)FNNHMN1NKJ-TQINSLX-28)+6%8)(
6)4368

By Your Side, For Life

Contents

Sustainability & Management Base

59

Editorial Policy
Dai-ichi Life Holdings Integrated Report is designed to inform customers, shareholders, investors, and other stakeholders of our efforts to

Message from theCSuO

solve social issues through our business and create sustainable value for our Group. In preparing the Integrated Report, we refer to the

Sustainability Promotion

report, we provide a deeper understanding of the Groupʼs sustainable value creation efforts to realize our vision, “Protect and improve theInternational Integrated Reporting Framework recommended by the IFRS Foundation, the Guidance for Collaborative Value Creation by the
Ministry of Economy, Trade, and Industry, and the Sustainability Reporting Standards by the Global Reporting Initiative (GRI). Through thiswell-being of all,” by introducing our renewed value creation process. This is based on an awareness of risks and opportunities, as well as

Contents
Editorial PolicyGroup Mission
Group at a Glance
Our Long-Term Visionand the Road Map to Its Realization

81

Message

9

Value Creation
17 Value Creation Process
19 Capital of Dai-ichi Life Group
21 Stakeholder Expectations andInitiatives
23 Value Co-Creation Story: Customer
25 Value Co-Creation Story: Environment
27 Value Co-Creation Story: Society
29 Material Issues of the Dai-ichi LifeGroup
31 Expected Future Social and Market
TrendsStrategies & Per formance
33 FY2021–2023 Medium-termManagement Plan (MMP)

1

Message from theCFO

CX Design Strategy
Vision for CX Design Strategy
Protection
Asset Formation/Succession
Health and Medical Care
Enhancing Connections
Overseas Business Strategy

Introduction・Message

Disclosure
SystemValue Creation
Story

83 Discussion with Directors
89 Corporate Governance
91 Knowledge and Experience of theCompanyʼs Directors (Director skill matrix)
92 The Succession Plan/Developing the Next
Generation of Leaders
93 Initiatives for Improving the Effectivenessof the Board of Directors
95 Officer Remuneration
97 Establishment of Internal Control and Its
Operation/Compliance
98 Risk Management
99 IT Governance
100 Group Tax Governance/Internal Audits
101 Equity Holdings Other Than Those Held
Solely for the Purpose of Investment
102 Business Management Quality Reform
103 Leadership

Website Information

Our StoryIntegrated Report
Information for Shareholders
and Investors

Sustainability/ESG
Information

Annual Securities Report*
Summaries of Financial Results*
Business Report*
Medium-term Management Plan
IR Website

Corporate Governance Report*
Sustainability Report
Sustainability Website

Comprehensiveness

Please also see theinformation featured on our
website.

Aims of the Dai-ichi Life Group● The Dai-ichi Life Group ʼ s Philosophy（Mission, Vision, Values, Brand Message）
Medium-term Management Plan “Re-connect 2023”

https://www.dai-ichi-life-hd.com/en/
about/aims/index.html*Legal disclosure and timely
disclosure documents

External Evaluation
The Dai-ichi Life Group has been evaluated highly in Japan and overseas for efforts in interacting closely with customers and local
communities, and disclosing ESG information through its business activities and social contribution activities.

■ ESG indices the Dai-ichi Life Group is included in *As of July 2023

FTSE4Good
Index Series

FTSE Blossom
Japan
Index

S&P/JPX Carbon
Efficient Index

MSCI Japan Empowering
Women Select Index*

Dow Jones
Sustainability
Asia Pacific Index*The inclusion of Dai-ichi Life Holdings in the MSCI Indexes and the use by Dai-ichi Life Holdings of the MSCI logo, trademark, service mark, or index name do not represent sponsorship, endorsement, or promotion of
Dai-ichi Life Holdings by MSCI or its affiliates. MSCI Indexes are the exclusive property of MSCI. MSCI and the MSCI Index names and logos are trademarks or service marks of MSCI or its affiliates.

Data

Finance and Capital
Strategy
41
43
45
47
49
51
53

This report constitutes disclosure materials (explanatory documents on business and property status) prepared inaccordance with Articles 271.25 and 272.40 of the Insurance Business Act and Articles 210.10.2 and 211.82 of the
Enforcement Regulations of the Insurance Business Act.

Governance

16 Management Team with Diversity

35

information and communicate the Groupʼs initiatives for sustainable value creation in a clear and comprehensible manner.

Message from the
CIO/CDO
DX & Innovation
Promotion

Message from
Our New CEO

our efforts to co-create value in cooperation with stakeholders. We will endeavor to systematically summarize financial and non-financial

Future Finance

1
2
3
5
7

62 Initiatives to Respect Human Rights
63 Addressing Climate Change: Disclosure
Based on the TCFD Recommendations
71 GFANZ
Contribution To International
Rulemaking To Address Climate Change
73 Human Capital Management Strategies

Finance

Introduction

Strategies &Performance

107
109
111
112
113
115
116
117
119
120
121
257
258

Financial and Non-Financial Highlights
Industry Data
Our Businesses Worldwide
Domestic Insurance Business
Overseas Insurance Business Company Profiles
Other Business (Asset Management Business)
Summary of Consolidated Group Business Results
Financial and Non-Financial Historical Data
Participation in External Initiatives/
Dialogue with Stakeholders
Major Awards for the Groupʼs Initiatives
Corporate and Financial Data
Glossary of Terms
Executive officer guarantee

Sustainability &Management Base

Governance

Data

Abbreviations of Group Companies
Domestic Insurance Business

Overseas Insurance Business

DL
DFL
NFL
ipet

PLC

Protective

SUD

TAL

TAL

PDL

Panin Dai-ichi Life

PNZPartners LifeOLI

OCEAN LIFE

DLVN

Dai-ichi Life Vietnam

DLRe Dai-ichi Re

DLKH

Dai-ichi Life Cambodia

Dai-ichi Life
Dai-ichi Frontier Life
Neo First Life
ipet

Protective Life Corporation
TAL Dai-ichi Life Australia
Partners Group Holdings
Dai-ichi Life Insurance Company of Vietnam

Star Union Dai-ichi LifeStar Union Dai-ichi Life Insurance Company
PT Panin Dai-ichi Life

OCEAN LIFE INSURANCE PUBLIC COMPANY
Dai-ichi Life Reinsurance Bermuda

Dai-ichi Life Insurance (Cambodia)

DLMM Dai-ichi Life Myanmar

Dai-ichi Life Insurance Myanmar

Other Business (Asset Management Business)
AMOne Asset Management One
VTX
Vertex Investment Solutions

Dai-ichi Life Holdings Integrated Report 2023

2

Committed towell-being

Group Mission

By your side, for life

Under the Group Vision “ Protect and improve the well-being of all, ” to continue
to be “ By your side, for life ” with our customers and their loved ones, each groupcompany contributes to the well-being of all people around the world, allowing
them to lead prosperous and healthy lives with peace of mind for generations tocome.

Vision Protect and improve
the well-being of all

Values Dai-ichi ʼs Social Responsibility
Charter (DSR Charter)

Brand
Message

3

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

People First

Dai-ichi Life Holdings Integrated Report 2023

4

Group at a Glance
Japan

Global insurance group with operations in 10 countries

No.2 *U.S.A.

13.5% Share

Insurance premiums
and other income

Source: Company data based on ﬁgures
published by various companies*Total of domestic group companies

Vietnam
No.4

12.3% Share

Japan

Myanmar
India

Premium income

Cambodia

ThailandSource: S&P Global Market
Intelligence

U.S.A.

No.１

33.6% ShareIn-force policies annualized
net premiums (securities)

Vietnam

Source: Insurance
Association of Vietnam

US＄993.7 billion
Life insurance amount ofpolicies in force

Australia

Asia Paciﬁc

No.13

North America

Source: Plan For Life

Cambodia

Myanmar
No.6

No.7 *First-year premium

New business annualized net premium

Source: Insurance Association of Cambodia

Source: Myanmar Insurance Association*Excluding state-owned companies

India

Indonesia
No.11

Indonesia

New Zealand
No.2

ThailandNo.14

17.8% ShareAustralia

No.9

New business premium

Premium income

Premium income

Source: IRDAI

Source: Indonesian Life Insurance Association

Source:Thai Life Insurance Association

In-force policies annualized
net premiums
Source: FSC Insurance Market Statistics
New ZealandCorporate ValueBusiness Segments and Group Companies

Group EEV

Market Capitalization¥2.4 trillion

Total Shareholder Return (TSR)¥7.3 trillion+37%

Domestic
Insurance
Business(March 31, 2021–March 31, 2023)

Ratings (as of July 31, 2023)

Strong and Stable Financial Soundness
Economic Solvency Ratio (ESR)

Consolidated Solvency Margin Ratio

226%

704.1%

Dai-ichi Life Holdings

AA(JCR)AA＊1

Dai-ichi Life

AA-

A+

(R&I, JCR) (Fitch) (S&P,A.M. Best)Group Assets and Profit Scale
Total Consolidated
AssetsConsolidated
Net Assets¥61.5 trillion¥2.8 trillion

Consolidated Ordinary
Revenues¥9.5 trillion

Group Adjusted
Profit¥184.4 billion

Consolidated
Net Income¥192.3 billion

Group Adjusted
ROE

＊2

＊2

＊2

Other Business
CDP (international environmental NGO)

Won the highest rating of “5” for investment,
stewardship policies, and real estate investments

Selected as an A-list company (the highest
rating) in a climate change study(Asset Management

DJSI

Selected as a constituent of the Dow Jones
Sustainability Asia Pacific Index

Figures are as of the end of fiscal 2022, except where noted

Value Creation
Story

Overseas
Insurance
Business

Providing advanced asset management functions to support asset formation

PRI

Introduction・MessageExpansion into nine countries at diverse stages of growth, from developed countries (stable markets) toemerging countries (growth markets and early stage)

5.0%

Industry Leading ESG Ratings

5

Domestic businesses aimed at solving emerging social issues and reforming products and services to alignwith the trend of digitalization

Strategies &Performance

Business)＊2＊1*1 Non-consolidated subsidiary *2 Equity method affiliates

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

6

Our Long-Term Vision and theRoad Map to Its Realization

2018–2020
Toward growth throughcontribution to improving QOL

Since going public in 2010, the Dai-ichi Life Group has contributed to the popularization and development of life
insurance in many countries, while flexibly responding to diversifying customer needs through life insurance andother services. We will continue to grow, expand and explore new business opportunities while becoming a groupthat contributes to the well-being of people around the world by providing experiential values.

2013–2014
Toward making
greater advances

2008–2010
Securing fundamentals for
growth and completion of
public listing

Accelerated global expansion by
expanding into the U.S. market topromote life insurance

Flexible management strategies forvalue expansion in the future
Changed organization to a joint-stockcompany

2021–2023
Toward transformation
with a stronger bondSuccess 110
Value up 20102015–2017
Achieving sustainablevalue creation

2011–2012
Achieving recovery
and growthStarted building digital
infrastructure andtransforming channels to provide
the best Customer Experience (CX)

Transitioned to a holding company
Established three domestic life
insurance systems to flexibly respondto diverse customer needs

After the Great East Japan Earthquake(2011), contributed to domestic
recovery and growth through steadypayment of insurance claims

Changes in Group EEV
5,987.672,440.3

2,661.5

2010

2011

Introduction・Message

Value Creation
Story

Protect andimprovethe well-beingof allBegan expansion to improve well-being
across a range of areas including
healthcare, small-amount and short-term
insurance

3,341.9

2012

Strategies &Performance

4,646.1

4,294.7

2013

5,495.4

2014

Sustainability &Management Base2015

Governance

2016

Data

6,094.1

5,936.5

5,621.9

2017

2018

2019

6,971.1

7,150.9

7,349.0 (¥ in billions)

2020

2021

2022

(fiscal year)

Dai-ichi Life Holdings Integrated Report 2023

8

MessageCEO
from
Our New

With our inherent
DNA of change and challenge,
we aim to become a global toplevel insurance group
President and Representative Director (CEO)Dai-ichi Life Holdings, Inc.

