver On Commitments
We inspire engagement and passion We achieve high quality results by in all of our employees. enhancing stakeholder trust.
As we deal with intangible products and services, our We are committed to continuously delivering results people and the credibility and trust they build with in the long term. customers are the foundation of our business.
These results are a consequence and a measure of the Motivated and proactive people and a dynamic trust we have gained from our customers, business organization are the drivers of Good Company. They partners, shareholders and society. This means that produce results by deepening trust and relationships enhancing trust through our daily activities is critical. with our customers, business partners, society and colleagues. We must be driven by our own desire to achieve these results and be accountable for them. We must embrace diversity and create an organization in which all employees are proud to be a part.
13 What is Good Company ? What is Good Company ? 14 Look Beyond Profit
Eiichi Shibusawa (Man in the middle), photo taken in 1927. Provided by: The Mainichi Newspapers
Eiichi Shibusawa, who is known the forefront of the on a global scale, risks as the ‘father of Japanese development and surrounding society have grown capitalism’ and played a major modernization of substantially and are becoming role in the founding of Tokio Japanese society more complex. Within this Marine, advocated the “unity of through its insurance business. environment, Tokio Marine morality and the economy”. He Shouldering its social mission remains committed to placed morality as the basis for of ‘supporting infrastructure’ maintaining a global business activities, and thought the company has been mindset. that profit should be pursued in underpinning new industrial Tokio Marine has led the a way that is aligned with the challenges as well as supporting industry for over 130 years interests of a nation’s society. the growth of key industries of since its founding by remaining The spirit of “for the Japan which have evolved and focused on “what lies benefit of customers, changed over the years such beyond profit” and business partners as shipping, steel, electronics, always adhering to the spirit of and society” has been automotive, computers, and “for the benefit of customers, a constant throughout Tokio semiconductors. business partners and society”. Marine’s history. As globalization continues, This spirit is the reason we exist From its founding in 1879, and at a time when major and will remain unchanged over Tokio Marine has been at changes are being seen the next 100 years. Photo taken at London circa 1900
15 Look Beyond Profit Look Beyond Profit 16 Empower Our People
On March 11, 2011, the Great immediate need. insurance claim payments in East Japan Earthquake shook At that moment, every only two months. Japan. After being hit by an employee and agency member A company composed of earthquake said to have been as well as the company itself colleagues who share in the the largest that Japan had were driven by a single purpose spirit of “for the benefit of ever experienced, each and and acted decisively. Unfettered customers, business partners every employee as well as our by rules or manuals, everyone and society”, and who can think agency members prayed for the considered the best and and act based on this ideal is well-being of our customers, necessary options, prioritized what drives a Good Company. as they thought about what them and moved as one, It is a company of they themselves could do demonstrating their outstanding which we are proud to help provide teamwork and fast response. to be a part. security and safety to As a result of their efforts, we those customers in were able to provide 50,000
17 Empower Our People Empower Our People 18 Deliver On Commitments
Kiln
PHLY Delphi
For over 130 years, the Tokio businesses as well as in our There is a common thread Marine Group has remained a acquisitions in developing that ties together all of the leader in the industry. In short, countries and the recent major companies that have joined the Group has continued to acquisitions of Kiln, PHLY, and the Tokio Marine Group. achieve success over a long Delphi. That is that they are sincerely period which is the result of With over a 50-year history, Kiln committed to their customers, earning the trust of customers, is a leading and representative business partners and society local communities and the insurance group of the U.K.’s in their respective markets, partners with whom we work. Lloyd’s insurance market. and based on the trust gained No matter in what era Likewise, PHLY has a history of from this commitment, or region, the Group has over 50 years and continues they continue to been successful in to consistently achieve high produce long-term, building trust and growth and high profits backed positive results. With Safety National (Delphi Financial Group) relationships by by customer and market these companies added to our reflecting the needs of support. Similarly, Delphi is a Group, Tokio Marine has set its customers and society in every solid insurance group with two sights on the next 50 to 100 strategy. This holds true in our main insurance subsidiaries years based upon the same Japanese business, non-Japanese having 100 and 50 years foundation of trust. business, and reinsurance histories. Reliance Standard(Delphi Financial Group)
19 Deliver On Commitments Deliver On Commitments 20 Working to be a Good Company brings us together as a united global insurance group
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