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• Tokio Marine & Nichido Fire
• Tokio Marine & Nichido Life
• Tokio Marine & Nichido Financial Life
• Tokio Marine & Nichido Career Services
• Tokio Marine & Nichido Facilities
• Millea Real Estate Risk Management
• Millea Asia
• Millea Mondial
• Tokio Marine Nichido Samuel
Tokio Marine & Nichido Fire Insurance Co. Ltd
It has over 120 years of experience in the field of insurance and is the largest and one of the oldest general insurance companies of Japan. It currently employs about 69,000 employees worldwide.
Millea Asia Pte Ltd
It is a sister company of Tokio Marine & Nichido Fire Insurance Co., Ltd. and is a part of Millea Group. It was formed to support the operations of group companies in the Asian region. It has its operations in China, Hong Kong, India, Indonesia, Malaysia, Philippines, Singapore,Taiwan,Thailand and Vietnam.
IFFCO-TOKIO General Insurance (ITGI)
ITGI is a general insurance company.The company is a joint venture between The Indian Farmers Fertiliser Co-operative (IFFCO) and its associates, and Tokio Marine and Nichido Fire Group.
It was incorporated in the year 2000, and is headquartered in Gurgaon, Haryana. IFFCO, together with its associates, owns 74 per cent
Company Background
The Tokio Marine & Fire Insurance Co., one of the leading insurance providers, merged with Nichido Fire and Marine Insurance Co., Ltd. in 2004 to form Tokio Marine & Nichido Fire Insurance Co., Ltd.
Millea Group is the holding company of the new entity. Millea group provides insurance solutions to its customers through its subsidiaries.The group recorded a revenue figure of US$ 22,477 million in 2005. Some of the key subsidiaries of Millea Group are:
TOKIO MARINE
& NICHIDO FIRE
INSURANCE CO. LTD
IFFCO-TOKIO
G E N E R A L I N S U R A N C E
*Insuranceisasubjectmatterofsolicitation.
GEN ER AL I NSU RAN CE
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Major awards
ITGI has been honoured with many awards.
In the recently held Millea Asia Top Management Conference at Hong Kong, in which companies of Millea Group compete with each other, many awards were won by the ITGI. Some of which are:
• Second Prize for Company of the year award, on February 2006
• Project of the year award for its project titled
“Developing an Integrated Brand Strategy for Increasing Brand Awareness”
• First position in Explorer Financial Institution Channel category for successful bancassurance ties up performance and in Explorer Agency Channel category for successful operations of ITIS.
In a customer satisfaction survey by “Voluntary Organization in Interests of Consumer Education (VOICE)”, ITGI has been ranked 1st in Motor insurance category and 2nd in Home Insurance category among all the general insurance companies in India.
IFFCO-TOKIO Insurance Services Limited (ITIS)
ITIS is the fully owned subsidiary of IFFCO-Tokio General Insurance (ITGI).The company operates of ITGI and rest 26 per cent is owned by Millea
Asia Pte Ltd.
ITGI is among the top three general insurance companies in private sector in India. It has 92 offices in India and employs about 423 employees.
The company reported revenue of US$ 112 million for the fiscal year 2004-05 registering a growth of 53.7 per cent over the previous year.
The company has a good spread across the country with 35 per cent of its business coming from North India, 12 per cent from South India, 25 per cent from West India and anoter 17 per cent from the Western state of Gujarat, in 2005.
It also has a good presence in rural India with 7.5 per cent of business coming from rural areas.
The company offers services under commercial, retail and speciality lines. It also has policies that target rural India including weather insurance policy and Barish Bima Yojana. Barish Bima Yojana provides insurance cover to farmers against damage to crop due to deficiency in rainfall.
PBT performance, in million:
2001-2005
Source: Company Website 2001
25
2002 17
2003 94
2004 142
2005 236
00 50 100 150 200 250
Gross Written Premium (GWP), in million: 2001-2005
Source: Company Website 2001
58
2002 705
2003 2133
2004 3222
2005 5013
00 1000 2000 3000 4000 5000 6000
GWP (US$ Mn)
17%
35%
32% 6%
10%
Portfolio mix of ITGI in 2005
Source: Company Website
nFire nMarine nMotor
nEngineering nOthers
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Future Plans
Increasing portfolio of services
ITIS plans to diversify into a full life and financial product company with the long-term objective of offering all banking and financial products.
Global expansion
The company is planning to start overseas operations, in those markets where there is no conflict of interest with Japanese partner, Tokio Marine & Nichido Fire Insurance Co.
as marketing division of ITGI. It was incorporated in 2003 and has a network in over 55 cities in India.
The company has set-up ‘Lateral Spread Centers’
locations across the India, including in the remote areas.Through these centers it provides services to its customers, especially rural customers.
Factors for Success
Leveraging on local player capabilities One of the most important reason for success for ITGI has been the fact it as been able to capitalise on the network of IFFCO. It has used the brand of IFFCO and a network of 37,500 cooperatives to effectively target its customers.
Targeting rural areas
ITGI since its inception has been strongly focusing on rural areas.The company has collaborated with many cooperatives like State Cooperative Banks, Cotton Cooperatives, Dairy Cooperatives and Sugar Cooperatives, which sell its products. Its hugely successful scheme, Barish Bima Yojana, has about 50 million farmers as members. ITGI also has an accident cover scheme for farmers.
Innovation
ITGI has been a pioneer in offering unique and innovative services. Some of the unique schemes launched by the company are:
• The Mahila Suraksha Bima Yojana:This women insurance plan was introduced in September 2005 on Women Insurance Day. It is the first major micro-insurance programme of its kind and provides cover to rural women to ensure social and economic security.
• Gehun Mausam Bima Policy:This weather insurance plan is a unique weather insurance policy for the wheat farmers and provides cover against various natural calamities like heat, frost and unseasoned rainfall.
