About the Sompo Japan Business Financial Management Approach Financial Corporate Nipponkoa Group Strategy Highlights Structure to CSR Section Information
5 Sompo Japan Nipponkoa Holdings, Inc. About the Sompo Japan Nipponkoa Group Nipponkoa the Sompo Japan About Companies and Major Group Business Domains Structure Group 6 in Japan Main Operating Companies Overseas Main Operating Companies 12 Topics 8 10 7 About the Sompo Japan Nipponkoa Group Business Domains and Major Group Companies
The Sompo Japan Nipponkoa Group deploys various businesses: Domestic P&C Insurance as our core business, Domestic Life Insurance, Overseas Insurance and Financial and Other Services.
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s!SSET -ANAGEMENT s!SSISTANCE s/VERSEAS .ETWORK Overseas Financial and s2ISK #ONSULTING Insurance Other Services s(EALTHCARE s$EFINED #ONTRIBUTION 0ENSION 0LANS
Domestic P&C Insurance Domestic Life Insurance This is the Sompo Japan Nipponkoa Group’s core business, We position domestic life insurance as a major business pillar through which we provide high-quality products and services that second only to the domestic P&C insurance business. ensure our customers’ security and wellbeing. Sompo Japan Boasting particularly high-growth potential, we are striving to Nipponkoa market through insurance agencies, while Sonpo 24 spur its growth even further. sells policies directly to customers marketed by agencies, and Sompo Japan Nipponkoa Himawari Life markets its servic- Saison Automobile and Fire sells directly to customers. es mainly through P&C insurance agencies and promotes Sompo Japan and Nipponkoa merged on September 1, cross-sales of life insurance products targeted to P&C insur- 2014 to form a new company, Sompo Japan Nipponkoa ance policyholders. Its lineup of unique insurance products Insurance Inc. Going forward, we will strive to maximize our includes “Shin Kenko no Omamori” medical insurance and profi tability by leveraging the strengthened operating base of “Kazoku no Omamori,” an income protection insurance that the new company. Simultaneously, we will accelerate efforts to offers premium discounts for policyholders who have met develop the full potential of the new company by combining prescribed standards with regard to maintaining healthy life- the strengths accumulated at both companies. styles, such as abstaining from smoking. Overseas Insurance Financial and Other Services We position overseas insurance as a key business to bolster We are striving to expand our fi eld of business beyond the the Group’s growth strategy. We concentrate our manage- traditional boundary of the insurance business. To this end, ment resources on countries and regions that are strategically we are assisting customers with asset formation through the selected, thereby striving to increase the Group’s earnings asset management and defi ned contribution pension busi- power. While continuing with the provision of high-quality nesses, providing policyholders with road assistance and insurance services for Japanese companies expanding over- other services through the assistance business, supporting seas operations, which has constituted the core of this busi- customers with risk management through the risk consulting ness segment, we are expanding into local markets abroad. business, and helping them maintain and promote physical In May 2014, we acquired Canopius Group Limited, the and mental health through the healthcare business. parent company of the Canopius group which is engaged in underwriting a diversifi ed portfolio of business from its opera- tions at Lloyd’s and around the world. With this acquisition, we will further expand our overseas insurance business by entering into the overseas specialty market on a full scale.
