Domestic Life Insurance Business Owner
(Representative Director, President and Chief Executive Officer,
Sompo Japan Nipponkoa Himawari Life Insurance, Inc.)
By offering new value as well as its existing insurance products, Sompo Japan Nipponkoa Himawari Life Insurance, Inc., is transforming into a health support enterprise that aids people in leading healthy lives. We aim to be an insurance company that is the first choice of customers and which helps them maintain and improve their health. To this end, we will provide “Insurhealth,” which integrates traditional insurance functions and health care functions to offer new value.
Basic Strategies and Background
We expect Japan’s life insurance market to contract steadily as society ages. Competition is intensifying due to the digitalization and diversification of sales channels. However, annualized premiums from new business are increasing as we cater to demand stemming from a rise in the number of dual-income households; growth of the third-sector insurance products, which include medical insurance and cancer insurance; and an emerging need for disability insurance and dementia insurance. Further, the products and services of life insurance companies are diversifying, and they are beginning to market health-related products and services through the launch of health support products and other products and services.
Since launching the health service brand Linkx (pronounced “link cross”) in September 2016, Sompo Japan Nipponkoa Himawari Life Insurance has been rolling out a varied range of health services. By helping us create direct links with customers and better understand them, Linkx health services will enable us to offer each customer the most suitable healthcare service or insurance product at the optimal time.
Progress of the Mid-Term Management Plan
We will seek to evolve into a health support enterprise by advancing our new growth strategy and rapidly improving productivity based on the concepts of breaking industry norms, adopting the customer’s standpoint, and becoming a familiar and trusted presence for customers.
Advancing Our New Growth Strategy
Incorporating information and communication technology, we aim to increase the value offered to our customers and grow the number of customers by continuing to develop a companywide business model that unifies new services based on health with the products that incorporate these services, which will be provided by sales representatives who offer new value as they supply these products and services to customers.
Rapidly Improving Productivity
We aim to further increase our competitiveness by promoting health and productivity management and work-style reform while extensively reforming the fundamental elements of our operations—including products and services, sales and marketing systems, and operating rules—accelerating our operations, and rapidly improving productivity.
In fiscal 2017, due to steady growth in income from insurance premiums, it was ¥29.2 billion, outperforming our target of ¥28.0 billion.
In fiscal 2018, targeting at least ¥32.0 billion, we will realize the vision of the Mid-Term Management Plan.
The Mid-Term Management Plan sets targets for adjusted profit of ¥32.0 billion for the end of fiscal 2018 and ¥40.0 billion for the end of fiscal 2020. At the end of fiscal 2017, adjusted profit was ¥29.2 billion, reflecting a favorable trend.
Further, for policies in force we have set targets of 4.2 million for the end of fiscal 2018 and 5.0 million for the end of fiscal 2020.
At the end of fiscal 2017, there were 4.04 million policies in force. Through the timely introduction of new products, we will achieve an increase in policies in force that is centered on high-margin products.
Based on the two overriding strategies of advancing the strategy for new growth and rapidly improving productivity, Sompo Japan Nipponkoa Himawari Life Insurance will expedite the evolution and improvement of its initiatives to realize the vision of the Mid-Term Management Plan.
Main Future Initiatives
Sompo Japan Nipponkoa Himawari Life Insurance will provide new value by rolling out Insurhealth products, which integrate insurance with services that maintain and improve customers’ health. In April 2018, we launched our inaugural Insurhealth product, a renewed family income insurance product. This new offering is the first product to include health support services as well as riders covering disability income, psychiatric disorders, and seven major diseases in the insurance industry.
We plan to market further Insurhealth products. By continuing direct relationships with customers after policy enrollment and helping them maintain and improve their health, we will transform into a health support enterprise that aids people in leading healthy lives.