Tokio Marine Holdings has constructed a system for ensuring sound and highly transparent corporate governance and, as a holding company, supervises each Group member company appropriately.
Tokio Marine Holdings, in line with the Tokio Marine Group Corporate Philosophy, is committed to the continual enhancement of corporate value by fulfilling its responsibilities to shareholders, customers, society, employees and other stakeholders.
For this purpose, the Company hereby establishes a sound and transparent corporate governance system and, as a holding company, aims to exercise appropriate control over the Tokio Marine Group companies. Tokio Marine Holdings corporate governance policies shall be reviewed and amended as necessary to adapt to changes in the business environment.
Corporate Governance Structure
The following is an overview of the corporate governance structure.
Governance of Subsidiaries
The Tokio Marine Holdings carries out the supervision of its subsidiaries including the monitoring of their business plans, by exercising its shareholder rights and rights based on management agreements. It also formulates fundamental policies for the promotion of compliance, risk management, and internal auditing for the Group and supervises its subsidiaries through building and operating structures based on these policies.
Basic Policy for Internal Control
Tokio Marine Holdings has formulated the "Basic Policy for Internal Control" in accordance with the Companies Act of Japan and its Ordinance for Enforcement. The policy sets forth the fundamental components of the systems related to areas such as compliance, risk management, internal auditing, saving of information, and audits by Audit & Supervisory Board Members, in addition to the structure for monitoring the appropriateness of business operations at each Group member company in the capacity of a holding company.
Promoting Compliance through Daily Operations
Tokio Marine Holdings drafts groupwide measures based on the Group's "Basic Policy for the Promotion of Compliance" and its "Code of Conduct" and conducts the periodic monitoring of the Group member companies.
In the Tokio Marine Group, operating subsidiaries themselves carry out risk management for risks related to their business, while Tokio Marine Holdings ascertains the situation of risks faced by the Group as a whole and conducts risk management for the entire Group.
Tokio Marine Holdings establishes basic policies for the entire Group and promotes the consolidation and improvement of the groupwide approach to risk-management. In addition, it also conducts quantitative risk management for the entire Group, for the purposes of maintaining the Group's ratings and preventing bankruptcy.
In accordance with basic fundamental policy for the risk management of the entire Group, each operating subsidiary in the Group establishes its own risk management policy and implements risk management for itself and its subsidiaries.