6 Sompo Japan Nipponkoa Holdings, Inc. About the Sompo Japan Business Financial Management Approach Financial Corporate Nipponkoa Group Strategy Highlights Structure to CSR Section Information
7 4 , 2014. 014. Sompo Japan Nipponkoa Holdings, Inc. ned-Contribution Pension Plans) Sompo Japan Nipponkoa Risk Management Sompo Japan Nipponkoa DC Securities* Sonpo 24 Saison Automobile and Fire (Defi (Risk Consulting) (Direct Insurance) (Direct 3 Overseas Insurance Domestic Life Insurance Domestic P&C Insurance Financial and Other Services 2 Prime Assistance Japan Frontier Healthcare Services Sompo Japan Nipponkoa Healthcare Sompo Japan Nipponkoa Asset Management Sompo Japan Nipponkoa* Overseas subsidiaries Sompo Japan Nipponkoa Himawari Life* (Asset Management) (Healthcare) (Assistance) 1 Holdings* Nipponkoa Sompo Japan *3 NKSJ Himawari Life Insurance, Inc. changed its name to Sompo Japan Nipponkoa Himawari Life Insurance, Inc. on September 1, 2 *3 NKSJ Himawari Life Insurance, Inc. changed its name to Sompo Japan Nipponkoa Himawari Life Insurance, September 1, 2014. *4 Sompo Japan DC Securities Inc. changed its name to Sompo Japan Nipponkoa DC Securities Inc. on *1 NKSJ Holdings, Inc. changed its name to Sompo Japan Nipponkoa Holdings, Inc. on September 1, 2014. *1 NKSJ Holdings, Inc. changed its name to Sompo Japan Nipponkoa Holdings, Inc. on September 1, Insurance Inc. on September 1 *2 Sompo Japan Insurance Inc. and NIPPONKOA Insurance Co., Ltd. merged into Sompo Japan Nipponkoa Group Structure Group Main Operating Companies in Japan
Domestic P&C Insurance Business
Sompo Japan Nipponkoa Insurance Inc. Sonpo 24 Insurance Company Limited On September 1, 2014 Sompo Japan and Nipponkoa merged into With its intermediary agents introducing insurance products to cus- Sompo Japan Nipponkoa. Solidifying its operating base even further, tomers, Sonpo 24 is involved in the direct marketing of automobile Sompo Japan Nipponkoa is striving to provide high-quality insurance insurance through its website and call centers. Together with these products and services to help both individual and corporate custom- agents, Sonpo 24 cherishes building relationships with each customer ers manage the risks they face. and is committed to remaining an approachable and reliable partner.
Company outline Company outline Establishment: October 1888 Establishment: December 1999 (operational kickoff: March 2001) Capital: 70 billion yen Capital: 19 billion yen Shareholder: Sompo Japan Nipponkoa Holdings, Inc. (100%) Shareholder: Sompo Japan Nipponkoa Insurance Inc. (100%) Total assets: 7,098.9 billion yen*1 Total assets: 21.7 billion yen*2 Net premiums written: 2,082.1 billion yen*1 Net premiums written: 13.7 billion yen*2 Head Offi ce: 26-1, Nishi-Shinjuku 1-chome, Shinjuku-ku, Tokyo Head Offi ce: Sunshine 60, 1-1, Higashi-Ikebukuro 3-chome, Toshima-ku, Tokyo
SAISON AUTOMOBILE AND FIRE INSURANCE COMPANY, LIMITED Saison Automobile and Fire mainly targets those in their 40s and 50s, a demographic group with lower accident rates, through the direct marketing of “Otona no Jidosha Hoken” automobile insurance. Aiming to ensure that every policyholder selects its products with confi dence, Saison Automobile & Fire is striving to provide high-quali- ty services. This has made it the Group leader in direct marketing P&C insurance services.
Company outline Establishment: September 1982 (operational kickoff: April 1983) Capital: 20.1 billion yen Shareholders: Sompo Japan Nipponkoa Insurance Inc. (98.8%) Credit Saison Co., Ltd. (1.2%) Total assets: 41.7 billion yen*2 Net premiums written: 18.9 billion yen*2 Head Offi ce: Sunshine 60, 1-1, Higashi-Ikebukuro 3-chome, Toshima-ku, Tokyo
*1 Sum of Sompo Japan and Nipponkoa as of March 31, 2014.
Domestic Life Insurance Business
Sompo Japan Nipponkoa Himawari Life Insurance, Inc. On September 1, 2014, NKSJ Himawari Life was renamed Sompo Japan Nipponkoa Himawari Life. Its product lineup comprises an array of unique policies, such as “Shin Kenko no Omamori,” a medi- cal insurance equipped with diverse coverage options as well as a simple and easy-to-understand basic coverage.