My name is Tetsuya Kikuta, and I was appointed president and CEO of Dai-ichi Life
Holdings, Inc., in April 2023. I believe that my major roles are to oversee the entire Group,
optimize the allocation of management resources within the Group, and respond to the
expectations of various stakeholders including shareholders, through deep dialogue as alisted company.
When I became CEO, I set a goal of becoming one of the top global insurance groups
by 2030. As a publicly listed company, our mission is to work to improve corporate value.
My aspirations are to first achieve an industry-leading level of corporate value in Japan by
the end of fiscal 2026, then reach a level on par with the worldʼs top-tier insurance groups
by 2030. Given our current position, these will not be easy to achieve. Nevertheless, I
believe it is very important to verbalize our goals and demonstrate our enthusiasm in aneasy-to-understand manner.
Rather than blindly following precedents, we should affirm new challenges as a whole
company, keeping in mind the environmental changes that will occur in society and in themarket. Instead of being afraid of a risk of failure, we should imagine the fruits of successand take action. In so doing, we will further empower the “DNA of change and challenge”
that flows through the Dai-ichi Life Group, and then pursue to return to growth in ourdomestic business, expand our overseas business, and create new businesses. Throughthose efforts, we will become a driving force toward the future of the insurance industry.

9

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

10

On becoming CEO
Take on new challenges and keep moving forward
As an overseas business manager in the early 2000s, I

including generative AI. Our business environment isworked hard to establish a foothold for our business inundergoing significant changes, and the values and needs

Vietnam, Thailand, India, Australia, and Indonesia. My

of our customers are becoming increasingly diverse. We

overseas experiences at that time had a great impact onneed to change the products and services provided to ourthe formation of my values. Never stay in the same place,customers accordingly. If we cannot change, we will not

but always move forward, even in the tough period. This isremain trusted and supported by our customers. I do notwhat I always keep in mind.

mean to criticize our current situation, but if we remain

COVID-19, which plunged the world into

stuck in past practices, our relative position will

unprecedented turmoil, and the international discord

continuously decline. We must be willing to take on new

triggered by the situation in Russia and Ukraine have notchallenges and keep moving forward. At the same time,

only heightened geopolitical risks but also caused great

we must keep our antennas wide and high, so that we canother three factors are positively evaluated by the capital

improve productivity and return to sustainable growth,economic turbulence. On the other hand, it is needless toaccommodate discontinuous events happening aroundmarket. We aim to achieve the top position in Japan forespecially in our domestic business. In “explore

mention about the dramatic progress of technology

the world.

these four priorities by the end of fiscal 2026, the final year

opportunities” we aim to expand the scope of ourof the next medium-term management plan, then evolve

overseas business and develop new digital-related

and grow to the level of the worldʼs top insurance groups

businesses. In our financial strategy, we will progressby 2030.

“capital circulation management” policy further, throughAiming to be a top global insurance group
As we strive to become a top global insurance group, I feelthe cases of monetary fraud identified since October 2020,

To increase our corporate value, we need to

we have not been able to fully explain our situation to themomentum in our domestic business has been weak. The

implement both business and financial strategies in an

capital market due to the complex nature of the life

domestic market, with its declining birthrate, aging andintegrated manner. In our business strategy, we will pursue

insurance business. I recognize that this is one

shrinking population ahead of most of the rest of the“expanding existing business” and “explore opportunities”

of the reasons why our company has not been evaluatedworld, is challenging for life insurance companies. Dai-ichi

simultaneously. In “expand existing business,” we aim toappropriately by the market. When I was in the investment

Life, which is currently working on sales reforms, ismanagement department, we asked our investee

introducing a series of new initiatives, covering consulting

companies to provide us with transparent explanations

process, setting targets for sales representatives, andand timelines of what they plan to do by when. From now

even changing its hiring methods. This is a major shift

on, I will remain aware of these points as I engage infrom our traditional sales style and will involve temporary

dialogue with the market, and I look forward to hearing

growing pains. However, I believe that the reforms we are

opinions from investors.

undertaking now will be regarded as having created a new

At the same time, it is also important to return to amodel for the domestic insurance industry in the future.

growth path in the domestic market. Due to COVID-19 andLooking ahead to the next medium-term
management plan and the future
Expand existing business while exploring opportunities beyond insurance

which we aim to achieve both shareholder returns andstrategic investments to utilize our capital more efficiently.

Returning to a growth trajectory in the domestic businessSeeking to reinforce our business focusing on quality andwith customersof retail sales activities in Dai-ichi Life. Here, my vision is to

2. Provide digital support for the sales channel, mainly ofsales representatives“transform our business into a new type of business

3. Use data and AI to develop new products and services

derived from insurance.” We will be the side of our

Although we are not necessarily in a position to be

productivity, we are working to reform the business model

customer's life more than ever before. This means forming

ahead of the curve, we are moving quickly to invest in eachan ecosystem to seamlessly provide not only insuranceof these areas to achieve industry-leading level on a global

services in the narrow sense of the term but also thebasis.

four experiential values: Protection, Asset Formation/

On the other hand, doing everything in digital is not

Succession, Health and Medical Care, and Enhancing

realistic. The key point will be how to integrate face-to-faceConnections. Not necessarily being the form of financial

services and consulting by sales representatives withinstitution, we aim to transform ourselves into a company

digital technology to deliver high experiential value tolike new insurance service provider. In fiscal 2022, wecustomers. I envision a world where our sales

welcomed ipet, a major pet insurance company, to therepresentatives, supported by digital technology, can makemeans measuring whether the company is the mostGroup, and we will continue working to expand ourrecommendations with high experiential value, in the best

insurance group in the future, I believe we must focus on

supported, trusted, and recommended by customers. The

business portfolio.

timing and best manner from the customerʼs perspective.

four priorities.

third is “employee engagement,” which means engaging

Digital transformation (DX) is the key to significantlywith employees to achieve the industryʼs highest level ofincreasing customer experiential values and satisfaction

improving our insurance services by utilizing digitalproductivity and job satisfaction. And the fourth isthrough providing a wide range of services seamlessly. We

technology, and thus help improve convenience for people

increasing “corporate value.” I believe that the fourthwill focus on the following three areas in particular.

in society. The second is “customer satisfaction,” which

factor, corporate value, will increase sustainably as the

1. Emphasize frequent two-way digital communication

To be recognized by all stakeholders as a top global

The first is “service innovation,” which means

11

I believe that the reforms we areundertaking now will be regarded by
future generations as having createda new model for the domestic
insurance industry.

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

As a result, it will also lead to a significant increase inproductivity in the sales field.

Dai-ichi Life Holdings Integrated Report 2023

12

Promote “ capital circulation management ” and improve capital efficiency

Actively develop our overseas business
Next, I will talk about the “exploring opportunities” aspect

inviting companies with such attributes and knowledge

The primary focus of our financial strategy is to improve

where ROE consistently exceeds the cost of capital duringof our business strategy. Beginning with Vietnam in 2007,

into the Group, we can create a stronger ecosystem. We

capital efficiency. We transfer capital within the Group into

the period of next medium-term management plan period

we have been expanding overseas business ahead of otherwill expand the scale and fields of our overseas business,the holding company to promote “capital circulation

starting in fiscal 2024 is an intermediate milestone. When we

domestic insurance companies. Now we are runningwith high growth expectation, and pursue new businesses,

management,” through which we optimally allocate capitalachieve this, we can expect a certain increase in corporate

business in nine countries in overseas. In recent years, ourincluding non-insurance areas as peripheral insurance

to capital-efficient businesses and shareholder return. In

value and retain more capital available for inorganic growth

Australian subsidiary, TAL Dai-ichi Life Australia Pty Limited

services utilizing digital technology.

the process, we will improve ROE, which indicates thethrough M&As and the like. By deploying capital surplus

capital efficiency of the entire Group.

generated, we can make larger and more aggressive(TAL), acquired Westpac Life Insurance Services Limited in

In overseas countries, digital technology is

fiscal 2021, thus solidifying TALʼs position as Australiaʼs

proliferating more quickly than in Japan, leading to thelargest life insurer. We then expanded into New Zealandemergence of companies offering experiential value that

disclose, i.e. what we consider to be the minimum return thatwith the acquisition of Partners Group Holdings Limited insets them apart from existing major players. In somethe capital market expects from us, is 10%. However, ourfiscal 2022. Our overseas business already accounts forcases, advanced business models have taken significant

current ROE remains below our cost of capital. Our cost oflong at all. To remain on track to become a top global

over 30% of the Group's adjusted profit. Especially inmarket share away from traditional insurance companies.

capital which is around 10% is higher than that of a typicalinsurance group, we will put the finishing touches on

Vietnam, Australia, and the United States, we have alreadyIn fiscal 2022, we invested in “exploration” to YuLife

listed company. This is because our level of capital in terms“Re-connect 2023,” our medium-term management plan, inestablished large presence We expect our overseas

Holdings Limited, in U.K., which specializes in groupof economic value is highly sensitive to macroeconomic

the current fiscal year. We will then envision where we wantbusiness will account for about 50% of the Groupʼs total

insurance and handles all customer contacts digitally. Thisconditions. If market risk can be reduced and the swing can

to be in 2030 and work backward to define what we should

profit by 2030.

year, we also made an investment in RenewBuy, a digital

be controlled, the cost of capital will decrease, and if ROE

do in the next medium-term management plan to make ainsurance broker in India. By increasingly the connection

can be achieved in excess of that, the financial strategy will

better start in fiscal 2024.

first achieve organic growth in existing businesses. In

with emerging companies that run high growth innovative

enter into a positive cycle. The goal of achieving a situation

countries where we already have a presence, we willbusiness, we pursue both “expanding existing business”

pursue market share and scale by offering products andand “exploring opportunities” with a flexible manner.

To further expand our overseas business, we must

services that exceed those of our global peers, in addition

Insurance business is localized because theto adopting strategies that ensure we meet the needs ofregulation differs in each country, thus it is required toeach market.

manage depending on the circumstances of each country.

Inorganic growth through M&As is also essential to

We recognize that the cost of capital that we currently

certainty of profit growth.
There are only seven years left until 2030. That is not➡ P.33 Re-connect 2023

➡ P.35 Finance and Capital Strategy

Building a foundation for transformation

In principle, we delegate management of our overseas

speed up business growth. M&A is the field that we cancompanies to local teams with in-depth market knowledge,

demonstrate our strength as a form of holding company.

and the holding company make sure that governance is

We will constantly monitor market trends, seize

effective. Close communication and speedy

opportunities, and make prompt decisions to expand andimplementation of strategies have helped us grow andSince the transition to a holding company structure indiversify our business portfolio. In doing so, important

expand our overseas business. We have also resumed our2016, Seiji Inagaki (now chairman) served as president ofoverseas and digital-related fields, are expanding.

perspective is whether there are the capabilities that we domeetings of CEOs from each country in fiscal 2023, which

both Dai-ichi Life Holdings and Dai-ichi Life Insurance

Accordingly, we will continue recruiting and promoting

not have. For example, strong digital capability, running

had been suspended due to COVID-19. It reminded me of(operating company). Starting fiscal 2023, I serve as

highly specialized talents, as we a need diversity in ourbusinesses that are growing rapidly in short time periods,

the importance of face-to-face meetings, rather thanpresident of the holding company and Toshiaki Sumino

employees to take on new challenges. In addition to hiring

and are different from the traditional insurance industry. Bytalking to a screen.

serve as president of Dai-ichi Life Insurance. Dai-ichi Life

mid-career workers as a matter of course, we will actively

We will continue to emphasize communication with

Empowerment of diverse talents

Holdings will accelerate group-wide growth by optimizing

and appropriately appoint outstanding internal humangovernance and the business portfolios of its operating

resources, while also improving the expertise of employees

management with a sense of unity in order to share thecompanies, while Dai-ichi Life Insurance will steadily growthrough reskilling. It is an important mission ofsame values and aim for value creation in all companies, in

its domestic life insurance business. By clarifying the roles

management team to realize a corporate culture that is flat,

our group, both in Japan or overseas.

of both companies in this way, we aim to go on to the next

free, and open-minded, where employees can experiencestage and become a global top-level insurance group that

their own growth and take pride and joy in their work.
productivity, we are considering to raise a compensation,

roles, and revamped and rejuvenated our management team.

including the introduction of a stock-based compensation

Many of the members have experience working overseas

program for our employees. It is very important thatand are mid-career hires. I'm proud that we have successfully

employees feel the merit of being a listed company, havebuilt a diverse and highly professional management teamthe same mindset as our stakeholders, and share the effort

that aligns with our expanding business domains. We will

to improve corporate value and enjoy the resulting

continue appointing the right professional talents to the righteconomic benefits, through a stock-based compensation.

change and growth with a sense of speed.

