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Cooperative Insurance as a Mitigation Device against Natural - - PowerPoint PPT Presentation
Cooperative Insurance as a Mitigation Device against Natural - - PowerPoint PPT Presentation
Cooperative Insurance as a Mitigation Device against Natural Disaster Zenrosais Natural Disaster Insurance AOA Seminar August 25~ , 2014 Katsuhiro Sampa Non-life Insurance Section Product Development Department Zenrosai
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１． Great Hanshin Earthquake July 17, 1995 Epicenter - Southern Part of Hyogo Prefecture Over 6,400 Dead, 40,000 Injured More than 390,000 Houses Damaged A Total of 3,672 Staff Members Visited Policyholders and Investigated Damages (over about a 3-month period） Number of Claim Payments: 93,958 Value of Claims Paid: 18,539 JPY million
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２． Towards Protection against Natural Disasters Action Plan of fiscal 1995, Based on the Experience of the Great Hanshin Earthquake
＜Approach Plan＞ （１）Establish a Social Security System as Basic Coverage for Natural Disasters （２） Development of Insurance Scheme to Support Social Security and to Enhance Self-Help
Social Security Mutual Help Self-Help
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“National Congress toward Social Protection against Natural Disasters” Established by 6
- rganisations （July,1996）
- Zenrosai Group, Hyogo Pre, Rengo, JCCU,
and JPC-SED Petition by 24 million Individuals and 43,000 Group Bodies Put to the Prime Minister (Feb,1997)
２．（１） Popular Movement for Establishing a Social Security System
Act Concerning Support for Rebuilding Livelihoods of Disaster Victims （May,1998）
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Overview of the Act （1998）
Up to 1 JPY million for Complete Destruction Amount Depends on Conditions such as Age,
Annual Salary etc.
Must be used for Fixed Purposes
Continued Effort for Further Enhancement of the Act
Revised Act of 2004 （Up to 3 JPY million for Complete Destruction）
■Revised Act of 2007
（Conditions for Purpose, Age, Annual Salary Removed）
２．（１） Popular Movement for Establishing a Social Security System
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２．（２） Development of Natural Disaster Insurance
＜Launch＞
Started to Sell in 2000
＜Overview & Characteristics ①＞
Collateral Contract to Fire Insurance
Ｒｅｆ：Fire Insurance & EQ Insurance of Non-Life Insurers
Fire Insurance
（For Fires）
Natural Disaster Insurance
（For Storms & Floods, EQ, Theft）
Fire Insurance
（For Fires, Storms & Floods, Theft）
EQ Insurance
（For EQ） ※Reinsured by Gov.
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＜ Overview & Characteristics ②＞
Uniform Premium・Two Structures （Wooden or
Fire-Resistant Construction）
Coverage Level
- Storm & Flood Damages: 50％ of Fire Insurance
- EQ Damages: １７％ of Fire Insurance
※ Insured Amount is determined by Damage Level
Use of Reinsurance, Total Limit of Claim Payment
２．（２） Development of Natural Disaster Insurance
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＜Revision in 2005＞
Coverage Level Increased to 20％ of Fire Insurance
＜ Revision in 2010＞
Larger-Type Coverage
- Storm & Flood Damages: 50％ of Fire Insurance
- EQ Damages: 30％ of Fire Insurance
２．（２） Development of Natural Disaster Insurance
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※Natural Disaster after the Launch of Natural Disaster Insurance （until. 2010）
Year & Month Event Claim Paid Num. JPY billion
2004 Jun to Nov
9-Typhoon （Inc. tornados & Gust) 16,700 7.9
July
Cloudburst in Niigata & Fukui 360 1.0
Oct
Niigata Prefecture Chuetsu Earthquake (M6.8) 3,200 1.7
2005 Mar
Off West Fukuoka Earthquake (M5.1) 820 0.2
Sep
Typhoon Nabi （Kyushu） 3,400 1.8
Dec
Heavy Snowfall （Tohoku） 3,300 1.1
2006 Sep
Typhoon Shanshan （Northen Kyushu） 3,900 1.4
2007 July
Niigataken Chuetsu-oki Earthquake (M6.8) 2,800 1.9
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３． Great East Japan Earthquake of 2011
Afternoon, March 11, 2011 15,900 Dead, 3,300 Missing Over 370,000 Houses Damaged
A Total of 35,685 Staff Members Visited Policyholders and Investigated Damages (over about a 3-year period） Number of Claim Payments: 344,231 Value of Claims Paid: 125.7 JPY billion （As of end of May）
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＜Future Challenges＞ Business Continuity Planning for a Major Disaster Damage Investigation for a Major Disaster Stable Risk Management of the Scheme ３． Great East Japan Earthquake of 2011
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４． Revision of Natural Disaster Insurance ＜Main Points in Revision＞ Increase Total Limit & Premium in order to fulfill Responsibility of Payment Add large-scale Partial Destruction to the Damage Classification of EQ Cover （Coincides with Act Concerning Support for Rebuilding Livelihoods of Disaster Victims） Revised to Fire Insurance （Renewal of Structures Classification, e.g. Exclusive Plan for Apartments）
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