Company outline Establishment: July 1981 (operational kickoff: April 1982) Capital: 17.2 billion yen Shareholder: Sompo Japan Nipponkoa Holdings, Inc. (100%) Total assets: 2,120.2 billion yen*2 Amount of business in force: 20,245.5 billion yen (total of individual insurance and individual annuities)*2 Head Offi ce: Shinjuku Central Park Building, 13-1, Nishi-Shinjuku 6-chome, Shinjuku-ku, Tokyo
8 Sompo Japan Nipponkoa Holdings, Inc. About the Sompo Japan Business Financial Management Approach Financial Corporate Nipponkoa Group Strategy Highlights Structure to CSR Section Information
9 (66.6%) (As of September 1, 2014) September (As of Holdings, Inc. Sompo Japan Nipponkoa Holdings, Inc.
Sompo Japan Nipponkoa Holdings, Inc. (96.65%) Co., Ltd. (3.06%) OMRON HEALTHCARE Corporation (0.29%) NTT DATA Sompo Japan Nipponkoa Prestige InternationalPrestige Inc. (33.4%) Shinjuku Center Building, 25-1, Nishi-Shinjuku 1-chome, Shinjuku-ku, Tokyo Healthcare Frontier Japan Inc. Frontier Healthcare Sompo Japan Nipponkoa DC Securities Inc. Prime Assistance Inc. Establishment: October 2005 Establishment: October Capital: Shareholders: 1,286 million yen ce: Head Offi 1-chome, Chiyoda-ku, Tokyo 2-3, Kanda Awaji-cho Company outline 1999 Establishment: May Capital: Shareholder: ce: Insurance Inc. (100%) Sompo Japan Nipponkoa Head Offi 3,000 million yen Boasting Japan’s largest network of approximately 1,100 healthcare 1,100 healthcare largest network of approximately Boasting Japan’s and national regis- specialists, including nurses, public health nurses c health specifi Japan provides Frontier Healthcare dieticians, tered needs of medical guidance and other services to meet the diverse to help while striving to enhance service capabilities in a bid insurers, as many people as possible. Company outline Sompo Japan DC Securities changed its name to Sompo Japan a cus- Nipponkoa DC Securities on September 1, 2014. By providing tomized bundle of wide-ranging services helpful for the operation and management of such plans, Sompo Japan Nipponkoa DC Securities mainte- and smooth assists with the swift, seamless introduction maintaining superior ned contribution plans, thereby nance of defi quality and consistency in service content. Prime Assistance was established as a joint venture between Sompo established as a joint venture Prime Assistance was International and Prestige Inc. By provid- Japan Nipponkoa Holdings of the highest grade, Prime and home assistance ing roadside customers face, the inconveniences Assistance helps to resolve daily lives. the security and wellbeing in their restoring thereby Company outline 2012 Establishment: April Capital: Shareholders: million yen 450 Head Offi ce: Head Offi 32-2, Honcho 1-chome, Nakano-ku, Tokyo Harmony Tower, 2 2 Sompo Japan Nipponkoa Insurance Inc. (83.5%) Inc. (16.5%) Institute Sompo Japan Nipponkoa Research Sumitomo Fudosan Nibancho Building 2nd fl oor, 11-7, oor, Sumitomo Fudosan Nibancho Building 2nd fl Niban-cho, Chiyoda-ku, Tokyo Kyoritsu Nihonbashi Building, 2-16, Nihonbashi 2-chome, Kyoritsu Nihonbashi Building, 2-16, Nihonbashi 2-chome, Chuo-ku, Tokyo Financial and Other Services Financial