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

As we demand our employees to increase

In fiscal 2023, we have significantly expanded CXOs

positions, from both internally and externally, to achieve bold

Introduction・Message

The business domains of our Group, including

local management and employees to promote groupleads the future of Japanese insurance companies.

13

strategic investments, thereby raising the speed and➡ P.16 Management Team with Diversity➡ P.73 Human Capital Management Strategies

Dai-ichi Life Holdings Integrated Report 2023

14

Management Team with Diversity

Delivering value that helps resolve global environmental, regional, and social issues

As our mission is “By your side, for life”, we believe

a livable planet where future generations can live withthat sustainability is deeply linked to our companyʼs DNA.

peace of mind, thus sustainability has become a common

We will work to deliver value that helps resolve global

value shared by all stakeholders. Group has positioned

environmental, regional, and social issues, as well as strive

climate change as one of its most important priorities andto realize a sustainable society and ensure the well-being

is working to address the issue from the perspective ofof the next generation. We will also steadily promote DE&I

both institutional investors and operating companies. In

and human rights due diligence efforts to demonstrate ourparticular, Dai-ichi Life Insurance plays an important role as

respect for human rights.

Group Management Organization
President, Representative
Director, CEO

Tetsuya Kikuta

an institutional investor that manages around ¥34 trillion inmessage P.35

assets entrusted by policyholders throughout Japan, by

Finance and Capital (CFO)

form of a wide range of long-term assets. We will foster
the transition to a net-zero society by working with ourBusiness promotion functions

Taisuke Nishimura

New position

investee companies to support their decarbonization

Risk Management (CRO*)*Chief Risk Officer

There are two things I want to accomplish at all costs while
I am CEO. The first is to achieve ROE above the cost ofcapital, and therefore improve our corporate value (market

New position Outside recruitment message P.81

Corporate functions

Conclusion: All aboard the Dai-ichi Life Group boat

Hideyuki Ohashi

IT Governance/DX(CIO/CDO)

Stephen Barnham

New position Outside recruitment

Corporate Communications(CCmO*) *Chief Communication Officer

valuation). By achieving this goal, I hope to elevate the

Kyoko Wada

New position Outside recruitment message P.59

Group to a next stage where it can make strategic more

Hidehiko Sogano

Sustainability (CSuO)

aggressively to accelerate growth. The second is to takeadvantage of being a listed holding company, and makeNew position Outside recruitment

the Groupʼs employees realize the benefits of being a listed

Compliance and Legal Affairs(CCpO*) *Chief Compliance Officer

company.
As I said at the beginning, my aspiration is to become
one of the top global insurance groups by 2030. This will

Webster Coates

Protection Business and CX
Planning Unit

concerned. In this context, our urgent mission is to pass on

International Life Insurance
Business Unit

and other means.

Hitoshi Yamaguchi

the extent that the sustainability of society itself is being

The Dai-ichi Life Group launched a new management team, including CEO, on April 1, 2023. As we expand the share ofGroup profit coming from overseas businesses, we are strengthening our overseas management as well as considerably
expanding corporate functions that support our global growth by enhancing a CXO organization, including outside
professional recruitment.

Retirement, Savings and AssetManagement Business Unit

efforts through active engagement, transition financing,Takashi Iida

Climate change is becoming more and more serious, to

Ken Yamaguchi

Provide sustainable well-being

Top Managements of Overseas Group Companies

not be easy to achieve. Nevertheless, if all the Groupʼs
executives and employees, numbering more than 60,000,
share the same vision and mindset, it will not be
impossible.
As social issues become increasingly complex anddiverse, my mission is to work together as a Group toenhance corporate value by addressing our diverse

Richard J.
Bielen

Brett
Clark

Naomi
Ballantyne

Dang
Hong Hai

PLC

TAL

PNZ

DLVN

stakeholders, and lead the initiatives as head of the Group.
I look forward to your support as we strive to meet yourexpectations.

15

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Tola Ponlu

Zarchi Tin

DLKH

DLMM

Abhay
Tewari

FadjarGunawanNusara Banyatpiyaphod

SUD

PDL

OLI

Dai-ichi Life Holdings Integrated Report 2023

16

た

け
す

合わ

せ

安

る

保

障

お届

Value Creation Process

Well-being Created by theDai-ichi Life Group (Outcomes)

Using Dai-ichi Life Groupʼs strengths, including diverse talent, intellectual capital, andCustomers

solving social issues.

management: Approx. ¥6.6 trillion (Daiichi Life)■ Assets under management: Approx. ¥9.5
trillion (Dai-ichi Frontier Life)■ Payment of claims and benefits: Approx.
¥6.4 trillion (entire Group)(Human Capital)■ Diverse talent worldwide: Approx.

61,000 people in 10 countries■ Candidates for the next generation of
global leaders and female managers

Intellectual Capital■ Advanced expertise in life planning

based on the social security system■ A wealth of medical care and healthrelated big data
■ Advanced M&A insight and experience

ce
pea
s
r
e
liv oredelt d s tai ▶P.45
i
d eds
ne

Prot
ect
of m ion thato d ind
ive an
rse

Dom
est
ic
Bu Insusin
es ransceTalentAssetFoera o rma
f 10 tion0
forthe -yene■ New M&As, alliances■ Acquisition of ipet Holdings Inc.

Zealandʼs second-largest life insurance
provider■ Investment in YuLife, a U.K. tech-driven
group insurance and well-being company

Global Environment, Local
Communities, and Society■ CO2 emissions from business activity(Scope 1 and 2): -83%

■ Greenhouse gas emissions in theinvestment portfolio (Scope 3): -16%

■ Collaborative agreements with all.49

47 prefectures and more than 330
municipalities in Japan▶Pr(Total assets: Approx. ¥61.5 trillion, Group EEV:
¥7.3 trillion)■ Robust capital and financial soundness*2(Economic solvency ratio: 226%, Credit rating of
Dai-ichi Life Holdings: A+ (JCR)
Dai-ichi Life: AA (JCR, R&I), AA- (Fitch), A+ (S&P,
A.M. Best)

▶

Va

lue

■ Investment into the creation of new

io

ng

ut

n t ai
o
t
C
in
e
a
H
M
g
ti n
o
Pro m

th

P. 5
1

Protect andimprovethe well-beingof allEmployees■ Engagement survey overall score: 64(63 in previous year)■ Ratio of female organizational heads: 18.5%

al

t

ou

corporate valueri b

Dai-ichi LifeGroup Vision■ Acquisition of Partners Life, New

ni

ti

ec

io

n

of

■ Strong financial foundation and(ratio of female executives: 29.3%)■ Ratio/days of childcare leave taken by

male: 100%/21.5 days

Financial Base*3

Crea■ Promoted capital circulation

tion

management(Group adjusted ROE: 5.0%, Group ROEV: 3.9%)

ERM, Financial & Capital Strategy▶P.35■ Transformed the risk profile(Reduction of market-related risks: -¥530 billion*4)■ Achieved financial soundness andprofit growthvalue

Sustainability andBusiness Foundation(Cumulative strategic investment: Approx. ¥1.5
trillion)

Strategies &Performanceng

li v n s t e
ha
es
t

io

Financial Capital*1

ea

nn

or

partners and local communities■ A global network for creating
innovationco land overseas■ Firm alliances with diverse businessCr

co■ Solid customer bases, both in Japan

Value Creation
Story■ Number of agencies (Japan) 4,129

nt
o
th
an
d
of
A ll

Social Capitalat

Introduction・MessageBusiness Partners

Approx. ¥710 billion▶P.59(Economic solvency rate: 226%, Group adjusted profit:¥184.4 billion)■ Obtained an appropriate market

evaluation (relative TSR: 4th place)*1 Figures as of the end of March 2023 unlessotherwise stated*2 As of the end of July 2023

17

Asset
Man
age
Busi
nes menst■ Climate change solutions investment:nd

Expected Future Society and Market Trends

Business foundation thatdrives the growth of theDai-ichi Life Group ▶P.19

P.30■ Group pension funds under

nce
sura
n
I
as
s
rse sines
e
u
v
B
O

Fou

Material issues concerning the global
environment and local communities and society■ Customers in Japan: 13.62 million

s
nes
usi
rB
he
Ot

P.29

all and build a sustainable society for the future through our business activities andin thesion andsces
uc pan/S lifes ▶P.47
ar eraxt

Material issues concerning four experiential
valuesa solid customer base and financial foundation, we will contribute to the well-being ofCorporate Governance

Sustainability &Management Base

Governance

Data

▶P.89

*3 Figures in parentheses represent key performanceindicators (KPIs) for the Group and actual resultsfor FY2022*4 For the period after the start of the current
medium-term management plan (April 1, 2021–
March 31, 2023)

Dai-ichi Life Holdings Integrated Report 2023

18

Capital of Dai-ichi Life Group

With Dai-ichi Life Insurance, which has been in business for more than 120 years in Japan, and by developing
business in countries across the globe, we have acquired and capital, which is the source of competitiveness. Our
aim is to maximize corporate value and achieve sustainable growth by combining our social capital, which is thefoundation of our business, and our human and intellectual capital, consisting of originality and talent, with our robust
financial capital.

Human Capital

Indicators and initiatives

A wealth of talentand diversity

Intellectual CapitalHigh levels of
expertise

Our track record ofunique expertise andintellectual creation

Ability to createsynergies

Importance to medium-to long-term corporate value creation

Group employees● Group employees at all business locations: Approx. 61,000● Out of which, overseas Group employees: Approx. 9,600 (16%)
Abundant human resources that deliver well-being to customers● Dedicated sales representatives (Japan): Approx. 35,000
Diverse employee talent that supports global business operations● Number of candidates for next-generation global management leaders: 286● Ratio of female managers: 29.3%● Number of individuals CFP and AFP qualified:● MDRT members:● Number of qualified actuaries*1:

CFP: 412, AFP: 2,236
162 domestic, 272 overseas
116

Consulting skills and capability to develop insurance products that capture customer needs● Agile and advanced product development capabilities of Group companies(Japan and overseas)● Advanced expertise in life planning based on the social security system (Japan)
M&A insight and experience in the insurance industry and the U.S. market● Businesses acquired by Protective: 59
Healthcare big data
● More than 1.2 billion records (anonymized)
Innovation and well-being research through the collaboration of industry and academia● Industry-academia collaboration and joint research with six universities and institutions

Along with the social security system, our services, knowledge, and expertise related to different life events, including marriage,
housing, inheritance, and near end-of-life support form the foundation of our CX design strategy, which aims to deliver four
experiential values: (1) Protection, (2) Asset Formation/Succession, (3) Health and Medical Care, and (4) Enhancing Connections,which add value beyond insurance services. In addition, the Group collates and leverages big data, including medical data,
based on extensive relationships with our 13.62 million customers in Japan. In addition, we roll out a number of digital content
services that leverage cutting-edge technology, including Healstep®̶a service that supports medical expense optimization–and our health promotion app QOLism. We comprehensively use these strengths and the expertise in our insurance productdevelopment of each Group company, as well as use the expertise from our domestic businesses to further develop overseas
Group businesses.

Ability to create synergies by utilizing domestic and overseas Group networks● 125 subsidiaries● 30 affiliated companies

Starting with Dai-ichi Life, which has a 120-year history, we have developed a group that operates insurance businesses in
10 countries, including Japan. The Group includes companies engaged in asset management, healthcare services, and pet
insurance. Through this network, we will seamlessly create value to improve the well-being of all and create synergies thatfurther enhance those values.

