INTERVIEW: Merged Japanese Insurer Targets 280-B.-Yen Profit in FY2030

Tokyo, June 3 (Jiji Press)–A new company to be born out of a merger of Japanese insurers Mitsui Sumitomo Insurance Co. and Aioi Nissay Dowa Insurance Co. next April aims to earn an adjusted profit to 280 billion yen in fiscal 2030, Hiroshi Umiyama, president and CEO of Mitsui Sumitomo, said in a recent interview. The target for the year that ends in March 2031, excluding gains from sales of cross-shareholdings, would mark an increase of about 80 billion yen from current levels. “While the business environment is far from certain, we will pursue growth strategies and cost reductions,” said Umiyama, who is slated to head the merged insurer. Umiyama said the new company plans to cut costs by consolidating headquarters functions and branch networks. The merger will also help strengthen services through the larger pool of automobile insurance and accident-related data held by the two firms, he said. He added that the new company would promote wider adoption of telematics insurance, which uses customers’ driving data to calculate premiums and is Aioi Nissay’s area of strength. Umiyama apologized over unauthorized removals of internal information by Mitsui Sumitomo employees on loan to Toyota Motor Corp., which came to light in April. “We deeply apologize for the significant inconvenience caused,” he said. “Any misconduct will be subject to strict punishment, and preventative measures will be implemented.” END [Copyright The Jiji Press, Ltd.]