November 12, 2019Sony Financial Holdings Inc.

Sony Life's Supplementary Data for the Six Months Ended September 30, 2019 at Press Conference(1) Status of Insurance Policies(Millions of yen)
For the six months ended Sep. 30, 2019
Change fromMar. 31, 2019

YoY change

For the year
ended
Mar. 31, 2019

For thesix months ended
Sep. 30, 2018

38,674－+1.8%

87,91837,9896,246－(14.6%)

15,251

7,311

903,239

+1.6%

+4.5%

889,347864,668

Third-sector products

199,464

+1.0%

+2.3%

197,520

194,918

Income from insurance premiums

665,428－+22.8%

1,136,104

542,005

661,674－+23.0%

1,126,485

537,793

Annualized premiums from new policies
Third-sector products
Annualized premiums of policies in force

Individual life insurance and annuities

2,624

－

(14.9%)

6,247

3,083

New policy amount

2,536,442－(19.7%)

6,150,493

3,159,775

Policy amount in force

50,330,729

+1.5%

+3.8%

49,570,879

48,506,688

Lapse and surrender amount

1,114,943－(29.8%)2,858,321

1,587,351

Lapse and surrender rate (%)

2.25－(1.11pt)

6.06

3.36

Group insurance and annuities

Notes: 1. The above figures excluding income from insurance premiums represent total amounts of individual life insurance and individual annuities.
2. The amounts of lapse and surrender as well as lapse and surrender rate do not include reinstatement.
3. Income from insurance premiums for the individual life insurance and annuities represents a total amount of those of individual life insurance and individual annuities.
Income from insurance premiums for the group life insurance and annuities represents a total amount of those of group life insurance and group annuities.
4. Annualized premiums, which are total of individual life insurance and individual annuities, are converted to a per-year premium amount by multiplying individual premiums by a coefficient corresponding to
the premium payment method. (For single premium policies, premiums are divided by the number of coverage years.)(2) Status of Assets
As of Sep. 30, 2019
Change fromMar. 31, 2019
Total assets (Millions of yen)

YoY change

As ofMar. 31, 2019

As ofSep. 30, 2018

10,897,415

+5.0%

+8.2%

10,380,148

10,070,585

Real net assets (A) (100 millions of yen)

38,603+12.5%+50.9%

34,32325,587

Real net assets (B) (100 millions of yen)

13,452

+2.1%

+8.2%

13,18012,429Solvency margin ratio (%)

2,654.9+64.4pt+36.0pt

2,590.5

2,618.9

Notes: Sony Life conducts overall asset-liability management (ALM) by determining the liability characteristics of its long-term insurance policies and marking to market both assets and liabilities. Consequently,
the Company invests in long-term debt, chiefly long-term government bonds, to ensure adequate liquidity of assets. The majority of holdings are categorized as held-to-maturity bonds.
“Real net assets” are a standard used by regulatory authorities, who may use this as a basis for issuing an order to suspend operations from the standpoint of management soundness. Real net assets(indicated as “Real net assets (A)”) do not adequately reflect the results of ALM because although this measure includes the fair value of assets, including held-to-maturity bonds, it does not reflect
the fair value of liabilities. If regulatory authorities were to appropriately reflect ALM activities, valuation would clearly exclude net unrealized gains (losses) on held-to-maturity bonds and policy-reservematching bonds. Accordingly, Sony Life calculates net real assets (shown as “Real net assets (B)”) on this basis.

(Millions of yen)

(3) Core Profit / Positive Spread
For the six months ended Sep. 30, 2019
Change fromMar. 31, 2019
Core profit

57,539Forecast for theyear ending Mar. 31, 2020
increase

Positive spread

1－YoY change(0.6%)

For the yearendedMar. 31, 2019

For thesix months endedSep. 30, 201897,242

57,868(100 millions of yen)
For the year ended
Mar. 31, 2019182

(4) Policy and Other Reserves(Millions of yen)
As of Sep. 30, 2019
Change from
Mar. 31, 2019

Policy reserves (excluding contingency reserve)

YoY change

As ofMar. 31, 2019

As ofSep. 30, 2018

9,578,410+408,602+683,510

9,169,808

8,894,900

General accounts (excluding contingency reserve)

8,213,449+322,783+585,514

7,890,665

7,627,934

Separate accounts (excluding contingency reserve)

