Tokio Marine : Start of business to create new value～Launch of Core Data Company “Tokio Marine dR” ～PDF

May 20, 2021

Tokio Marine Holdings, Inc.

Start of business to create new value

～Launch of Core Data Company "Tokio Marine dR" ～

Tokio Marine Holdings, Inc. (President and Group CEO: Satoru Komiya, hereinafter referred to as "TMHD") proudly announces the launch of "Tokio Marine dR" (hereinafter referred to as "Tokio dR") which will serve as the Group's core data business to create new value in the area of safety and security.

１．Tokio Marine Group's Objectives

"Risks" have become diversified and more complex due to major social changes and increasing uncertainties such as the impact on global corporate activities due to the wide spread of utilizing AI & technologies and COVID-19, and also the intensification of natural disasters effected by climate changes. In addition, variety and volume of data has been increased by the spread of IoT sensors and e-commerce and along with the improvement in data analytics technologies, consequently, "data utilization" is increasingly becoming important.

Under these circumstances, we will strive to solve social issues by utilizing data in order to 1) provide coverages for new risks, including the risks that were difficult to cover in the past, and 2) integrate the latest early detection/prevention technologies and solutions into our insurance products.

Furthermore, we will aim to create a better society (eliminate accidents and improve peoples' health etc.) by encouraging behavioral changes of customers and local communities based on 3) risk visualization and future forecasts.

TMHD will challenge to become as an existence to support our customers and society not only at the time of urgency but also perpetually and, therefore, we decided to reform the current Tokio Marine & Nichido Risk Consulting into "Tokio dR" and strengthen the Group's data analytics and solution development capabilities.

２．New value creation by the entire Group

Tokio Marine Group will offer three new values through Tokio dR:.

（１）Providing "Data Driven Products"

Data-driven products are insurance products that aim to support customers not only at the time of urgency but also perpetually by utilizing data to underwrite new risks,

including the risks that were difficult to provide coverages in the past, whilst offering these together with early detection and prevention solutions as a package.

data-driven products>

• Underwrite new risks, including the risks that were previously difficult to provide coverages.
• Implement advanced pricing based mainly on sophisticated data analytics, and future forecasts.
• Generate new markets that make full use of data

（２）Offering Risk Solutions Beyond Insurance

We will expand our current risk consultation services to the area that promotes the visualization of risks, early detection of risks, and behavioral changes to prevent accidents by utilizing data and IoT devices.

• Services/solutions at real-time
• Provision of risk visualization and early detection services
• Services that lead to behavioral changes such as prevention of intial incidents and recurrences etc.

（３）Developing "Risk Algorithm Business"

We will detect risks in corporate activities and people's daily life at an early stage through algorithms utilized services, including license provisions.

These services will be provided by AlgoNaut, Inc. which jointly established with PKSHA Technology Co., Ltd. (*) in November 2020, not only by a software, but also by a module that can be incorporated into corporation's systems and equipment that have already installed.

• TMHD has entered a capital and business alliance with PKSHA Technology Co., Ltd. since April 2020.

In the future, we will deliver these services globally though our global network.

＜Overview of Group Initiatives through Tokio dR＞

３．Features of 「Tokio dR」 & Group's Data Strategy

（１）Centralize Group's Sophisticated Digital Capabilities

In order to plan and develop new products and risk solutions, we will integrate group- wide advanced digital capabilities into Tokio dR and supply those to the entire group. In addition to personnel who are well versed in risk managing areas and insurance products, we will centralize and recruit people, in the area of innovation, agile development, designing, data science, and highly specialized engineering.

（２）Develop Specialized Risk Data Platform

We will be developing a specialized risk data platform that contributes to solve issues in the areas such as healthcare, disaster prevention and mitigation, and mobility by centrilizing claims data that each group company retains and that TMHD collects through alliances with external partners.

Under this platform, we will create new value by improving accuracy and upgrading models through a data circulation cycle of (1) data collection → (2) accumulation → (3) analysis→ (4) accuracy improvement → new discovery & reinvention

＜Examples＞

Healthcare : Capital and business alliance with CareNet Co., Ltd. (November 2020)

Disaster prevention and mitigation : Comprehensive partnership agreement with National Research Institute for Earth Science and Disaster Resilience (November 2019)

Oceans and vessels : Capital and business alliance with Aidea Co., Ltd. (April 2020)

Construction : Solution development using "Construction Site Open Platform" operated by Landlog Co., Ltd. (May 2019) etc.,

（３）Advanced Data Analytics Structure

In addition to the existing risk management capabilities, we will be organizing an advanced data analytics structure by adopting technologies such as advanced natural language processing and AI image analysis provided by PKSHA Technology which has strengths in AI and Machine Learning.

Furthermore, we will develop new solutions through AlgoNaut that develops algorithms specialized in risk fields.

（４）Adapting Agile Development and Implementation

We will further strengthen our service development in order to respond to customers' needs and develop solutions quickly by utilizing the agile development team (500 employees throughout the entire group) established in conjunction with the start of Tokio dR and our innovation center "G/D Lab" which recently opened in Ginza, the center of Tokyo (April 2021).

（５）Providing Cutting-Edge Technologies and IoT Devices

We successfully launched communication function integrated two-way dashcam which was developed with DENSO Group in April 2021.

We will be continousely research into Cutting-Edge Technologies and advanced IoT

devices as a group and will provide the solution to the customers through insurance products or risk solution services, especially in the area of healthcare, disaster prevention/mitigation, and mobility.

４．Overview of Tokio Marine dR （https://www.tokiorisk.co.jp/tokio-dr-teaser/）

（１）	Company Name	Tokio Marine dR Co., Ltd （※）
		（Current name: Tokio Marine & Nichido Risk
		Consulting Co., Ltd）
（２）	Head Office	West Tower 23rd Floor, Otemachi First Square,
		1 -5-1 Otemachi, Chiyoda-ku, Tokyo
（３）	Representative	President Taizo Shimakura

• The trade name will be changed as of July 1, 2021 (Scheduled). The current business will also be continued to operate after July 2021.