Only four of the nation’s top 11 casualty insurers saw their premium revenues rise in the 2001 business year, according to their preliminary financial results released as of Tuesday.
The four include the top three in the sector: Tokio Marine & Fire Insurance Co., Yasuda Fire & Marine Insurance Co. and Mitsui Sumitomo Insurance Co. The fourth is Nissay Dowa General Insurance Co., an affiliate of Nippon Life Insurance Co.
Tokio Marine reported premium revenues of 1.42 trillion yen, up 3.2 percent from a year earlier. Yasuda Fire’s revenues were at 1.05 trillion yen, up 5.5 percent, while Mitsui Sumitomo recorded premium revenues of 1.22 trillion yen, up 0.9 percent. Nissay Dowa’s premium revenues rose 6.3 percent to 311.9 billion yen.
The remaining seven nonlife insurers recorded falling revenues from premiums, with Aioi Insurance Co. reporting a 2.2 percent fall to 816.6 billion yen.
The casualty insurance industry has been going through a realignment of business ties and a series of mergers among former competitors since last year.
The three biggest insurers were able to bolster their revenues in such key fields as automobile insurance by using their newly integrated networks and business resources, industry analysts said.
According to the analysts, an insurer’s financial strength has become more important to prospective customers since the collapse of Taisei Fire & Marine Insurance Co. on Nov. 22. Taisei had huge reinsurance payout obligations as a result of the Sept. 11 terrorist attacks in the United States.
Examining the results from the standpoint of new industry groupings formed or yet to be formed, Millea Holdings Inc., which was created through the April 2 management integration of Tokio Marine and Nichido Fire & Marine Insurance Co., proved the biggest premium earner. The combined premium revenues of the two insurers for 2001 was 1.82 trillion yen, up 2.2 percent.
Yasuda Fire and Nissan Fire & Marine Insurance Co., which will merge in July to form Sompo Japan Insurance Inc., posted combined premium revenues of 1.31 trillion yen, up 3.7 percent.
In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.