Climate Change Data

Environmental Metrics

ESG Focus Areas

• Products and Services
• Contribution to Local Communities and Societies
• Respect for Human Rights and Dignity
• Protection of the Global Environment
• Compliance
• Communication

Environmental Achievements

• Reforestation of 3,444 hectares of mangroves, achieving carbon neutrality.
• Reduced CO2 emissions from 46,511,351 kg in FY2004 to 44,971,030 kg in FY2005.
• 1.5% auto insurance discount for low-pollution vehicles, covering 40% of insured cars.

Social Achievements

• Launched 'Millea Women's Forum' to promote women's activities in business.
• Implemented 'Job Request System' to improve employee motivation and skill development.
• Established 'Childcare Full Support, 8 Packages' to improve work-life balance.

Governance Achievements

• Established a sound and transparent corporate governance structure.
• Implemented a compliance promotion framework with hotlines and training programs.
• Acquired external certifications such as Privacy Mark and ISMS.

Climate Goals & Targets

Environmental Challenges

• Cases of omission to pay claims and partial omission of warning language in brochures.

Mitigation Strategies

• Management and employees united to review business management and prevent recurrence.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI (Global Reporting Initiative) "Sustainability Reporting Guidelines 2002", UN Global Compact

Certifications: ISO 14001, Privacy Mark, ISMS

Sustainable Products & Innovation

• Environmentally considerate insurance products and services
• Diabetes-specialized insurance package
• Automobile insurance 'Total Assist'

Awards & Recognition

• Special prize in the CSR Division of the 9th "Asia Insurance Industry Awards"

Environmental Metrics

ESG Focus Areas

• Providing value through core businesses
• Response to climate change
• Collaborative work with local communities and society

Environmental Achievements

• Reduced CO2 emissions by 7% in fiscal 2010 (Tokio Marine Group); Tokio Marine & Nichido achieved carbon neutrality in domestic operations in fiscal 2010 by offsetting emissions through mangrove planting; Reduced paper consumption by approximately 1,600 tons per year through promotion of Web contracts (Tokio Marine & Nichido); Acquired first automobile insurance Eco Mark certification for financial products in Japan (Tokio Marine & Nichido).

Social Achievements

• Launched the "Movement to Protect Customers from Cancer," including education, awareness campaigns, and support services; Improved cancer examination rates in collaboration with 42 prefectures/16 cities (Tokio Marine & Nichido Life); Launched the Daiwa Microfinance Fund, investing in microfinance institutions to reduce poverty; Increased employee participation in community and social contribution activities to 55% (exceeding the 50% target); Implemented various initiatives to support employees' mental health, including the Employee Assistance Program (EAP).

Governance Achievements

• Implemented a sound and highly transparent corporate governance system; Established a Business Continuity Plan (BCP) to ensure business operations during disasters; Formulated the Tokio Marine Group Code of Conduct and Basic Policies for Compliance; Received high evaluations from SRI rating agencies worldwide, including inclusion in the Dow Jones Sustainability World Index.

Climate Goals & Targets

Environmental Challenges

• Increased risks of natural disasters due to climate change; Diversified and complex risks affecting companies and individuals; Low cancer examination rates in Japan; Need to improve insurance literacy among customers.

Mitigation Strategies

• Upgrading natural disaster risk assessment approaches using climate models; Developing products and services that mitigate and adapt to climate change; Promoting the "Movement to Protect Customers from Cancer" to raise awareness and improve early detection; Simplifying insurance products and services to improve customer understanding; Implementing a comprehensive risk management system.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Tokio Marine & Nichido Group Principle of Transactions outlines policies for selecting business partners, including considerations for compliance, environmental activities, and quality.

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency and severity of natural disasters (typhoons, floods, etc.)

Transition Risks

• Changes in regulatory requirements related to climate change; Shifts in market demand for sustainable products and services.

Opportunities

• Development of climate-related insurance products and services; Investment in renewable energy and other sustainable technologies.

Reporting Standards

Frameworks Used: GRI G3, UN Global Compact

Certifications: ISO 14001 (Tokio Marine & Nichido), Eco Mark (Tokio Marine & Nichido)

Third-party Assurance: Ernst & Young Shin Nihon Sustainability Institute

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 13 (Climate Action)
• Goal 8 (Decent Work and Economic Growth)
• Goal 1 (No Poverty)
• Goal 3 (Good Health and Well-being)
• Goal 17 (Partnerships for the Goals)

Initiatives such as mangrove planting, renewable energy investment, microfinance investments, cancer awareness campaigns, and community engagement contribute to these goals.

Sustainable Products & Innovation

• Web-based insurance contracts; Weather insurance; Long-life support whole life insurance.

