Tokio Marine Holdings reported an 18.5% year-on-year increase in APAC net written premiums (NWP) to JPY104.4bn (US$656m) in the first quarter of fiscal 2026, while underwriting profitability improved as the region’s combined ratio fell to 87.6% from 91.5%.
On a constant-currency basis, APAC premiums increased 9.2%, outpacing the insurer’s full-year forecast of 7.4% growth. Tokio Marine attributed the growth to strong performance in Singapore’s life business and its Malaysian operations.
Pre-tax insurance-related profit rose 47.6% to ¥12.1bn, or 31.6% excluding foreign exchange effects, supported by Malaysia, Singapore and Taiwan.
The APAC performance contributed to broader international growth, with NWP across Tokio Marine’s overseas operations increasing 16.6% to JPY934.7bn, or 4.8% excluding currency movements. North American NWP rose 15.4% to JPY632.1bn, while Latin America recorded a 33.6% increase to JPY106.5bn.
International adjusted net income increased 9.2% to JPY164.3bn, while the division’s CoR improved marginally to 88.8% from 88.9%. The result extends the overseas earnings momentum seen in FY2025, when international business-unit profit increased 10.6% to JPY473.9bn, supported by strong North American underwriting and lower capital losses.
In Japan, P&C gross written premiums grew 4.4%, although NWP declined 1.1% to JPY632.2bn. Automobile NWP rose 2.5% to JPY342.5bn, while fire and specialty premiums fell 6.1% and 4.4%, respectively. Tokio Marine said rate increases in motor and other lines are expected to have a more pronounced impact from the second quarter.
Japan Life recorded a 23.4% increase in annualised premiums from new policies to JPY11.3bn, supported by regular-premium variable insurance and a single-premium whole life product launched in September 2025. New business contractual service margin, however, declined 21.9% to JPY11.7bn, partly due to higher expenses linked to system investments supporting consultative sales.
At group level, total business volume increased 12% to JPY2.41 trillion, while adjusted net income declined 3.6% to JPY261.4bn.
The results come as Tokio Marine looks to diversify its overseas earnings outside North America, which management has said accounts for around 90% of overseas profit. President and CEO Masahiro Koike said in June that the group was targeting acquisition opportunities in Australia, Canada and Southeast Asia, supported by its strategic partnership with Berkshire Hathaway.
That strategy has fuelled speculation around a major Australian acquisition. In July, reports surfaced that Tokio Marine was considering IAG or Suncorp in a potential transaction worth more than A$20bn, although IAG said at the time that it had received no approach from the Japanese insurer.
Tokio Marine has also been expanding through smaller strategic investments. Earlier this month, the group took a stake in carbon insurance specialist Kita and broadened its partnership to include Tokio Marine & Nichido Fire Insurance and Nippon Koei, extending work around carbon-credit risk and project analytics.
