Domestic P&C Insurance Business
Discussion with Directors | Regaining Trust (Summary)

Shibata The most important achievement is a system for raising critical information, alongside a system and culture that evaluates it, and generates action. Key is raising the effectiveness of second- and third-line management and enhancing compliance and internal control. That means considering personnel management and human resource development plans to ensure that employees in these areas have sufficient experience.

Together with the changes in management you describe, we will be an organization capable of recognizing and acting at the first signs of problems. The ability to function as a diverse team will be key in times of rapid change. We must work on achieving culture change as a team and with determination.

Ishikawa To reform the company, we have created the “SJ-R” project, shortening the distance between the field and management but the change in our governance is also very significant. With the establishment of the Audit and Supervisory Committees and appointment of directors who also serve as HD, opinions are shared in deep, active discussions, and the Group’s management system has become more integrated.

We are also proceeding with new initiatives such as establishing a CCuO (Chief Culture Officer) and specialized Culture Transformation Department, and CQO (Chief Quality Officer), as well as changing the personnel evaluation system to ensure a cultural change and an improvement in the quality of work. Each initiative is considered against our revitalization and reform, and is looked at closely by the Audit Committee.

We have already started work on more than 80% of the items in our business improvement plan. Based on dialogue with our employees, we are also working on the vision of Sompo Japan Insurance and new value standards by November 9th. This has been designated our “Reflection Day” to challenge ourselves to think from the customer’s point of view and take action to fulfill our mission and raison that is to fulfill our social responsibility to support the economy and people’s lives in Japan through shared values and with our agencies.

Shibata I have three points to add. First, is that the dialogue continues while we verify the plan’s progress and as issues arise. Second is for Sompo Japan Insurance to use the strength of the Group to move forward, rather doing this on our own. Third, is that the P&C insurance industry needs to regain trust and Sompo Japan Insurance has been given the opportunity to have a strong presence to lead the transformation of the industry.

Ishikawa By leveraging the resources and know-how of the Group, we can work together more organically in implementing our business improvement plan, and take the Group to a new dimension. It is important for Sompo Japan Insurance to connect Sompo Himawari Life Insurance and Sompo Care in the wellbeing business, and create the synergies the Group is aiming for through these connections.