1,364,961+85,818+97,995

1,279,143

1,266,965

Reserve for price fluctuations

51,318+1,213+2,351

50,10548,967

Contingency reserve

103,296+4,682+8,97098,613

94,325

Contingency reserve fund－－－－－Price fluctuations reserve fund－－－－－(Millions of yen)

(5) Unrealized Gains (Losses)
As of Sep. 30, 2019
Change fromMar. 31, 2019
Securities

YoY change

As ofMar. 31, 2019

As ofSep. 30, 2018

2,698,027+415,992+1,229,713

2,282,034

1,468,313

Japanese stocks

7,287(2,170)(7,443)

9,458

14,731

Japanese bonds

2,561,782+290,220

+1,070,460

2,271,562

1,491,321

Foreign securities

128,772+127,900+166,639

872(37,866)

99,763+346+30,636

99,416

69,127

Real estate

Notes: 1. Net unrealized gains (losses) on securities are calculated as the difference between the carrying value before mark-to-market and the fair market value for held-to-maturity securities and policy-reserve-matching
bonds and net unrealized gains (losses) on available-for-sale securities, net of taxes, other than trading-purpose securities (The amount includes “money held in trust”, but excludes trading-purpose securities) .
2. Real estate is directed to domestic real estate for rent, including land lease right, and the amount is the level after revaluation.

(6) Investment Results(Millions of yen)
For the six months ended
Sep. 30, 2019Japanese stocks(3,240)Japanese bonds

168,588

Foreign stocks, etc.

(474)

Foreign bonds

214,074

Real estate(346)(7) Level of Indices where Unrealized Gains (Losses) on Assets are Break-even
As ofSep. 30, 2019Japanese stocks (NIKKEI Average) (yen)8,524Japanese stocks (TOPIX)

(ppt)

622

Japanese bonds

(%)

1.7

Foreign securities(yen)92

Notes: 1. Japanese stocks are fully linked to the Nikkei Average and TOPIX, and valuations are calculated accordingly.
2. Japanese bonds calculations employ yields on newly issued 10-year JGBs, to one decimal place.
3. Calculations of foreign securities employ US dollar/yen conversions.

(8) Forecast for the Year Ending Mar. 31, 2020
Forecast
Income from insurance premiums

increase

Core profit

increase

Policy amount in force

increase

Annualized premiums for policies in force

increase2

(9) Number of Employees
As of Sep. 30, 2019
Change fromMar. 31, 2019

YoY change

As ofMar. 31, 2019

As of
Sep. 30, 2018

Sales employees

5,781(0.9%)(0.8%)

5,834

5,830

Office employees

2,768+5.4%+10.4%

2,627

2,508(10) Over-the-counter Sales through Banks
For the six months ended
Sep. 30, 2019
YoY change(Millions of yen)
For theFor the year
six months
endedended
Mar. 31, 2019
Sep. 30, 2018

Number of new policies－－

41

Insurance premiums－－

33

Number of new policies－－－－

Insurance premiums－－－－

Variable annuities

Fixed annuities

Note: Insurance premiums refer to single premium amount for single premium policies, and a figure converted to a per-year premium for other policies.

For the six months ended
Sep. 30, 2019
YoY change
Single premium whole
life insurance
Single premium
endowment insurance(Millions of yen)
For theFor the year
six months
endedended
Mar. 31, 2019
Sep. 30, 2018

Number of new policies－－－－

Insurance premiums－－－－

Number of new policies－－－－

Insurance premiums－－－－

Note: Insurance premiums refer to single premium amount for single premium policies, and a figure converted to a per-year premium for other policies.

For the six months ended
Sep. 30, 2019
YoY change
Single premium
life insurance
Level premium plan
life insurance(Millions of yen)
For theFor the year
six months
ended
ended
Mar. 31, 2019
Sep. 30, 2018

Number of new policies－－－－

Insurance premiums－－－－

Number of new policies

33(46.8%)

10862

Insurance premiums8(46.0%)

23

14

Notes: 1. Insurance premiums refer to single premium amount for single premium policies, and a figure converted to a per-year premium for other policies.
2. Number of new policies for the six months ended September 30, 2019 includes products such as variable life insurance (whole life type), educational endowment insurance,and U.S. dollar-denominated whole life insurance.

3