Tatsuo Majima's questions to SMPNY leadership • Q2 2024
Question
The analyst asked for clarification on financial figures, specifically the components of the catastrophe reserve reversal and the reasons for a downward revision in Sompo Japan's adjusted profit. He also asked about the company's practice of seconding employees to other dealers besides Bigmotor.
Answer
The company specified that the catastrophe reserve reversal was primarily for automobile insurance. The downward profit revision was attributed to lower new business and higher losses in fire insurance. They confirmed they used to second employees to other repair shops but have stopped, and are now reducing secondments to agents to shift staff to claims.