Sompo Japan Insurance
Encyclopedia
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
company. It is the second-largest property insurance
Property insurance
Property insurance provides protection against most risks to property, such as fire, theft and some weather damage. This includes specialized forms of insurance such as fire insurance, flood insurance, earthquake insurance, home insurance or boiler insurance. Property is insured in two main...
company in Japan only behind Tokio Marine, with market share of 19.3% in 2007.
The “Sompo” in the company's name means “property insurance” in Japanese, though Sompo Japan offers a range of financial services
Financial services
Financial services refer to services provided by the finance industry. The finance industry encompasses a broad range of organizations that deal with the management of money. Among these organizations are credit unions, banks, credit card companies, insurance companies, consumer finance companies,...
including life insurance
Life insurance
Life insurance is a contract between an insurance policy holder and an insurer, where the insurer promises to pay a designated beneficiary a sum of money upon the death of the insured person. Depending on the contract, other events such as terminal illness or critical illness may also trigger...
, securities
Security (finance)
A security is generally a fungible, negotiable financial instrument representing financial value. Securities are broadly categorized into:* debt securities ,* equity securities, e.g., common stocks; and,...
, asset management
Investment management
Investment management is the professional management of various securities and assets in order to meet specified investment goals for the benefit of the investors...
and venture capital
Venture capital
Venture capital is financial capital provided to early-stage, high-potential, high risk, growth startup companies. The venture capital fund makes money by owning equity in the companies it invests in, which usually have a novel technology or business model in high technology industries, such as...
businesses.
History
Tokyo Fire Insurance Company, Ltd. was established in 1887 as Japan's first fire insurance company. The company worked to cultivate an awareness of fire insurance, and five branch offices were added within a year. The major YokosukaYokosuka, Kanagawa
is a city located in Kanagawa, Japan. As of 2010, the city had an estimated population of 419,067 and a population density of 4,160 people per km². It covered an area of 100.62 km²...
fire of 1890, however, nearly toppled the fledgling company.
In 1893, Japanese entrepreneur Zenjiro Yasuda absorbed the Tokyo Fire Insurance Company into the Yasuda zaibatsu. Later, in 1944, Tokyo Fire Insurance, Imperial Marine Insurance, and First Engine & Boiler Insurance merged to become the Yasuda Fire & Marine Insurance Company (安田火災海上保険).
Yasuda Fire made a successful bid for Van Gogh
Vincent van Gogh
Vincent Willem van Gogh , and used Brabant dialect in his writing; it is therefore likely that he himself pronounced his name with a Brabant accent: , with a voiced V and palatalized G and gh. In France, where much of his work was produced, it is...
's "Sunflower
Sunflowers (series of paintings)
Sunflowers are the subject of two series of still life paintings by the Dutch painter Vincent van Gogh. The earlier series executed in Paris in 1887 gives the flowers lying on the ground, while the second set executed a year later in Arles shows bouquets of sunflowers in a vase...
" paintings for about 5.3 billion yen in 1987.
On July 1, 2002, Yasuda Fire and Nissan Fire & Marine Insurance (日産火災海上保険) merged into a new company, Sompo Japan Insurance Inc.
In December 2002, Sompo Japan acquired Taisei Fire & Marine Insurance.
International operations
Sompo Japan has offices and subsidiaries in 28 countries, providing insurance services and risk management expertise.Asia Pacific
In June 2005, Sompo Japan established Sompo Japan Insurance (China) Co., Ltd. in DalianDalian
Dalian is a major city and seaport in the south of Liaoning province, Northeast China. It faces Shandong to the south, the Yellow Sea to the east and the Bohai Sea to the west and south. Holding sub-provincial administrative status, Dalian is the southernmost city of Northeast China and China's...
, China.
Sompo Japan's Australian branch has more than 35 years of operating history.
In 2007, Sompo Japan developed its business in Malaysia by purchasing a 30% stake of Berjaya General Insurance Bhd, now Berjaya Sompo Insurance.
In 2008, Sompo Japan established a joint venture
Joint venture
A joint venture is a business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. They exercise control over the enterprise and consequently share revenues, expenses and assets...
with local financial institutions in India, Universal Sompo General Insurance (main office in Mumbai
Mumbai
Mumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
).
Europe
Sompo Japan has been serving clients in Europe for about 50 years with offices in the United Kingdom, Belgium, France, Germany, Italy, the Netherlands and Spain. Sompo Japan Insurance Company of Europe, a corporate member of Lloyd's of LondonLloyd's of London
Lloyd's, also known as Lloyd's of London, is a British insurance and reinsurance market. It serves as a partially mutualised marketplace where multiple financial backers, underwriters, or members, whether individuals or corporations, come together to pool and spread risk...
since 1993, conducts underwriting and provides claim settlement, risk management and insurance information mainly to Japanese companies.
Americas
Through its subsidiary Sompo Japan Insurance Company of America, headquarterd in New York, Sompo Japan conducts property and casualty insurance operations in the United States and Canada. Sompo Japan Insurance De Mexico S.A. de C.V. started local operation in Mexico in 1998.In South America, Sompo Japan's main base of operations is its subsidiary in Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
, Yasuda Seguros S.A., established in 1958. The majority of Yasuda Seguros clients are local businesses and individuals.