August 9, 2023

Tokio Marine Holdings, Inc.

Agreement for Sale of Tokio Marine Pacific Insurance

Tokio Marine Holdings, Inc. (President and Group CEO: Satoru Komiya) today announced that a definitive agreement has been signed with Calvo Enterprises Inc. (hereinafter "Calvo") for the sale of Tokio Marine Pacific Insurance Limited (hereinafter "TMPI"), our subsidiary in Guam, the United States. The transaction is subject to regulatory approvals and is expected to close in the second half of fiscal year 2023.

1. Background and Purpose

TMPI, our local subsidiary in Guam, specializes in underwriting medical and property/casualty insurance in Guam and the Northern Mariana Islands through its managing general agentsi. In fiscal year 2022, TMPI recorded premiums written of approximately USD 176 million (approx. JPY 23.4 billionii) and has been gradually expanding its business.

Regardless, as part of our capital efficiency improvement and risk diversification efforts, it was decided to divest TMPI for further portfolio optimization and we have agreed its sale to Calvo, a TMPI managing general agent that has shown a keen interest in TMPI's business portfolio.

In response to changes in market conditions, we will continuously review our business portfolio in a timely and appropriate manner to ensure strategic utilization of capital and effective risk control. The sale of TMPI to Calvo is not expected to have a material impact on Tokio Marine Holdings' overall business performance.

2. Overview of TMPI

(1) Company name

Tokio Marine Pacific Insurance Limited

(2)

Office location

Guam, U.S.

(3)

Nature of business

Medical and property/casualty insurance underwriting in

Guam and the Northern Mariana Islands

(4)

Gross premiums

Approx. USD 176 million (approx. JPY 23.4 billioniii) in

FY2022.

(5)

Ownership

100% owned by TMNF through intermediate holding company

(6)

Number of employees

Approx. 20

This transaction will not affect the local affiliated hospital service provided by TMNFiv for overseas travel accident insurance, which we will continue to provide.

  • A specialized type of insurance agent that has been granted underwriting authority by an insurer. ii Exchange rate is USD 1 = JPY 132.7 as of December 31, 2022.
    iii Exchange rate is USD 1 = JPY 132.7 as of December 31, 2022.
    iv The affiliated hospital service ensures cashless medical treatment, where TMNF directly pays the hospital for the medical expenses, allowing customers to receive treatment without upfront out-of-pocket expenses.

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Tokio Marine Holdings Inc. published this content on 09 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 August 2023 06:04:07 UTC.