In fiscal year 2025, the final year of the medium-term business plan launched in fiscal year 2022, we have continued our efforts to further enhance and deliver the value of “CSV×DX”, which our company have cultivated over the years.
Our flagship “CSV×DX” product, telematics auto insurance, is offered under the concept of “SAFE TOWN DRIVE — Creating secure towns for driving” and has received strong support from many customers, bringing the number of insured vehicles to over 2.2 million. This product not only helps customers drive safely but also contributes to safe community by using driving data to create a “traffic safety map” that visualizes hotspots for high-risk driving behavior, as well as a “Road Surface Condition Monitoring System” that identifies damaged sections of the road.
Through these initiatives, we promote safe driving and help prevent accidents before they occur, working together with our customers to build better communities and safer towns. We are confident that such safe and secure communities help protect you and your loved ones.
These efforts have gained strong support from many customers, local communities, and the society, and the number of SAFE TOWN Partners—organizations and individuals working with us to address social and regional issues—continues to grow steadily. In addition, the number of partnership agreements we have concluded with local governments, universities, and others since 2016 has expanded to 745. As our regional network continues to grow, we are also collaborating with many partners, including the Toyota Group and Nippon Life, to advance initiatives aimed at solving regional challenges.
As part of our efforts with the Toyota Group, we have expanded the offering of products and services for Toyota and Lexus users not only in Japan but also overseas markets. The number of countries and regions in which we offer these products and service has grown from 14 in 2010 to 39. Our value proposition is steadily gaining traction both in Japan and abroad, and the number of overseas telematics auto insurance policies in force has exceeded 800,000, further broadening customer empathy and support globally.
Our business alliance with Nippon Life has also continued to progress. Through joint initiatives that strengthen customer development and contribute to the resolution of regional issues, we have developed and proposed products tailored to customer needs, delivering peace of mind to many customers.
In order to further advance our expertise in solving social and regional challenges, we are also actively incorporating insights from overseas. For example, at “Aioi R&D Lab - Oxford,” which is operated in collaboration with leading professors at the University of Oxford who possess cutting-edge knowledge in AI, we are developing services that contribute to innovative solutions for social and regional challenges. The “Bridge Inspection Support Tool,” which uses AI to detect and assess damage from bridge photographs, and the “Nature Intelligence Solution”*1, provided together with Natural Capital Research Ltd. in the UK, have both been highly recognized in Japan and overseas.
- *1A service which uses new technologies to diagnose business risks related to natural capital and biodiversity.
We will continue to collaborate with a wide range of partners and combine our cutting-edge expertise to create global value that goes beyond the scope of insurance. By advancing business model transformation, including the enhancement of solutions to social and regional challenges, we will further expand customer empathy and support through our ongoing efforts.
Meanwhile, the business environment surrounding our company continues to change significantly and at an accelerating pace.
The intensification of natural disasters due to climate change, the emergence and expansion of new forms of mobility, and increase in cyber risks are all changes that can no longer be fully understood through conventional assumptions. In addition, with rising geopolitical risks, the outlook for the global situation has become increasingly uncertain.
Under such circumstances, we must continue to enhance the value we provide at all times in order to meet the expectations of our stakeholders and deliver that value to our customers, local communities, and society.
In this environment, we have decided that, in April 2027, our company will merge with Mitsui Sumitomo Insurance Company, Limited to launch “Mitsui Sumitomo Aioi Insurance Company, Limited”. By combining and expanding the strengths of both companies, we aim to further enhance the value we provide to customers, scale up our efforts to solve social and regional challenges, and remain the company most chosen by customers.
Toward the launch of the new company, the merger basic plan formulated by both companies has been positioned as our “vision for FY2030”, and from this fiscal year onward, we have been steadily preparing under a management plan shared by both companies, with all employees working together in unity.
At all times, our company has continued to pursue initiatives to innovate the value we provide in response to customer expectations, without being bound by industry conventions. Supporting these efforts have been the spirit of challenge nurtured by each and every one of our employees, as well as the bonds with our partners, including agents and intermediaries who share our aspirations, and the customers who have resonated with our value proposition.
We will keep this in mind as we move forward, and even in the new company, we will continue striving together with all of you to become “the company most consistently chosen by customers.”
We truly appreciate your support and kindly ask for your continued cooperation.