● Customers in Japan:

Social Capital

Customer base

Alliances with diverse
business partners

Financial
Capital*2

Value co-creation
alongside local
communities

The most important management resource to promote transformation is employee talent.
The Group has approximately 61,000 diverse and talented employees in 10 countries across the world, and they are working
to enhance corporate value. In Japan, we have around 35,000 sales representatives that tailor our services to the diversifying
lifestyles of customers through our “Life Plan” simulation, which was renewed in July 2022.
Global employee talent is indispensable to the Group, as we expand globally. In achieving a “World of Opportunities,”
thanks to the initiation of a number of human resource development programs, strategic placement of employee talent, and midcareer recruitment, we now have 286 candidates to be next-generation global management leaders.
We also believe that improving the quality of our decision-making from the perspective of diversity is key, and assuch, the Group promotes the empowerment of women. We are working to increase the percentage of female executives
and organizational heads through various initiatives. These include rank-specific training and “cross 1 for 1” meetings withexecutives and general managers to help foster our female leaders.

Approx. 13.62 million
Approx. 160,000● Number of policies-in-force in the U.S.: Approx. 14.2 million● Customers in Australia:
Approx. 5 million● Number of policies-in-force in Vietnam: Approx. 1.36 million

Through insurance sales by sales representatives, and our partner agencies, as well as follow-up activities for customers, we arebuilding a solid customer base in Japan. Overseas, we are steadily growing our customer base by executing growth strategies
tailored to the needs and level of penetration of life insurance in each country. Leveraging these foundations, we will also provide
products and services other than life insurance that contribute to well-being, at the right time and through the best channels.

● Corporate clients in Japan:● Agencies in Japan: 4,129● Enhance customer value through mutual provision of financial products● Cooperate with partners with strengths in non-insurance fields, such as healthcare● Create innovation via a global network● (Japan) Collaborative agreements and activities that contribute to local communities inall 47 prefectures and numerous municipalities in Japan● (Overseas) Joint research with local universities, and work to improve local

environments and medical services and support education● Strong financial foundation and corporate value: Total assets: Approx. ¥61.5 trillion, Group EEV: ¥7.3 trillion● Robust capital and financial soundness: Economic solvency ratio: 226%, Credit rating*3 of Dai-ichi Life Holdings: A+ (JCR)

Dai-ichi Life: AA (JCR, R&I), AA- (Fitch), A+ (S&P, A.M. Best)● Capital investment for the creation of new value: Cumulative total strategic investment, approx. ¥1.5 trillion

A network of diverse business partners is essential to allow us to grow and spread our wings in and outside the insurance fieldand deliver new value. The Group provides insurance products not only in Japan but also in countries throughout the world
through banks and independent agencies. We are also building a cooperative structure with our partners to allow customers
access to services such as healthcare and nursing care through the Group. In addition, we have established dedicated labs tospur innovation in Silicon Valley and London, and an Asia research base in Singapore.
Our Group aims to protect and improve the well-being of all, and all Group companies work with people in local communities
to address local and social challenges. In Japan, we have agreements with partners in all 47 prefectures and are collaboratingin the areas of health support, sports promotion, and the empowerment of women. Overseas, we have partnered with the
University of Alabama at Birmingham campus in the United States, where Protectiveʼs HQ is located, and are working together
on research into extended healthy life expectancy. In other countries, Group initiatives are in motion to support the improvementof environments and medical services.

Through capital management policy based on a framework of Enterprise Risk Management (ERM), we are working to maintainfinancial soundness, sustainably increase our corporate value, and further strengthen shareholder returns. By investing capital
into businesses with high capital efficiency and promising growth potential, we promote “capital circulation management” thatwill improve the Groupʼs capital efficiency and cash generation capability, as well as shareholder returns.

*1 Total of Dai-ichi Life Holdings and Dai-ichi Life (including career rotators) *2 Figures as of the end of March 2023 unless otherwise stated *3 As of the end of July 2023

19

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

20

Stakeholder Expectations andInitiatives

Our responsibilities andstakeholders ʼ expectations

Initiatives to meet expectations

Under our medium-term management plan, Re-connect 2023, we aim to meet the expectations of our all

SocietySocietystakeholders by “re-connecting in a better way” to resolve new issues in the future.

Improve the well-being of
local residents and build local
communities to resolve local
issuesCollaborate and cooperated with local governments across Japan to support
the elderly, promote empowerment of women, revitalize local communities, andprevent crime and disasters in those communities

Re-connect with customers
Address changes in customer needs andbehavior
Incorporate medical and digital technology
Achieve true customer centricity

Environment

Re-connect withsociety and the environment
Secure sustainability
Adopt eco-friendly measures andprevent climate change

Re-connect withbusiness partners
Expand insurance-related services
Seek collaboration to help resolve
social issues

Re-connect withshareholders
Achieve high capital efficiency
Improve shareholder payout

Re-connect with
employees

Our responsibilities andstakeholdersʼ expectations

Initiatives to meet expectations

Pay claims and benefits
promptly and appropriately

Develop products and expand service areas to meet diversifying customer needs

Provide products andservices that help improve
peopleʼs well-being, suchas asset formation andhealth promotion offerings,
in addition to insurance
protection

Respond to diverse lifestyles by developing an infrastructure that enables procedures tobe performed at an appropriate time and manner each customer desires

Plan and implement measures to analyze and improve customer satisfaction throughmeasurement of NPS® related to our provision of products and services

Our responsibilities andstakeholdersʼ expectations

Initiatives to meet expectations
Build alliances with major Japanese financial groups in asset management and productdevelopment/offering
Collaborate with start-ups, online banks, and others to provide asset formation platforms

Strategies &Performance

Sustainability &Management Base

Governance

Data

Environment
Promote efforts throughout the Group to achieve net-zero CO2 emissions from businessactivities (Dai-ichi Life achieved 100% renewable energy conversion in fiscal 2022)
Promote responsible investment initiatives in Dai-ichi Lifeʼs investment
portfolio by enhancement of ESG integration, expanding ESG-themed
investments and loans, and strengthening engagement with investees
Disclose and implement a credible net-zero transition plan

Initiatives to meet expectations
Set targets for the ratio of female department heads and the ratio of male
employees taking childcare leave and are promoting initiatives to raise them
Implement initiatives to expand work options to promote the employment ofpeople with disabilities, and support the work styles of employees with childcare
or nursing care needs, through development of systems enabling each of those
employees to balance with their work as well as improving workplace
Expanded training programs to hone employeesʼ expertise, promoting career
rotation and providing a personnel system allowing employees to choose
autonomous careers and take side jobs
Implemented a PDCA cycle to improve job satisfaction through engagement
surveys and town hall meetings

Shareholders
Our responsibilities andstakeholders ʼ expectations

Further advance the Groupʼsmanagement through two-way
dialogue with shareholders andother investors

Collaborate with partners to develop and offer “Digi-ho” brand insurance products

Value Creation
Story

Develop diverse and flexible work
styles and improve employeeʼs
engagement

Fulfill our responsibility to explain
the Groupʼs business strategies
and financial performance

Business Partners

Introduction・MessageOur responsibilities andstakeholders ʼ expectations

Provide customer-oriented consulting

Establish an operation and system to make a prompt and appropriate payment of
insurance claims and benefits

Hold original programs at branch offices and sales offices to improve the wellbeing of local residents, such as health promotion, childcare, and sports promotion

Employees

Create an environment where
employees can shape their
desired careers, work vigorously,
and improve their skills

Customers

Collaborate with business
partners to co-createsocial and financial value

Promote responsible investment,
engage and collaborate with
relevant stakeholders, andreduce emissions from businessactivities to help accelerate thetransition to a decarbonizedsociety

Promote diversity and inclusion
to create an environment thatempower diverse talents

Improve employee engagement andwell-being
Promote active participation of diverse
talent21

Society and Environment

Ensure transparent and voluntary
information dissemination(quantitative financial information, governance,and non-financial information, such as mediumto long-term management strategies)

Initiatives to meet expectations
Held financial analyst conference from top management for institutional investors
and analysts (twice) and online briefings for individual investors (five times)*
Conducted conference calls for financial results (four times) and held around 300
meetings with shareholders and investors in Japan and overseas*
Held dialogues with shareholders at general shareholders meeting and encouraged
the exercise of voting rights
Disclose information appropriately through websites and disclosure materials
Reflect opinions and requests obtained through investor relations activities inGroup management by sharing them with the Executive Management Board and*Fiscal 2022 results
the Board of Directors

Dai-ichi Life Holdings Integrated Report 2023

22

Co-

Creation

St

y

Va
l

or

ue

Improving the well-being of Every Customer through the Collective
Efforts of the Group

CustomerBusiness activities
Providing products and services ̶
including non-insurance ones ̶ torealize well-being
In Japan, concerns about the future of the social
security system are growing due to the declining
population caused by a low birthrate and the arrival ofa hyper-aging society.
As a consequence, the “protection” required bycustomers is changing, as they increasingly need not
only conventional death benefits but also pensions,medical care, and long-term care coverage to meettheir needs as they live longer. Moreover, with an
aging population, the need to secure funds for
retirement through self-help and to extend asset life
expectancy is expected to increase in the future.
The Group aims to improve the well-being of
those customers through products and services that
can address these social issues and diversified needsof customers.
We aim to improve the well-being of ourcustomers by seamlessly providing products andservices in four business domains: “Protection” tosupport customersʼ livelihood in cases of emergency,“Asset Formation/Succession” to secure funds for
retirement and to pass on to the next generation,and “Health and Medical Care” and “Enhancing
Connections” to provide information that will help
customers develop healthy lifestyle habits naturally
from a pre-disease stage and to create interpersonalconnections in the community and region.
We aim to provide products and services thatmeet the diverse values and needs of our customers,
to address the challenges they face in their daily
life, through both in person and online anytime andanywhere.
The Dai-ichi Life Group will realize the Group
Vision, “Protect and improve the well-being of all”
and help customers achieve well-being based on our
mission: “By your side, for life”

Social Issues
Facing theDai-ichi Life Group
Stabilization of livelihoods

Extension of asset life
expectancy
Extension of healthy life
expectancy and optimizationof medical expenses

23

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Examples of initiatives
Case

1

Efforts to improve customer
experiential value (CX)

In July 2022, Dai-ichi Life renewed its “Total Life
Plan,” a life plan simulation linked to the social
security system, with the aim of providing consulting
services more closely tailored to each customer thanever before. As a life insurance company, Dai-ichi Lifeis committed to playing a complementary role to thesocial security system and improving the well-beingof every customer by co-creating their life design andproviding peace of mind through high-quality products
and services on the basis of our mission: “By yourside, for life”

Case

2

ipet Holdings, Inc., joined theGroup

Providing value to society

Improving customers ʼwell-being

In January 2023, ipet Holdings, that offers pet
insurance, was newly joined the Group.
Pet owners view their pets as members of thefamily that have a significant impact on their wellbeing. The Group will work to improve the well-beingof both pets and customers by providing value in thearea of “Enhancing Connections,” including the wellbeing of pets by providing insurance protections
through consultation with customers, and resulting
to providing opportunities for medical treatment tothem.

Dai-ichi Life Holdings Integrated Report 2023

24

Co-

Creation

St

y

Va
l

or

ue

Accelerating the Transition to a Decarbonized Society through Investment
Activities and Collaboration with Stakeholders

Environment

Business activities
Facing environmental issues asa life insurance company and an
institutional investor
We believe that we have a responsibility to future
generations to ensure a sustainable society and preserve
the global environment. As such, we are aiming to achieving“sustainable well-being” for all stakeholders, society, andthe global environment. To this end, we are accelerating
efforts to contribute to resolving material issues on the
global environment, local communities, and society,including climate change.
The life insurance business plays an important rolein protecting future generations as a bridge between thepresent and the future. We will contribute to realizing
a sustainable and resilient environment and society by
investing the insurance premiums received from ourcustomers as a responsible institutional investor, based on
a comprehensive understanding of our social role and our
mission: “By your side, for life,” that links present and future
generations.
Dai-ichi Life, the Groupʼs core domestic subsidiary,
manages approximately ¥34 trillion in funds entrusted
by policyholders throughout Japan invested in a wide
range of assets over the long term. Dai-ichi Life is
working on responsible investment that contributes toresolving material issues on the global environment, local
communities, and society while securing stable investment
returns over the medium to long term.
Of the many environmental and social issues facing
society, preventing climate change is a top priority for
responsible investment. Dai-ichi Life will contribute toacceleration of the transition to a decarbonized society by
investing in solutions that accelerate the decarbonizationof society, actively investing to support the transition ofhigh-emission industries, and effectively collaborating andengaging with its investee companies, financial institutions
across the world, and other stakeholders.

