Climate Change Data

Environmental Metrics

ESG Focus Areas

• Human Capital
• Governance
• Social Responsibility

Social Achievements

• Supported Osaka Marathon and New Japan Philharmonic
• Established in-house childcare center
• Revised personnel system and improved salary levels
• Implemented salary increases of 10% or more, mainly for younger employees
• Shifted to a system of closing all branches on Saturdays, Sundays and Holidays
• Started issuing self-investment support allowance for younger employees
• Established an appointment system of line management positions

Governance Achievements

• Implemented equity finance for the first time in 13 years
• Started conducting information security audits by Deloitte Touche Tohmatsu
• Introduced ESOP Trust, which supports employee stock ownership plans
• Established Governance Committee (composed of outside attorneys, etc.)
• Established a Voluntary Nominating and Compensation Committee
• Appointed Outside Directors
• Obtained Privacy Mark certification

Climate Goals & Targets

Environmental Challenges

• Significant depreciation of the yen resulting in increased cancellations and lapses of existing contracts, especially those denominated in foreign currencies
• Increased investment costs in human resources, IT, and web marketing
• Higher reinsurance payouts caused by the effects of COVID-19
• Cancellations exceeding expectations due to an increase in cancellations and lapses of foreign currency-denominated insurance and savings-type insurance

Mitigation Strategies

• Reviewing the structured finance scheme to minimize the impact of cancellations and other factors
• Centralizing employees with expertise in insurance as operators in the DC (call center)
• Strengthening training program by incorporating avatar training
• Streamlining marketing costs
• Improvement of cost structure
• Reduction of uncertainty in PV, improvement in appointment productivity, and training of young employees
• Improvement of reinsurance due to the resolution of the impact of COVID-19

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Human Capital Management
• Digital Transformation (DX)
• Environmental Sustainability
• Corporate Governance

Environmental Achievements

• Paperless initiatives resulting in top-class paper resource reduction in the insurance industry.
• Online insurance consultations via Dynamic OMO system, eliminating physical travel for customers and employees (contributing to greenhouse gas reduction).

Social Achievements

• High labor productivity (more than double the national average).
• High gender equality achievement rate (women's management ratio of 35%, more than double the national average).
• Launched AI avatar-based customer service and employee training programs.
• Established a system where employees can easily share private information with customers through the avatar system, reducing psychological burden.

Governance Achievements

• Established a Governance Committee to enhance the supervisory function of the Board of Directors.
• Actively utilizes independent outside directors (4 out of 8 directors in 2023).

Climate Goals & Targets

Environmental Challenges

• Significant decrease in accounting revenue due to increased cancellation/expiration of foreign currency-denominated insurance and savings insurance.
• Competition from other companies.
• Maintaining and strengthening competitiveness.
• Succession planning for top management.
• Cybersecurity risks, data breaches, unauthorized access.

Mitigation Strategies

• Implemented measures to improve the efficiency of acquiring new potential customers.
• Boldly implemented investments for growth in FY2023.
• Strengthening the supervisory function of the Board of Directors.
• Actively promoting succession planning.
• Strengthening information security management systems.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: International , Value Co-creation for Integrated Disclosure and Dialogue Guidance (METI)

Sustainable Products & Innovation

• Online insurance consultation system (Dynamic OMO)
• Avatar consultation system