Awards & Recognition

• Dow Jones Sustainability World Index inclusion; Japan Investor Relations Association's "15th IR Prime Business Award"; Nikko Investor Relations Co., Ltd.'s "IR Site Industry-Specific Ranking Best Website" award; Japan Facilities Management Grand Prix "Encouragement Award"; Nagoya Child-Rearing Supporting Business Recognition/Award System "Most Outstanding Prize"; Tokyo Labor Bureau's "Excellence Award" (Equality Promotion and Family Friendly Company categories); Himawari Medal of Honor 2010; HDI-Japan Three Stars Bench Mark Award.

Environmental Metrics

ESG Focus Areas

• Providing Safety and Security
• Protecting the Earth
• Supporting People

Environmental Achievements

• Achieved carbon neutral status for seven consecutive years (2013-2019) by offsetting CO2 emissions with CO2 absorption through mangrove planting and acquisition of Tradable Green Certificates.
• Planted mangroves on 11,240 hectares across nine Asia-Pacific countries as of March 31, 2020, generating an estimated cumulative economic value exceeding 118.5 billion yen.

Social Achievements

• Launched Drive Agent Personal, a new auto insurance service utilizing AI and driving recorders to streamline accident responses and claims processing.
• Provided free online medical consultation service “Medical Note” to customers from April 15 to June 30, 2020.
• Supported various youth development programs, including support for the Japan Swimming Federation and the Tokio Marine Kagami Memorial Foundation.
• Supported the elderly, persons with disabilities, and athletes through various initiatives, including dementia care courses for employees and support for the Special Olympics.

Governance Achievements

• Tokio Marine Holdings was selected as a Semi-Nadeshiko Brand for fiscal 2019.
• Tokio Marine Holdings was selected as a “2019 Health & Productivity Stock” (fifth consecutive year since 2016).

Climate Goals & Targets

Environmental Challenges

• Increasing frequency and scale of severe weather and natural disasters due to climate change.
• Regulatory shifts, technological innovation, and asset value fluctuations due to the global momentum toward decarbonization.
• COVID-19 pandemic impacting business operations and societal needs.

Mitigation Strategies

• Implemented emergency measures for policyholders affected by COVID-19, including coverage expansion and expedited payments.
• Engaged in industry-academia collaborative research on climate change and natural disaster risk.
• Developed and offered insurance products and services that cater to evolving customer needs and support the low-carbon transition.
• Implemented enterprise risk management system to account for climate-related risks.

Supply Chain Management

Responsible Procurement

• Principle of Transactions issued to business partners (suppliers and subcontractors), requesting compliance with laws, regulations, and social norms; promoting fair and honest transactions; thorough information management; and consideration for the environment.

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency and scale of weather disasters; impact on insurance premiums and claims payouts; damage to Tokio Marine Group’s facilities.

Transition Risks

• Stringent regulations, technological innovation, asset value fluctuations, changes in investment environment and customer needs.

Opportunities

• Growth in demand for insurance products serving the renewables industry; opportunities for efficient resource use and cost reduction.

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001

UN Sustainable Development Goals

• 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17

The report details how Tokio Marine Group's initiatives contribute to each of the 17 UN Sustainable Development Goals.

Sustainable Products & Innovation

• Insurance products for renewable energy businesses; Drive Agent Personal; One Day Auto Insurance; weather insurance and microinsurance in India.

Awards & Recognition

• Semi-Nadeshiko Brand; Health & Productivity Stock; various ESG index inclusions; Nikkei Veritas Award for Superiority; Efma-Accenture Innovation in Insurance Awards.

Environmental Metrics

ESG Focus Areas

• Climate change
• Disaster resilience
• Health and productivity
• Diversity and inclusion

Environmental Achievements

• Reduced CO2 emissions by 7% compared with fiscal 2020
• Achieved carbon neutrality for nine consecutive years (fiscal 2013-2021) through mangrove planting and green power purchases
• Increased revenue from Tokio Marine & Nichido’s insurance for offshore wind power plants

Social Achievements

• Total social contribution activity participation rate among domestic and overseas Group employees of 110.6% in fiscal 2021
• Culture and value survey for employees scored 4.3 on a scale of five (Response rate: 83%)
• Launched index insurance against earthquakes (first of its kind in Japan)
• Launched index insurance against hurricanes (first of its kind in the United States)

Governance Achievements

• Outside Audit & Supervisory Board Members comprise 60% (3 of 5 Members)
• Outside Officers comprise 6 of 8 members in the Nomination Committee and 6 of 7 members in the Compensation Committee
• Outside Directors comprise 43% (6 of 14 Directors)

Climate Goals & Targets

Environmental Challenges

• Increasing frequency and intensity of natural disasters due to climate change
• Transition risks associated with decarbonization
• Maintaining high ethical standards and compliance across all business activities