Social Issues
Facing theDai-ichi Life Group
Preventing environmental
harm as a result of
global warming

Examples of initiatives
Case

1

Creating positive impacts
through investments andloans

Dai-ichi Life is actively pursuing investment and loan
opportunities that create positive environmental and social
impacts. As to the issues for climate change, Dai-ichi Life is
executing the investments and loans that contribute to resolve
those issues, through the investments and loans that foster
innovation, renewable energy power generation projects, green
bonds, etc. Given the importance of promoting long-termtransition strategies, particularly for GHG-intensive industries,
we formulated and disclosed our “Policy on Transition Finance”
in fiscal 2022 to make investments and loans that contribute toappropriate transitions that benefit the environment.
The cumulative total of investments and loans that
contribute to resolving climate change issues reachedapproximately ¥710 billion as of the end of fiscal 2022 andwill increase to ¥1 trillion by the end of fiscal 2024. The
annual measurable GHG reduction contributions from theseinvestments and loans are approximately 1.23 million tonsCO2e (equivalent to about 27% of the companyʼs financed
emissions in fiscal 2022), and this amount will increase to 1.5
million tons-CO2e in fiscal 2024.
Case

2

Providing value to society

Contributing toaccelerating thetransition to a
decarbonized society

Accelerating decarbonization
efforts through stakeholder
engagement

Dai-ichi Life has selected around 50 of the top GHG-emitting
investees as priority engagement targets. Our ESG analysts
analyze and make recommendations on the companiesʼ
climate change initiatives, advise them to set GHG emission
reduction targets consistent with the 1.5˚C target, andencourage them develop and implement strategies toachieve their targets.
Collaboration with other financial institutions and otherstakeholders is essential to decarbonize society. To reinforce
and enhance the effectiveness of Dai-ichi Lifeʼs standalone engagement activities with its investees, Dai-ichi Life
participates in collaborative engagement through multiple
domestic and international initiatives. Dai-ichi Life was also
among the first to take part in global initiatives such as
GFANZ*, the worldʼs largest coalition of financial institutionscommitted to net-zero emissions Dai-ichi Life engages in andcontributes to global rulemaking aimed at accelerating thetransition to net-zero emissions.
*Glasgow Finance Alliance for Net Zero (see pp. 71–72 for details)

25

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

26

Co-

Creation

St

y

Va
l

or

ue

Harmonizing with Local Communities and Regions
to Achieve a Sustainable Society

SocietyBusiness activities
Community revitalization
through social contribution andresolution of social issues
Against the backdrop of a declining population, an
aging society with low birth rate and diversifying
lifestyles, Japanese society today is seeking to offer
more fulfillment and happiness to everyone. But at
the same time, in part due to the COVID-19 pandemic,
it has become increasingly difficult for people toconnect with each other. In local communities inparticular, many social issues have been pilingup, including the long-standing problem of labor
shortages.
The Group aims to create social and economic
value through the resolution of social issues. For theGroup, which aspires to secure peopleʼs well-being,ensuring sustainability is a foundation for business
operations. We believe that we have a responsibility toconnect and co-create with all stakeholders to makeour business sustainable and contribute to resolving
issues in local communities.
The Group has been developing initiatives ineach region for “Enhancing Connections” with local
communities and customers. The Group will continue
to contribute to the well-being of every customer bydeepening connections with people in various regions
and creating diverse connections with society througha broad range of initiatives.

Social Issues
Facing theDai-ichi Life Group
Ensuring the sustainabilityof society
Improving emotional
well-being

27

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Examples of initiatives
Case

1

Opening of “ SETAGAYA QsGARDEN, ” a town forwell-being

In March 2023, the SETAGAYA Qs-GARDEN opened
as a town that contributes to the well-being of
local residents through health promotion, support
for the elderly, community revitalization, childcare
and education, sports promotion, security anddisaster prevention, and more. Through this town,
we aim to restore the connection among people
and communities that have been weakened by the
COVID-19 pandemic, bring back the well-being of local
people, and provide value by revitalizing communities.
We will continue to help form a community withtrust and happiness where people are constantly
connected through music, sports, and other events toimprove their well-being.

Case

2

Providing value to society

Contributing to thewell-being of local
communities and society

Social contribution throughthe TAL Community
Foundation

When promoting business in each country and region,
it is essential for each overseas Group company
to help revitalize local communities through social
contributions and other activities aimed at resolving
local issues. At TAL (Australia), the TAL Community
Foundation has been engaged in various social
contribution activities, such as support for young
people and indigenous people, in cooperation withlocal partners and communities through donationsand volunteer activities.
Through the foundation, we will continue tosupport meaningful community activities in Australia
that improve peopleʼs well-being.

Dai-ichi Life Holdings Integrated Report 2023

28

Material Issuesof the Dai-ichi Life Group

1.7 billion people (mostly in emerging countries) havedifficulty accessing financing (insurance penetrationis also low)

Extending asset lifeJapan

About 70% of respondents were concerned
about their retirement funds
Urgent need to improve financial literacy

Extending healthy life expectancy
and optimizing medical expenses
Japan

Medical costs for the government and health insurance
associations are increasing every year due to advances inmedical technology and Japanʼs aging society. Although
Widening gap between healthy life expectancy
life expectancy is increasing, healthy life expectancy is not
and increased life expectancy
keeping pace with this growth, resulting in a widening gap that
(9 years for men and 12 years for women)
represents a serious social issue for the nation. To address
One in four of the population has no intention the social issues of increasing medical costs and the wideningof improving their exercise and eating habits
gap between life expectancy and healthy life expectancy, we
aim to help people maintain good health from the pre-disease
Maintain health to help reduce economic
stage, in addition to financially supporting medical expenses
burdenafter the onset of disease.

Overseas

Promotingthe healthof people
everywhere

Improving emotional well-being
Japan andoverseas

Building asafe andsecurecommunity

With the advent of the 100-year life society, people are
becoming more concerned about their retirement funds.
Accordingly, self-help efforts to build assets for retirement
and extend asset life are regarded as social challenges. By
combining and demonstrating our strengths in retirement,savings, and asset management, we will meticulously address
the needs of customers from the accumulation stage of asset
formation through retirement and beyond, to asset succession
to the next generation. Through all stages, we will provide
optimal solutions tailored to each individualʼs needs.

One of the greatest factors in determining
longevity is “connections”
About 30% of respondents do not have manyfriends in the community
More than 30% of respondents are concerned
about the future of the community

Amid a declining birthrate, an aging population, progress
toward a digital society, and diversifying lifestyles, we areentering an era in which people seek spiritual enrichment inaddition to physical enrichment. The spread of COVID-19 has
reaffirmed the importance of “connections” between people.
We will take diverse initiatives that foster the enrichment ofpeopleʼs hearts and minds as a member of their communityand society, together with local governments and business
partners.

(decrease in caregivers, transportation, and employment)

Providing
optimalexperiential
valuesthat meetcustomerneeds

Objective

29

Introduction・Message

Improving customer loyalty

Amid diversification of values and behaviors, including thoseof the digital native generation, “asymmetry of information”
has disappeared while the commoditization of products is
progressing in various fields. The same applies to the life
insurance sector, where in addition to the value that products
and services provide, emotional values such as a customerʼs
psychological satisfaction will be emphasized going forward.
By carefully grasping customersʼ diversifying values andneeds, we are committed to delivering experiences andimpressions that exceed their expectations at every point ofcontact.

Evolving into an insurance group that remains trusted and chosen by customers, through contributions to their well-being▶ NPS®*1 (Dai-ichi Life): Top level in Japan by fiscal 2026
▶ Number of customers (total of domestic business): 15 million by around fiscal 2026

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Promoting theempowerment of
women
Improvingcorporate
governance andrisk management

Promotinginitiatives toward
human rights forall
Creating job
satisfaction

Contributing to
the developmentof society throughresponsible
investment andlending
Promoting regional
development
Building a safe
and securecommunity

STEP3

Among the issues prioritized and rated asimportant, we selected 14 issues based on
their relevance to our Group philosophy andvision after discussion with outside experts.

Preventing irreversible environmental change due toglobal warming
Japan andoverseas(60%)

Coverage for the working-age population is
insufficient by more than ¥10 million

Japanʼs declining population and aging society have led to
growing concerns about the nationʼs social security system.
Against this background, we believe that the need to ensure
protection based on self-help will increase going forward. In
these uncertain times, we aim to help stabilize the foundationsof all peopleʼs lives by co-creating life designs based on eachcustomerʼs dreams and aspirations, and by providing peace ofmind through financial security.

Responding toclimate change
Improving
efficiency ofenergy use
Promoting clean
energySTEP2 Evaluate priority/importance level

We assigned priority and importanceranking to the 50 social issues based on
stakeholder expectations and level ofimportance for an insurance company.

Social issues we can address

Future temperature increase due to global
warming is estimated to be as high as 4.8˚C

Disseminating and establishing new energy systems
Japan

Japan

Low insurance coverage among young people

Japan

Material issues related to the four experiential values

Promotinga sense of
security inlater life

Material issues(Materiality)

Reasons for selecting material issues

Stabilizing livelihoods,
including for the next generation

Overseas

Creating
livelihood
stability
throughinsurance

Social issues our Group can address

Material issues related to ensuring regional and social sustainability

Material issues(Materiality)

Dependence on fossil fuels for energy ishigher than 80%

Improving human capital diversity as a Japanesecompany considering global standards

Japan

reflect them in the business strategies of our medium-term management plan, Re-connect 2023.

In the Gender Gap Index, Japan ranked 125th
out of 146 countries surveyed
The percentage of female executives in listedcompanies is about 9.1%

Respecting the human rights of all business-related
stakeholders and enhancing job satisfaction acrossgenerations and occupations

Japan

For each of these issues, we identify medium- and long-term risks and opportunities for our Groupʼs business and

Identify and organize social issues

The need to promote human rights due diligencein accordance with the UN Guiding Principles on
Business and Human Rights
About half of respondents do not feel “jobsatisfaction” at their current workplace
The ratio of non-full-time employees isabout 40%

Helping create innovation through investment
and lending
Japan andoverseas

on to address social challenges and ensure the sustainability of communities and society through our business.

STEP1

We grouped the 17 goals and 169
targets of the SDGs according totheir purpose and came up with 50
social issues on which to focus.

Urgent need to foster industries andtechnologies that support a sustainable society

Ensuring the sustainability of local communities

Japan

Based on the external environment and global initiatives, such as the SDGs, we have selected 14 key issues to focus

Shortage of labor force and stagnation ofindustry in rural areas due to depopulation
Problems caused by the concentration of
population in urban areas(e.g., diluted communities, children on daycare waiting lists)

Aging social infrastructure

Objective

Select material issues

Reasons for selecting the material issues
We recognize that the action for environmental
issues, such as the need to mitigate climate change
and improve efficient energy use, must be addressedby the international community as a whole. This is
an important business management issue that could
have a significant impact on the lives and health of
our customers, as well as corporate activities andthe sustainability of society. As a global insurancegroup, we will resolve this issue from our perspective
as both an insurance provider and an institutional
investor.
To address the ever-increasing speed of changes
in business conditions, our most importantmanagement resource for corporate transformation
is our human capital. We believe that utilizing thediverse personalities of employees and maximizing
their abilities will lead to our sustainable growth. We
are committed to building an organization where
every one of our 60,000 Group employees can play anactive role in demonstrating their individuality, while
making diversity a corporate strength.
Respect for human rights is becoming increasingly
important for companies as various risks arisingfrom neglect of those issues materialize. Such
respect is a crucial prerequisite for achieving ourGroup goal, which is to ensure the well-being ofall, including future generations, and realize asustainable society, which we recognize to be ourcorporate social responsibility. By promoting humanrights due diligence in accordance with the UN
Guiding Principles on Business and Human Rights,
we will respect the human rights of all stakeholders,
including those in our supply chain, and create job
satisfaction for our employees.
As members of local communities, companies are
increasingly expected to play a role in addressing
the various issues that communities are facing. To
date, we have helped meet social challenges throughinvestment that fosters the development of new
industries and the transformation of social structure.
We have also worked to resolve issues throughour life insurance business, with a businesspresence throughout Japan, while forming various
partnerships. We are committed to creating affluent
and secure lifestyles and communities, and moving
toward sustainable growth together with local andinternational communities.