Sompo Japan Nipponkoa Healthcare Services Inc. Sompo Japan Nipponkoa Healthcare Sompo Japan Nipponkoa Risk Management Inc. Sompo Japan Nipponkoa Risk Management Sompo Japan Nipponkoa Asset Management Co., Ltd. Sompo Japan Nipponkoa *2 As of March 31, 2014. *2 As of March Company outline 2007 Establishment: April Capital: Shareholder: ce: Sompo Japan Nipponkoa Holdings, Inc. (100%) Head Offi 495 million yen To help businesses counter mental health problems, which may grow which may grow help businesses counter mental health problems, To into significant business challenges, Sompo Japan Nipponkoa is striving to develop and market new services to Services Healthcare meet customer needs. One such service is entitled “LLax” series, comprising a set of uniquely developed solutions aimed at compre- industrial staff, hensively assisting top management, HR/labor relation the mental physicians and medical personnel to successfully resolve health issues they confront. Head Offi ce: Head Offi Shinjuku-ku, Tokyo 24-1, Nishi-Shinjuku 1-chome, Company outline 1997 Establishment: November Capital: Shareholders: 30 million yen As the risk consulting company of the Sompo Japan Nipponkoa Japan Nipponkoa As the risk consulting company of the Sompo custom- Sompo Japan Nipponkoa Risk Management assists Group, servic- consulting ers with their risk management activities, providing business continuity es spanning enterprise risk management and continuity plans. management, as well as the formulation of business Investment trust net assets: ce: Head Offi 513.4 billion yen* Main investment trust products Main investment trust products Open” (nicknamed “Buna no Mori” (beech forest)) “Sompo Japan Green Stock Open” Japanese “Mizuho High Yield Bond Fund” “Asian High Yield Company outline 1986 Establishment: February Capital: Shareholder: Sompo Japan Nipponkoa Holdings, Inc. (100%) account: Pension investment discretionary 608.1 billion yen* million yen 1,550 etc. Serving as the Group’s core asset management company, Sompo Sompo asset management company, core Serving as the Group’s Management is putting the utmost emphasisJapan Nipponkoa Asset is of customers and, to this end, on contributing to the wealth-building asset management services. unique and high-quality striving to provide Main Operating Companies Overseas
The Sompo Japan Nipponkoa Group boasts a global business network encompassing 231 cities in 32 countries and regions, including Europe, the Middle East, North America, Central and South America, Asia, Oceania and Africa. Approximately 6,700 employees*1 are engaged in insurance underwriting, claim handling, risk engineering and other services. *1 As of April 1, 2014
Europe
5+ 'ERMANY 3PAIN "ELGIUM &RANCE )RELAND
.ETHERLANDS 'UERNSEY 2USSIA 3WISS )TALY
• Sompo Japan Nipponkoa Insurance Company of Europe Limited
Middle East / Africa Asia / Oceania
5NITED !RAB 2EPUBLIC OF 4URKEY %MIRATES 3OUTH !FRICA #HINA -ALAYSIA #AMBODIA +OREA )NDONESIA
• Sompo Japan Sigorta A.S.
*2 Yasuda Seguros S.A. and Marítima Seguros S.A. signed a merger agreement in June 2014 and are pushing forward with merger procedures. The offi cial merger will take effect after the regulatory agency’s approval, which is scheduled for December 2014. 10 Sompo Japan Nipponkoa Holdings, Inc. About the Sompo Japan Business Financial Management Approach Financial Corporate Nipponkoa Group Strategy Highlights Structure to CSR Section Information
11 etc. etc.
