Tokio Marine Holdings, Inc.
8766・Prime Market・Insurance
Business
Tokio Marine Holdings comprises four segments: the Domestic Non-Life Insurance Business centered on Tokio Marine & Nichido Fire Insurance; the Domestic Life Insurance Business through Tokio Marine & Nichido Life Insurance; the International Insurance Business, which spans North America, Europe, Asia, and other regions; and Solutions & Other Businesses, which includes ID&E Holdings. The group comprises 436 subsidiaries and 25 affiliated companies, delivering a wide range of value from insurance underwriting and asset management to disaster prevention and mitigation solutions. Its principal customers span individuals, corporations, and public institutions, and it has built a globally diversified risk portfolio.
Business Model
The core business model has a dual structure: earning underwriting profit from insurance premiums collected from policyholders, while investing the accumulated assets to build up investment income. Domestically, the company pursues profit improvement through product and rate revisions; overseas, it promotes highly profitable underwriting centered on North American specialty insurance. In addition, it is nurturing the Solutions business as a third pillar of earnings, aiming to diversify customer touchpoints and revenue sources by providing risk-reduction services integrated with insurance.
Company Strengths
Insurance revenue in the International Insurance Business reached ¥4,448,332 million (up ¥199,270 million, +4.7% year on year), and insurance service result reached ¥783,649 million, making it the Group's largest profit-contributing segment. Philadelphia, Delphi, and PURE in North America each achieved record profits in fiscal 2025, with sophisticated underwriting capabilities in the specialty insurance field serving as a source of competitive advantage.'
In the Domestic Non-Life Insurance Business, product and rate revisions were implemented for Automobile Insurance and Fire Insurance, expanding insurance revenue in FY2026 (ending March 2026) to ¥3,040,655 million (up ¥105,562 million year on year). Insurance service result improved significantly to ¥257,461 million (up ¥98,690 million year on year), and profit attributable to owners of parent reached ¥237,541 million (up ¥103,960 million, +77.8% year on year).
In the Domestic Life Insurance Business, the contractual service margin (CSM) balance increased to ¥1,149,767 million (up ¥31,814 million, +2.9% year on year), reflecting an accumulation of unearned profit to be recognized progressively as insurance revenue in the future. Strong demand for Variable Life Insurance "Market Link" and the rollout of new products for mid-sized and small-to-medium enterprises are supporting the growth in this balance.
ENVALITH's Perspective
Performance Trend
Insurance revenue for FY2026 (ending March 2026, IFRS) was ¥7,693,560 million (+4.0% year-on-year), profit before tax was ¥750,700 million (+25.9%), and profit attributable to owners of parent was ¥531,255 million (+17.9%). Insurance service result improved by ¥186,952 million year-on-year to ¥1,149,670 million, driven by Domestic Non-Life Insurance and International Insurance. On the other hand, Domestic Life Insurance posted a loss of ¥204,860 million due to increased insurance finance expenses from variable life insurance. Looking at the five-year financial trend, net income on a Japanese GAAP basis expanded sharply to ¥695,808 million in FY2024, peaked at ¥1,055,276 million in FY2025, and then stood at ¥531,255 million in FY2026, the first year of IFRS transition — making it important to assess underlying performance excluding the impact of the accounting standard change. As an external factor, yen depreciation and elevated U.S. interest rates boosted the yen-converted profit of the International Insurance Business. Total comprehensive income for the period expanded significantly to ¥1,535,853 million from ¥113,521 million in the prior period, with foreign currency translation adjustments of foreign operations (¥346,799 million) and the difference arising from changes in the discount rate for insurance contracts (¥333,126 million) boosting OCI.
Growth Strategy
Pursuing sustainable growth through global risk diversification, expansion of solutions businesses, and disciplined capital management
Acquired Ignyte Insurance (Collector Car Insurance Agency Business; acquisition consideration ¥102,829 million) and Agrihedge (agricultural risk solutions; acquisition consideration ¥150,004 million) in October 2025 and January 2026, respectively. Expanding underwriting scope in North American specialty insurance and incorporating fee businesses to pursue growth while reducing earnings volatility.
Entered into a comprehensive strategic partnership centered on collaboration in the reinsurance field and strategic alliance in M&A and other areas. Third-party allotment payment completed on April 13, 2026 (48,207,200 shares, total amount approximately ¥287,411 million). Aims to strengthen capacity to respond to large-scale transactions through world-class reinsurance capacity and enhanced M&A execution capability.
Improved insurance service result to ¥257,461 million (up ¥98,690 million year on year) through product and rate revisions in Automobile Insurance and Fire Insurance. Continued planned sale of strategic shareholdings, realizing investment income of ¥124,599 million. Pursuing structural transformation that simultaneously improves the soundness of insurance underwriting and capital efficiency.
Voluntarily adopted IFRS starting with the Annual Securities Report for FY2026 (ending March 2026). Adoption of IFRS 17 (Insurance Contracts) shifted the measurement of insurance liabilities to a fair-value basis, improving comparability with international investors. The retained earnings adjustment at the transition date (April 1, 2024) was ¥3,455,652 million.
Annual dividend for FY2026 (ending March 2026) was ¥218.00 (up ¥46.00 year on year), with a forecast of ¥245.00 for FY2027 (ending March 2027). Resolved to conduct share buybacks of up to ¥287.4 billion (April to September 2026) to mitigate dilution from the third-party allotment to National Indemnity, and further resolved an additional buyback of up to 130 million shares / ¥200.0 billion (May to December 2026).
Last updated: July 19, 2026