Achieve net-zero emissions to ensure the sustainability of the global environment▶ Group CO2 emission reduction (Scope 1 and 2)*2: –50% by fiscal 2025; net zero by fiscal 2040
▶ Investee companiesʼ*3 greenhouse gas emission reduction*4: –25% by 2025; –50% by 2030; net zero by 2050
Maximize the potential of each individual to realize diverse employee empowerment▶R atio of female organization heads: 30% by April 2024; increase in the ratio of women at director and executive officer levels▶ Improve the diversity ratio*5▶ Engagement survey overall score: 67 (April 2024)
Expand investments/loans that lead to positive impacts on society▶ Expand ESG investments/loans: ESG-themed investments/loans totaling at least ¥2 trillion by fiscal 2024

*1 “ Net Promoter Score ” is a registered trademark of Bain & Company, Fred Reichheld, and SatMetrix Systems. *2 Compared with fiscal 2019 *3 Listed equities,
corporate bonds, and real estate (including loans in 2030) *4 Compared with 2020 *5 Percentage of those other than “males, new graduates, and Japanese nationals”
in internal management positions (Japan)

Dai-ichi Life Holdings Integrated Report 2023

30

Expected Future Socialand Market Trends
Key facts

2030
Until 2033

73.0 %*1

By 2030, so-called digital natives(millennials and Generation Z) willaccount for around 73% of theworldʼs population and play a central
role in consumer behavior.

Average annual growth rate
forecast for the Asian life
insurance market (next 10 years)

8.1%
*2

Over the decade to 2033, the Asian life
insurance market is expected to maintaina high average annual growth rate of 8.1%
due to economic growth in various
countries, post-pandemic risk awareness,
and a growing interest in sustainability.
Note: the Asian life insurance market above excludes Japan and China.

125 th2023*3Providing optimal experiential
values that meet customer
needs
When digital natives become the core ofsociety, communication without barriers
between the real and virtual worlds will
be commonplace, and people will favorbusinesses with more timely and convenient
customer contact points regardless ofindustry. In addition, value perceptions of“social good” will prompt people to evaluatebusinesses more meticulously from theperspectives of social significance andbusiness ethics.
●

Stabilizing livelihoods
through insurance

We expect the insurance market to growsignificantly in the next decade, especially inemerging Asian countries. As the economiesof these countries grow, people will seek
new forms of protection and savings due torising incomes and changing lifestyles. In
addition, we expect technological innovation
to drive the rapid expansion and evolution ofbusinesses in the periphery of insurance,such as health and medical care andfinancial services, in some countries andregions.
Promoting theempowerment of women● Improving corporate
governance and risk
management

Japan lags far behind the rest of theworld in terms of gender equality.
To address emerging values andcreate innovations, we need to not
only eliminate gender disparities but
also bolster efforts to develop andattract diverse human capital.

As our business becomes progressively
more global in nature, we need to attract
more diverse and specialized talent. The
same applies to our business in Japan. To
continue meeting the needs of our diverse
clientele, we aim to be an attractive company
with diversity in hiring channels and work
styles, not to mention gender and nationality,
as well as the ability to create new levels of
employment and well-being.

Responding to climatechange● Promoting initiatives
toward human rights for all

Net 0

Sustainability initiatives, including
those in line with the 2050 target ofnet-zero greenhouse gas emissions,are a universal commitment. In thiscontext, the responsibilities ofcompanies are increasing
every year.

Value Creation
Story

Opportunities

Based on our recognition of opportunities and risks, we will incorporate into the Group ʼ s strategy theProvide highly convenient means ofcommunication to improve customer
satisfaction■ Attract new customers via multiple
contact points

need to secure necessary management capital and know-how, build a financial base that enables■

Strategies &Performance

Sustainability &Management Baseappropriate growth investments, and fulfill our social responsibility. We will take bold and proactive
measures to achieve these objectives.

Risks
Decline in customer support and satisfaction
due to inadequate response to newcommunication preferences■ Reduced market presence due to lack ofdiverse customer contact points, including
in non-insurance areas■

Strengthen the CX Design Strategy anddigitalization

P.41

Opportunities

Financial strategy to ensure appropriate
responses to growth and investment
opportunities

Material issues related to the four experiential values
P.29

P.35

Seize future growth opportunities by making
flexible and promising investments in the
Asia-Pacific and other regions■ Strengthen Group synergies by expanding
and reinforcing business foundations inregions with high growth potential■

Risks
Missed growth opportunities due to inability
to make appropriate investments forfinancial, organizational, or other reasons■ Potential need to downsize or withdraw
from businesses in certain regions due tomisjudgment of business risks specific to a
local region/market■

Opportunities
Acquire and accumulate various expertise,including in new areas, and demonstrate
positive chemistry through human diversity■ Strengthen our business foundation by
improving global management capabilities■

Risks
Stagnation or setback in business expansion
due to lack of necessary talent and skill sets
■ Decline in competitiveness due to poor
Group governance and global management
capabilities■

Human capital management strategies forboth domestic and global businessdevelopment

P.73

Implement action plans to ensuresustainability

Material issues related to ensuring regional and social
sustainability P.30

P.59

Opportunities●

Responding to social issues in relation to
global sustainability, such as addressing
climate change and respecting human rights
and diversity, will become even more essential
and widespread. We believe that economic
rationality and ethical orientation in
consumption and purchasing are not trade-offs
but rather should be compatible. This value
perception will become more mainstream in
the future, and new businesses could emerge
as a result. In addition, the responsibility ofcompanies to ensure sustainability will
increase, and how they fulfill theircommitments will greatly affect their corporate
value.

Our Group Strategies

Opportunities and risks perceived by theDai-ichi Life Group●

Greenhouse gas
emission target

2050

for the future.

●

Japanʼs ranking in the Global
Gender Gap Index

Introduction・Messageof our business. We consider the following items to be particularly important due to not only their high probability but also their impacts being global in scale and long-lasting

Effects on customers and society

Percentage of digital natives
in the world population

31

We believe that adopting strategies that accurately capture opportunities and risks associated with material issues identified by the Group will help ensure the sustainability

Secure and bolster earnings by increasing
investment and financing opportunities that
help resolve ESG and other issues■ Maintain a presence and strengthen ourbusiness foundation by taking initiatives toensure sustainability■

Risks
Damage to assets due to a decline in value
stemming from inadequate sustainability
initiatives■ Increase in claims and benefit payments due
to a failure to avoid global warming and theresulting increase in natural disasters■*1 UN Forecast

Governance

Data*2 Allianz Global Insurance Report 2023

*3 WEF, Global Gender Gap Report 2023

Dai-ichi Life Holdings Integrated Report 2023

32

Strategies & Performance

Strategies & Performance■ Progress of the FY2021–2023 MMP
Review of fiscal 2022

FY2021–2023 Medium-term Management Plan (MMP)

Although efforts to improve the business portfolio and market risk reduction made steady progress, ﬁnancial indicators such as adjusted
proﬁt fell short of targets, in part due to increased payments related to COVID-19 and the impact of higher overseas interest rates.
Although the external environment continues to be volatile, we will achieve the target level we were aiming for when we formulated the■ Review of past medium-term management plans
2015–2017

Providing financial resources for growthareas and innovation by achieving cash flow
management
Strengthening ERM with a view to prolonged
low-interest market conditions

Radically transforming the domestic insurance
business based on each customerʼs perspective;
responding to accelerated changes in society
Overcoming high cost of capital and low capitalefficiency and the globalization of Group
operations■ FY2021–2023 Medium-term Management Plan (MMP)

Capital efﬁciency
FY2022
resultFY2022
result5.0%(unachieved level)

FY2023targetMedium- tolong-term target
level

Risk control

Approx. 8%

3.9%(unachieved level)

Average around8%

Accounting proﬁt

FY2022
resultApprox. ¥530 billion

FY2023target¥560 billion(95% of 3-year progress)Groupadjusted
proﬁtIssuesIssuesProgress on KPIs

226%

Medium- tolong-term target
level

170%–200％

Under Re-connect 2023, our new MMP that started in ﬁscal 2021, we are reviewing how we should connect with customers
and other stakeholders while working on initiatives in four key areas̶Domestic Business, Overseas Business, Financial/CapitalManagement Strategy, and Sustainability & Business Foundation̶based not only on the achievements and issues recognized

FY2022
result

4th place

Medium- tolong-term target
level

Relative advantage
over 10 domestic
and overseas
competitors

Direction for the new MMP

and transformation of some of our relationships with stakeholders, and peopleʼs values and the nature of society changing at anaccelerated pace.

MMP. To achieve these goals by executing both business and ﬁnancial strategies in an integrated manner, we are working tomaterialize the strategies of the new MMP.

Business partners
Expand insurance-related
services from a customer
perspective● Seek collaboration to help
resolve social issues●

Society and the environment
Secure sustainability● Be eco-friendly and combat
climate change●

Transform the domestic business model and boost CX by leveraging
our four experiential values● Structurally reform the sales representative channel and raise
efficiency●

CX : Customer Experience

Finance/
CapitalManagement

Improve the financial standing
and capital circulation management

Drastically improve capital efficiency mainly by reducing
market-related risks● Strike a balance between disciplined capital allocation and strong
shareholder payouts●

Introduction・Message

Value Creation
Story

Strategies &Performance

Overseas
Business

Employees
Improve employee
engagement and well-being● Promote active participationof diverse talent●

Increase profits in existing markets and further drive business● Leverage DX to increase CX and further enhance operational
efficiency

DX : Digital Transformation●●

Create a universally bright future byfulfilling our part in enhancing sustainability

Promote Group-wide sustainability improvement
Promote the Group's human capital strategy and governance tosupport our business foundation

Sustainability &Management Base

Governance▶ Transforming into service
business to improve sustainability
and the expected growth rate
▶ Reallocating capital earned toraise the level and expand thescope of products and services

Build a business portfoliothat drives growth●

Sustainability& Management
Base

Improved valuations + improved market capitalization due to proﬁt growth

Shareholders
Achieve high capital efficiency● Enhance shareholder payout●

Data

Achieve top-level NPS®
among domestic life insurances

Corporate value

Achievingtransformation▶ Introducing stock-based
remuneration, etc., for employees tofeel an increase in corporate value

Sharing
growthCustomersatisfaction▶ Expanding digital access toradically improve convenience▶ Increasing business productivity to
improve business performance andexpected growth rate

Employeesatisfaction

Improving
service

Increasing
productivity

Increased engagement▶ Using digital support and AI toradically improve productivity

Innovativeness▶

Accumulating customer data to
deepen studies for new value creation

Embodiment of DX▶ Fostering a free and vigorous culture andcreating synergistic effects among humancapital to facilitate further innovation

Becoming a Global Top-Level
Insurance Group

Address changes in needs
and behavior● Incorporate medical anddigital tech
● Achieve true customer
centricity

Domestic Expand existing businessBusiness while exploring opportunities beyond insurance

33¥250 billion–¥280
billionTo grow into one of the top global insurance groups by 2030, we aim to raise the level of “Service Innovation,” “Customer

Customers

第一の実現

FY2023target(unachieved level)

Satisfaction,” “Employee Satisfaction,” and “Corporate Value” to the top level in Japan by ﬁscal 2026, the ﬁnal year of the new●

ジタル技術の取込¥184.4 billion

in past medium-term management plans but also on the recognition of the environment whereby COVID-19 forced the breakup

Management challenges

行動変容への対応

FY2022
resultMarket valuation
FY2022
resultRelative TSR

Accelerated overseas business expansion
and expanded profit contribution, which also
contributed to achieving the total payout ratio
target.