!USTRALIA "ERMUDA
Sompo Japan Nipponkoa Insurance (Hong Kong) Company Limited
Japan
Introducing New Products for Individual Customers Introducing Fire Insurance for Wind Power Launching New Brand “THE” Series Generation Business Operators; Rider Covers Cost Sompo Japan Nipponkoa launched a new insurance brand of Measures to Prevent Accident Reoccurrence for individual policyholders under the brand name of Assisting with Stable Business Operations through Our “THE” series in concert with the merger of Sompo Japan Insurance and Risk Management Services and Nipponkoa. In February 2014, Sompo Japan Nipponkoa released fire In addition to providing new coverage and services tailored insurance for the operators of wind power generation busi- to customer needs, the release of “THE” series aims to nesses, with a rider covering the cost of measures to prevent launch an easy-to-understand product lineup that comprises the reoccurrence of similar accidents at the operator’s facilities. multiple insurance types under a unifi ed brand name. A single accident at a wind power generation facility can The naming of “THE” series represents the commitment of result in considerable damage and loss to operators. Sompo Japan Nipponkoa to carefully considering individual Moreover, similar types of accidents tend to reoccur succes- customer needs to provide insurance products that are indis- sively. Because of this, many wind power generation busi- pensable to their lives and capable of delivering wellbeing. ness operators place the highest management priority on determining the cause of each accident and implementing prevention measures. In response to their needs, the newly released rider also incorporates the provision of knowhow in determining pre- vention measures. Sompo Japan Nipponkoa will assist wind power generation business operators with their pursuit of sta- ble operations by providing both insurance and risk manage- ment services.
Introducing New Product in “Shin Kenko no Alliance Omamori” Medical Insurance Line
Enhancing Coverage while Reducing Premiums Facility where accident occurred Accident事故 Investigation to determine In May 2014, Sompo Japan Nipponkoa Himawari Life released accident cause new medical insurance product “Medical Insurance (2014),” a (Consultant) Other whole-life insurance nicknamed “Shin Kenko no Omamori.” Sompo Japan Nipponkoa specialized Risk Management corporations Building upon “Medical Insurance (08),” a whole-life insur- Facility where the accident did not occur ance that marked total sales of 1,200,000 policies with the Inspection aimed at Insurance claims for nickname of “Kenko no Omamori,” Sompo Japan Nipponkoa preventing similar accidents cost of accident (Insurers) prevention measures Sompo Japan Himawari Life exhaustively upgraded this well-received product Power generation business operators Nipponkoa for the fi rst time in the last six years, enhancing coverage con- tent in line with customer needs and adopting lower premiums. For example, the overall number of hospitalization dates Entering the Cloud Business due to three major diseases (cancer, cerebral stroke, acute On Becoming the First Domestic P&C Insurance myocardial infarction) is subject to coverage without limitation, Company to Develop a Cloud Computing Service while benefi ts for advanced medical procedures were expand- In April 2014, Sompo Japan Nipponkoa formulated the ed from a maximum of ¥10 million to ¥20 million. Moreover, “Basic Plan for the Joint Operation of a Common Platform criteria for the payment of benefits for policyholders who System Service” in tandem with Internet Initiative Japan Inc., underwent surgeries and invasive medical procedures have establishing a policy of promoting the development and pro- been adjusted in line with that of public medical insurance. vision of a cloud computing service tentatively entitled “Sompo Japan Nipponkoa Cloud.” This joint project will help Sompo Japan Nipponkoa enter the cloud business in a bid to evolve into “the best customer service provider” by combining risk consultation and other solutions with cloud computing services. Under this project, Sompo Japan Nipponkoa will upgrade its intragroup common platform system and enrich its service menu. From October 2014 onward, the upgraded system will be available to the Group members and agencies. 12 Sompo Japan Nipponkoa Holdings, Inc. About the Sompo Japan Business Financial Management Approach Financial Corporate Nipponkoa Group Strategy Highlights Structure to CSR Section Information