Mitigation Strategies

• Developing and providing products and services useful for disaster prevention/mitigation, early recovery, etc.
• Participating in the Net-Zero Insurance Alliance (NZIA)
• Implementing strict compliance policies and programs
• Promoting engagement on climate change and the environment

Supply Chain Management

Responsible Procurement

• Green purchasing

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons, floods, heat waves, rising sea levels

Transition Risks

• Increased carbon prices, stricter environmental regulations, technological innovation

Opportunities

• Increased insurance needs related to renewable energy, growing disaster prevention and mitigation needs

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001

Third-party Assurance: Ernst & Young ShinNihon LLC

UN Sustainable Development Goals

• Goal 7
• Goal 13
• Goal 11
• Goal 6
• Goal 14
• Goal 15
• Goal 8
• Goal 9
• Goal 1
• Goal 2
• Goal 3
• Goal 10
• Goal 12
• Goal 5
• Goal 4
• Goal 17
• Goal 16

The report details how various initiatives contribute to each of the 17 SDGs.

Sustainable Products & Innovation

• Cyber Risk Insurance
• Decarbonization Supply Chain Disruption Response Insurance
• Insurance for Solar Power Facilities Decommissioning Costs and Compensation Liability Risk
• Wholesale Electric Power Price Fluctuation Insurance

Awards & Recognition

• Bronze Award in the financial services category of the 3rd ESG Finance Awards Japan
• Award for excellence at the 7th Sustainable Finance Awards
• Minister’s Commendation for contributing to regional revitalization
• Insurance Asia Awards 2021 (CSR Initiative of the Year)
• The Best Workplaces in Brazil
• Best Places to Work in Insurance in the United States
• Excellence Award for Integrated Annual Report 2021 at the NIKKEI Annual Report Awards

Environmental Metrics

ESG Focus Areas

• Climate change
• Disaster resilience
• Healthy and fulfilling lives
• Diversity and inclusion
• Innovative solutions
• Protecting the natural environment
• Opportunities for future generations
• Open governance with integrity

Environmental Achievements

• Reduced GHG emissions by 43% in FY2023 (vs FY2015)
• Achieved carbon neutral status for 11 consecutive years since FY2013
• Decarbonization-related insurance underwritten: Approx. 35.5 billion yen (FY2023)
• Sustainable and themed investments and financing: Approx. 138.0 billion yen (FY2023)
• Economic value generated by mangrove planting: Total of 202.3 billion yen (April 1999 – March 2023)
• Reduced paper use by 3,318 tons

Social Achievements

• Employee participation rate in social contribution activities: Accumulated total participation rate of more than 100%
• Expenditure for social contribution activities: Approx. 4.0 billion yen
• Launched industry’s first medical insurance product supporting healthy living (August 2023)
• Developed new rider for specific cancer treatments (up to 100 million yen coverage)
• Health management support provided to approximately 2,200 companies (FY2023)
• Brazilian Seed program supported more than 180 young people (since 2021), over 80% found jobs

Governance Achievements

• Nomination Committee: Outside Officers comprise 80%
• Compensation Committee: Outside Officers comprise 60%
• Directors and Audit & Supervisory Board Members: Women comprise 25%
• Audit & Supervisory Board: Outside Audit & Supervisory Board Members comprise 60%
• Board of Directors: Outside Directors comprise 47%

Climate Goals & Targets

Environmental Challenges

• Climate change leading to unprecedented natural disasters
• Geopolitical conflicts causing supply chain disruptions and inflation
• Information leakage incident at Tokio Marine & Nichido

Mitigation Strategies

• Implementing initiatives to address climate change, aiming for net-zero emissions by 2050
• Developing solutions to mitigate disaster damage
• Strengthening internal controls and governance at a group level
• Overhauling business processes and models from a customer-oriented perspective

Supply Chain Management

Responsible Procurement

• Responsible Procurement Guidelines (March 2023)

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons, earthquakes, floods, heavy rains

Transition Risks

• Regulatory changes, market shifts

Opportunities

• Growth in renewable energy insurance and investments

Reporting Standards

Frameworks Used: TCFD, TNFD

Certifications: ISO 14001

Third-party Assurance: Ernst & Young ShinNihon LLC

UN Sustainable Development Goals

• Goal 7
• Goal 13
• Goal 11
• Goal 1
• Goal 2
• Goal 3
• Goal 10
• Goal 12
• Goal 16
• Goal 5
• Goal 8
• Goal 9
• Goal 6
• Goal 14
• Goal 15
• Goal 4
• Goal 17

The eight material issues are closely aligned with the 17 SDG goals.

Sustainable Products & Innovation

• Renewable energy insurance, cyber risk insurance, health insurance products

Awards & Recognition

• MSCI AA rating
• Sustainalytics low ESG risk rating
• Silver Award (ESG Finance Awards Japan)
• Gold rating (PRIDE Index 2023)
• Insurance Asia Awards 2023