Achieved medium- to long-term target levels offinancial soundness mainly through market risk
reduction initiatives, which are not an extensionof the conventional approaches(vs. March-end 2021)

Maintaining the sufficient capital position
assurance required of a global insurancegroup; enhancing shareholder returns

We have been selected for inclusion in the S&Pʼs
Dow Jones Sustainability Asia Paciﬁc Index
and have received high external acclaim for
our Group-wide efforts to realize a sustainable
society.

(ESR)

Established a domestic business frameworkwith three life insurance companies (Dai-ichi
Life, Dai-ichi Frontier Life, Neo First Life)

Developing a new strategy for achieving
sustainable growth; expanding businessfoundations

Sustainability &Management
Base

Market risk
reduction

Provided a significant foothold for expanding
the profit contribution from overseas businesswith the acquisition of Protective in the UnitedStatesStrengthened the ability to reach a diverse
customer base through the diversification ofsales channels and product supply under adomestic business framework with three life
insurance companies; started expansion to
new markets such as healthcare and smallamount and short-term insurance products

Economicsolvency ratio

Strengthened our capabilities in strategy
execution through a transition to a holding
company structure, which enables the flexible
allocation of management resources and rapid
decision-making at each Group company

IssuesFinance/
CapitalManagement

Market risk reduction under capital circulation
management has progressed steadily, achieving 95%
of the target set in the MMP. In addition, along withstrategic investments, we have made large-scale
share buybacks and increased dividends to enhanceshareholder payouts.

Achievements

Strengthened our presence in the Japanesemarket through enhancement of the productand service lineup (Dai-ichi Frontier Life
became a market leader in the Japanesebancassurance market)(accounting)Achievements

Toward growth through contribution
to improving QOL

Overseas
Business

Through the investment in YuLife in the United
Kingdom and the acquisition of Partners Life in
New Zealand, we have made steady progress inbuilding a balanced business portfolio, and theshare of the Overseas Business in Group adjusted
proﬁt has increased to approximately 34%.

Group
adjusted ROE

Achievements

Achieving sustainable value creation

Domestic
Business

While efforts to create the 4 experiential values,
including the expansion of the “Enhancing
Connections” area through the acquisition of ipet
Holdings, are making progress, the new businessresults of Dai-ichi Life are signiﬁcantly below
the pre-COVID-19 level, and we are working on aquick recovery.

(economic value)

Toward making greater advances

2018–2020

Group ROEV

2013–2014

MMP through steady business operations, including the recovery of domestic new business results, which have been a challenge.

Dai-ichi Life Holdings Integrated Report 2023

34

Strategies & Performance

Message from the CFO■ Basic approach to capital management policies

Finance and Capital Strategy

Our Group bases its capital management policies on the

the Group by reallocating capital to highly capital-efﬁciententerprise risk management (ERM) framework, aiming forbusinesses and growth businesses while ensuring ﬁnancial

the sustainable enhancement of corporate value and further

soundness.

Through capital allocation to highly capital efficientand growth businesses, we promote capital
circulation management that enhances Group
capital efficiency, raises our cash generation
capability, and improves shareholder returns.

improvement of shareholder returns while ensuring ﬁnancial
soundness.

Regarding the economic solvency ratio (ESR), an
indicator of ﬁnancial soundness based on economic value,

Under our current MMP “Re-connect 2023,” we strive

we have set a target range of 170%–200%. If the ESR exceeds

to achieve sustainable growth through the implementation

200%, we will actively consider strategic investments andof “capital circulation management.” Capital circulation

ﬂexible and additional payouts, taking into consideration

management is the approach to enhance corporate value

market conditions and other factors.

through the favorable circulation of capital and cash obtained

Taisuke Nishimura

from business operation and released by risk reduction within

New challenges and business opportunities have also

will do my utmost to enhance corporate value, especially shareholder

emerged recently, such as a decline in the value of new businessvalue, while maintaining ﬁnancial discipline. Here, I would like toat Dai-ichi Life, growing uncertainty in the economic environment,

explain our ﬁnancial strategy, which I aim to implement.

rapid advances in generative AI, and rising inﬂationary pressure in

In our current medium-term management plan (MMP) “Re-Japan. Continuous improvement in productivity and promotion ofconnect 2023,” we set achieving high capital efﬁciency and reducing

DX are essential to respond to such challenges and opportunities.

the cost of capital as priorities, and we are focusing on the promotion

I also believe we need to focus on implementation of market riskof risk control, enhancement of cash generation capability, expansion

reduction initiatives, which we have ramped up in anticipation of theof shareholder payouts, and disciplined execution of strategic

economic value–based solvency regime to be introduced in Japan

investment, under the ﬁnancial strategy slogan “capital circulationin 2025, and on business portfolio transformation that will lead to

management.” From ﬁscal 2021, in light of changes in the market

sustainable improvement in capital efﬁciency. We are implementing

environment, actual business conditions, and other factors, wea range of initiatives to transform our business portfolio, including

revised our recognition of the cost of capital for the ﬁrst time since

deepening core businesses (protection and asset formation),

our listing from 8% to 10%. We then set ourselves a medium- to long-extending our business wings, and exploring the acquisition of new

term goal of realizing capital efﬁciency that stably surpasses capitalorganizational capabilities in areas such as digital, and we are laying

costs and decided to focus on improving capital efﬁciency through athe foundations for realizing sustainable growth in the future. To

review of our business portfolio while at the same time lowering thethis end, through the proposal of ﬁnancial strategies aligned withcost of capital through risk reduction.

business strategies and the execution of capital allocations, we will

During ﬁscal 2021 and 2022, we made faster progress thanplanned on reducing market risk, especially interest rate risk. As
a result, we succeeded in reducing the volatility of the economic

implement initiatives aimed at realizing the kind of business portfolio
we as a Group should aim for.
Given the challenges outlined above, I as CFO am committed

solvency ratio (ESR), which is an indicator of ﬁnancial soundness

to implementing capital circulation management through close

based on economic value, and were able to implement initiatives

cooperation with subsidiaries in Japan and overseas. I will also

to reduce the cost of capital. I have also engaged in dialogue withstrive to improve internal control and corporate governance generally

market participants through public announcements and so forthand do my utmost to realize sustainable business growth based

and feel proud that we have received some recognition for theseon sound ﬁnancial operations. At the same time, I will endeavor

initiatives.

to gain the trust of investors by actively engaging in dialogue

In terms of business results, ﬁscal 2022 was a tough yearwith shareholders and investors and promoting transparency

in which we reported a decline in proﬁt due to a variety of factors

and accountability. By taking feedback and suggestions from

including insurance payments related to COVID-19 and rising

shareholders and investors seriously, reﬂecting market opinions inoverseas interest rates; however, we shored up the cash position

Group management, and effectively implementing a PDCA cycle, Iof the holding company through the reduction of market risk atwill strive to improve corporate value based on constructive two-way

subsidiaries and encouragement of the use of reinsurance within theengagement.

Group, and succeeded in realizing strategic investments that will leadto future growth, such as the acquisitions of New Zealand Partners

Value Creation
Story

Strategies &Performance

Experiential
valuesCustomersatisfaction(value)Improvement of operating efficiency
Business Plan Execution / Risk Reduction /Productivity Improvement / Soundness Assurance⇒ Increase in adjusted profit/Value of new business/Free cash flow (+ free cash)

Operating companies

Growthinvestment(e.g., capital
investments)

Capital circulation management focused on
improvement of capital efficiency–Balanced capital allocation and substantial financial measuresthat contribute to sustainable growth(emphasis on cash flow and economic value)–Free cash
flow⇒Growth investments/Shareholder returns/Reinforcement of financial soundness

Group (Holdings)

Capital financing(equity/debt financing policy)

Investment return exceeding the cost of capital

Shareholder returns(as per shareholder return policy),

debt interest, andprincipal payment, etc.

Please accept my sincere thanks for all your support andCapital markets (e.g., shareholders/creditors)

achieving improvement in capital efﬁciency through share buybacks.

Introduction・Message

Customers/Society

cooperation.

Life and Japanese ipet Holdings as subsidiaries and, more recently, in

35

Capital circulation management

Cashcirculation

I was appointed chief ﬁnancial ofﬁcer (CFO) in April 2023. As CFO, I

Capitalallocation

Executive Officer, Chief Financial Officer

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

36

Strategies & Performance■ Main strategies for realizing capital circulation management̶risk reduction initiatives

ESR level and approach to capital management policy

Maintain stable dividends in line with profits● Actively consider strategic investments and/or flexible additional
shareholder payouts●

200％

Maintain stable dividends in line with profits● Consider strategic investments and/or flexible additional shareholder
payouts with an awareness of financial soundness●

Target level
170％–200％

170％

130％

Maintain stable dividends in line with profits● Consider strategic investments and/or flexible additional shareholder
payouts based on the prospect of improvement toward our medium-termtargets (reconsider risk-taking and/or shareholder payouts as needed)

Aiming to lower the cost of capital, we are making steadyinterest rates has continuously improved, leading to greater

progress on the reduction of interest rate risk and thestability.

reduction of equity risk in accordance with our risk reduction

solvency regime slated for 2025, we will go beyond simply

we reduced risk by around ¥530 billion in total and madereducing risk in the future and shift to risks that promise toprogress of 95% toward the market-related risk reductiondeliver even greater capital efﬁciency and, through this andtarget under this MMP formulated at the end of ﬁscal 2020.

other measures, we will work to ramp up capital circulation

Furthermore, as a result of steady efforts to reduce interest

management that will lead to enhancement of our corporate

rate risk, the sensitivity of our ESR to domestic and overseas

value.

●●

Consider risk reduction and reconsider shareholder payouts (consider
recapitalization as needed)

Market-related risk reductionIn
FY2022 Approx. ¥145 billion

Interest rateand equity risks amount

Progress
Current MMP risk reduction target(interest rate and equity risks total: ¥560 billion)％

95

Interest rate risk
Decrease of
approx. ¥117 billion(before diversification effect)¥2.4 trillion

Economic Solvency Ratio (ESR)
ESR is an indicator used to ascertain the ﬁnancial

170% to 200% in our MMP covering ﬁscal 2015 to ﬁscal

soundness of insurance companies and, unlike the2017. Since introducing EV and ESR, we have worked

current solvency margin ratio, which is premised

to improve our measurement techniques in accordanceon accounting balance sheets, ESR is premised onwith changes in the external environment including

economic value–based balance sheets.

reﬂecting actual operating conditions as appropriate andEconomic value includes unrealized gains andCurrently, the Insurance Capital Standard (ICS),

items for accounting purposes. Accordingly, ESR is anwhich applies to internationally active insurance groups

indicator that enables more consistent evaluation of(IAIGs) and is being developed by the International

assets and liabilities based on the same measure, that

Association of Insurance Supervisors (IAIS), and theis, economic value, and encompasses ﬂuctuations ineconomic value–based solvency regime due to be

the market value of liabilities as a result of interest rate

introduced in Japan (the new regime) are still in thechanges, which cannot be understood from accounting

process of ﬁnalization.

information.

Against this backdrop and in anticipation of ﬁnalization
improve our ﬁnancial capital strategy through measures

shares on the Tokyo Stock Exchange in 2010, and wesuch as utilization of the new standards in operations

began disclosing ESR after setting a target range fromand reﬁnement of our measurement techniques.