13 ce in Johannesburg Sompo Japan Nipponkoa Holdings, Inc. Signing ceremony Signing ceremony Opening a Representative Offi Opening a Representative Entering the Automotive Repair and Maintenance Entering the Automotive Business in China
The Sub-Saharan Africa represents the area south of the Sahara Desert and the area The Sub-Saharan Africa represents comprises 49 of 54 countries in continental Africa. * In April 2014, Sompo Japan Nipponkoa opened a representative In April 2014, Sompo Japan Nipponkoa opened a representative Southce in Johannesburg, the largest city in the Republic of offi rst Africa. By doing so, Sompo Japan Nipponkoa became the fi ce in the Sub- offi to establish a representative domestic insurer Saharan African region.* On the back of rapid economic development and popula- is expected to the insurance market in this region tion growth, over the medium and long term. Withgrow this in mind, we targeting the Sub-Saharan African will initiate market research to countries on a full scale while enhancing our local structure serve Japanese companies expanding into the region. In July 2014, Sompo Japan Nipponkoa formed a business Japan Nipponkoa formed a business In July 2014, Sompo Automotive Industry Sales Co., Ltd. alliance with Shanghai of Shanghai Automotive Industry subsidiary (SAIS), a core in China, with an automaker group Corporation, the largest and maintenance mar- automotive repair eye to entering the on a full scale. the country kets throughout sold than 20 million new automobiles were In China, more market ecting this, the automobile repair during 2013. Refl expected to aftermarkets are and other automobile-related experience continuing growth. and SAIS will Under this alliance, Sompo Japan Nipponkoa to collaboratively operate an implement a two-year test project facility in Shanghai. Upon successful conclu- automobile repair the plans call for establishing a joint venture sion of the project, business on a full scale. to develop the automobile repair Japan Nipponkoa launched SJNK In addition, Sompo Ltd. This consulting Business Consulting (Shanghai) Co., of automobile repair subsidiary specializes in the operation of operations to pro- facilities, with the aim of securing a base project. mote the aforementioned Head Offi ce Head Offi Lloyd’s of London Lloyd’s acquisition will acquisition will
Opening Zurich Branch for Reinsurance Business Opening Zurich Branch for Reinsurance Acquisition of Shares in Canopius Group Limited Canopius Group in Acquisition of Shares
Sompo Japan Nipponkoa opened a branch in Zurich, branch in Zurich, Sompo Japan Nipponkoa opened a Sompo Japan Switzerland and simultaneously established Nipponkoa Reinsurance (Switzerland) AG as a reinsurance agent, launching their operations in October 2013. With an eye to ensuring global risk dispersion, Sompo Japan Nipponkoa has been engaged in the underwriting of and high market growth where mainly in regions reinsurance expected, putting the utmost emphasis on striking t are profi this end, To balance between risk and profitability. proper Sompo Japan Nipponkoa has established bases of operations in Hong Kong (China), Kuala Lumpur (Malaysia) and London markets. local reinsurance (UK) to expand into the respective market in Zurich has rapidly expanded in The reinsurance years. With ease of recent its favorable location, Zurich offers By establishing Europe. access to other countries throughout this strategically located fourth overseas base for the reinsur- ance business, Sompo Japan Nipponkoa will be able to pen- market. reinsurance European etrate the entire * Exchange rate: £1 = ¥171
In May 2014, with the aim of realizing full-scale entry into the aim of realizing In May 2014, with the market, Sompo Japan Nipponkoa overseas specialty Limited, one of the Group of Canopius the shares acquired insurance market of the U.K. in the Lloyd’s top ten insurers totaled £613 million, or approximately The acquisition price this the largest ever acquisition for the ¥104.8 billion,* making Group. Sompo Japan Nipponkoa by Award” as “Deal of The Year This M&A was awarded based in London. Reactions, an insurance industry magazine exiting overseas business network and The Group’s little overlap. Accordingly, have operational areas Canopius’s this complementary to each business. bring new strength have proven Canopius Group Moreover, highly capable of executing M&A and management at the acquired improving companies while boasting superior com- aselds petencies and knowhow in such fi management strate- human resource gies. By incorporating these capabilities, willthe Sompo Japan Nipponkoa Group competitiveness while greater secure working to expand its overseas insur- ance business. Overseas 14 Sompo Japan Nipponkoa Holdings, Inc.