End of March 2022

End of March 2023

(DL) Effects of risk
reduction initiatives
Approx. ¥150 billion(during fiscal 2022)

Interest
rate risk

Ultra long JGBs
purchase

Approx. ¥1.2 trillion(30-year JGB equivalent)

Equity risk

Sale of equities

Approx. ¥200 billion(market value based on plan)

Short-and medium-term risk profile (after transformation)
Risk proﬁle (after ESR standard change)

Insurance risk

29％

■ Realization of capital circulation management
To pursue capital circulation management, we have soughtsustainable growth in the future by continuously allocating

to improve capital efﬁciency by reducing market-related

capital to growing markets where even higher growth isrisk at Dai-ichi Life and raising the rate of remittances fromexpected, while simultaneously stably generating cash ﬂow

subsidiaries and by applying the surplus capital generated

from mature markets such as Japan. At the same time,from this to shareholder returns including share buybacks,

we will strive for further evolution of capital circulation

and we have exercised discipline in allocating capital tomanagement by optimizing capital utilization and increasing

strategic investments for future growth. We will also pursue

earnings retained within the Group through intragroup ﬁnancethe capital circulation management required to realize

including reinsurance.

Strategies &Performance(including changes
in Group companies)

Decrease of approx.
¥160 billion

Insurance risk

Value Creation
Story

Market fluctuation
factorsof the ICS and the new regime, we need to further

disclosing embedded value (EV) when we listed ourIntroduction・Message¥2.1 trillion

Equity risk
Decrease of approx.
¥33 billion

capital solvency requirements.

losses on assets and liabilities that are off-balance-sheet

In initiatives to evaluate economic value, we began

37With the introduction of the economic value–based

plan. Under the MMP covering ﬁscal 2021 and ﬁscal 2022,

Sustainability &Management Base

Governance

Data

Insurance risk

36％

End of
March
2021
Market-related risk

(interest rate and equity risks
account for 41%)

Market-related risk
Decrease of

68％

7%

37％

End of
March
2023

Market-related risk

(interest rate and equity risks
account for 35%)

Market-related risk
Decrease of

61％

2%

End ofMarch 2024
Forecast

Market-related risk

59％

Dai-ichi Life Holdings Integrated Report 2023

38

Strategies & Performance■ Main initiatives for realization of capital circulation management■ Ensuring financial soundness- Utilization of intragroup finance

The Group has been working to ensure ﬁnancial soundness

Intragroup ﬁnance, especially intragroup reinsurance, implemented as part of efforts to ramp up capital circulation management

through a wide array of measures including accumulating

has increased signiﬁcantly since we established a reinsurance company in 2021. In ﬁscal 2022, Dai-ichi Frontier Life and Neo First

capital via the generation of proﬁt and reducing risk. In

Life were both impacted by insurance payments related to COVID-19 and rising overseas interest rates but utilization of intragroupﬁscal 2022, we stably maintained our capital base throughFinancing of Group Subordinated Debt in Fiscal 2022
Dai-ichi Life

reinsurance has efﬁciently improved the solvency margin ratio and is leading to more effective utilization of capital. Moreover, in

initiatives such as the voluntary repayment of Dai-ichi Lifeʼsthe case of TAL, the utilization of intragroup reinsurance to cover risk that had previously been ceded to an outside reinsurer madeexisting perpetual subordinated debt and the procurement of

it possible to retain within the Group earnings that would otherwise have ﬂowed out of the Group. We will continue pursuing capital

new perpetual subordinated debt. These initiatives also led tocirculation management by implementing a range of measures including effective utilization of capital through reinsurance.

improvement in some of our external ratings.

Perpetualsubordinated loan

¥64 billion

We will continue conducting stable ﬁnancial operations
through risk reduction and other measures going forward.

■ Remittance operation based on free cash
The amount of dividends remitted to theHolding companyʼs utilization of cash during current MMP period

holding company from operating subsidiariesHDʼs base cash

is determined based on the ESR range that

Approx. ¥100 billion

we determine and the free cash of those

Including shareholder
dividends for FY2022

subsidiaries calculated taking the solvency
regime and accounting constraints in each

MMP periodHDʼs cash

country into consideration. The amount of
FY2021–FY2022

dividends remitted in ﬁscal 2022 was ¥260

Strategic investment

billion, exceeding the initial forecast of ¥240

Approx. ¥230 billion
in totalbillion, and as a result, the rate of remittances
to Group adjusted proﬁt was around 140%.

Approx.
¥1 trillion in total*1

Shareholder payouts

Approx. ¥680 billion
in total
FY2021–FY2023

Shareholder dividends
Approx. ¥240 billion
Share buybacks
Approx. ¥440 billion

Our Group adjusted proﬁt forecast for ﬁscal■ Targeting attractive shareholder returns
During the period of our current MMP, we have paid

distributed cash dividends of ¥86 per share, an increase of

strategically considered and implemented ﬂexible additional¥3 from the previous ﬁscal year. In addition, we decided to

payouts through share buybacks, based on comprehensive

repurchase as much as ¥120 billion of our stock, which willconsideration of a wide range of factors including ESR, cash

mean large-scale share buybacks for three consecutive years.

ﬂow, growth investment opportunities, and our stock priceWe will aim for further enhancement of shareholder

level, setting a medium-term average total payout ratio target

payouts by strengthening sustainable growth of Group proﬁtof 50% as a rough guide.

and our ability to generate capital and cash.

Basic policy on shareholder payouts(including amount planned)

Stable dividends
commensurate with proﬁt

2023 is around ¥270 billion and, assuming aremittance rate of around 90%, we currently

Fiscal 2022 cash remittances (dividend remittances) from subsidiaries
Remittance amount¥215.6 billion

PLC

Approx. ¥9.3 billion [US$69 million]

TAL*3

Approx. ¥22.4 billion [AU$250 million]Group

Approx. ¥260 billion*1 Incl. the balance and change in cash at the intermediate HD, as
well as cash held to maintain liquidity at HD.
*2 Remittances from overseas subsidiaries such as PLC are
accounted as if they are deposited in the next fiscal year of theHD similarly to domestic subsidiaries in this chart.
*3 Yen value is based on the exchange rate at March 31, 2023.

Under our current MMP, alongside the deepening of our coreoverseas business accounts for an increasingly large sharebusinesses (protection, asset formation, and succession), weof Group adjusted proﬁt and continues to drive Group growth.

aim to expand and diversify our business portfolio throughMeanwhile, we are also extending our wings in our domestic

the pursuit of organizational capabilities in new ﬁelds such as

business through moves such as the acquisition of ipet

digital, health, and medical care.

Holdings. We will continue expanding our existing businesses

Life through TAL in Australia, acquired Partners Life in・Strategically determine the scale andtiming of implementation

・Rough guide for total payout ratio: 50%(medium-term average)(¥)■ Business portfolio transformation

In ﬁscal 2022, we completed the acquisition of Westpac(from ﬁscal 2020)[Dividend payout ratio]
30% or more each ﬁscal year
・No reduction of dividend per share,in principle

around ¥250 billion.

*2,*3

Consider ﬂexible additional
payouts to shareholders(from ﬁscal 2021)

forecast remittances based on free cash ofDL

For payouts to shareholders in ﬁscal 2022, we

dividends at a dividend payout ratio of 30% or more and haveand exploring new business domains, constantly striving for

Share buyback¥28 billion

Share buyback¥30 billion

Share buyback¥200 billion

58

62

62

2018

2019

2020

Share buyback¥120 billion

Share buyback
Up to¥120 billion*

83

86

2021

2022

(FY)

Cash dividend per share*Considering the ESR forecast, cash position, and other factors, the Board of Directors decided at its May
15, 2023, meeting to conduct a share buyback of up to ¥120 billion.

expansion and diversiﬁcation of our business portfolio.

New Zealand, and invested in the British ﬁrm YuLife. Our

39

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

40

Strategies & Performance

Our CX Design Strategy aims to provide emotional

CX Design Strategy

our customers, such as marriage, housing, inheritance, andexperiences exceeding customersʼ expectations by not only

Through a CX Design Strategy focused on
customer experience (CX), we will inspire emotions
that exceed the expectations of all.

near end-of-life support.

reﬁning each of the experiential values but also delivering

We aim to deepen our understanding of individual

those values through daily life. To this end, we aim to realize

customers and deliver what they want, when they want it, in

the Groupʼs concept of online-merges-with-ofﬂine (OMO),

a natural way. Here, we will utilize technology at the various

which connects all customer contact points by integrating

customer contact points, both digital and physical.

digital channels (online) and real face-to-face channels(ofﬂine). In addition to insurance, we will expand our services
through collaboration with external business partners invarious non-insurance areas that improve the well-being of■ Why do we focus on CX?

Vision for CX Design Strategy

differentiate ourselves from our competitors. In addition

This change in consumer behavior is eliminating theto creating business processes that focus on CX, we will“asymmetry of information” that once existed between sellers

increase the number of fans of our Group by judiciously

and buyers, leading to the progressive commoditization ofunderstanding the diversifying values and needs of individual

products in various ﬁelds. Originally, the ﬁeld of life insurance

customers and delivering experiences exceeding theirrequired signiﬁcant expertise and had a certain level of

expectations through all contact points. We believe this will“asymmetry of information.” As access to information

lead to sustainable growth.

Inheritance information[Asset formation]
Savings-type insurance
enrollment■ Overview of CX Design Strategy

rotencction(Employment) Insurance
enrollment [Protection]

Matchmaking support

Customers Choose Channels
Physical/Digital

Pension-related information

becomes easier, however, it is increasingly difﬁcult toDigital entry to insurance

stem (Online CSyong ing sP

Co nhanne

and gather sufﬁcient information before making purchases.

[Inheritance/Succession]
Utilization of insurance
products

CX D
es
i
E

to enhance the overall value of the customer experience and

are
al C
dic
Me

called “digital natives” because they utilize digital technology

Healthandincluding the psychological satisfaction that customers gain,

Online registration
via referrals

Life Activities of
Customersn/atio
rm siones

time. The younger generation, known as Generation Z, are

Near end-of-life support

Ass
Suet Focc

provide. We believe we need to also deliver “emotional value,”octi

differentiate products and services simply by the value they

services, a variety of information is readily available at any

ion)
ect
nn
n

With the widespread use of the Internet and social networking

Childcare-related services(Marriage) Review insurance(Childbirth) Review insurance

Medical-related services

To address emerging social issues, our Group delivers

and Enhancing Connections. Drivers to maximize each offour experiential values that go beyond the framework

those experiential values while standing by the side of ourThrough our CX Design Strategy, which delivers the four experiential values in an optimal form,of conventional insurance. Those values are Protection,customers throughout their lives is CX Design Strategy.

we will contribute to address emerging social issues and realize the well-being for all people.

Asset Formation/Succession, Health and Medical Care,
Group vision

What does “CX” refer to?

High

Intrinsic value of products and services

We deﬁne customer experience (CX) as

Good CX(pleasant/grateful)

Protect andimprove thewell-being of all

customers experience through all points ofcontact with the Group.
Focusing on CX enables us to address the
improvement of value received by customers that
goes beyond enhancing the value of products
and services. It also leads to the identificationand improvement of CX issues that could

Value received by customer

the psychological and emotional value thatjeopardize the value of those products andPoor CX(unpleasant/unsatisfactory)

Solving key social issues
Stable living foundations
Products/
services

Products/
services

Improved health for all

Source of diagram: “CX strategy: Experience value
management that links to the customerʼs mind” by Tatsuo
Tanaka, Nomura Research Institute, Ltd., published by Toyo
Keizai Inc., September 27, 2018.

Introduction・Messagenext generation)
Secure retirement in the ageof 100-year life expectancy

Products/
services

services.

41(including for the

Value Creation
Story

Strategies &Performance

Low

Poor CX jeopardizes theintrinsic value of
products and services

Sustainability &Management BaseGood CX improves
customersʼ experiential
valuesGovernance

Data

Safe, secure, andlivable communities

Deliver the best experiential values (CX)

Initiatives to resolve issues

We will be there
for each andevery one of you

Products/services

Support daily life
Stand by your side
“always,” not “justin case” youneed us

Deepen customer
understanding andco-create the future

Going beyond
insurance
Create newexperiential values
in collaboration withexternal partners

Online-merges-with-offline (OMO)
Improved consulting
through face-to-facechannels

Deliver personalized products
and services
Expand the lineup of new products andservices that go beyond insurance

Sales channels/consulting

Expanded digitalconnection points

Establish sales channels best suited tocustomersʼ diversifying needs
Sales representatives channel reform
and improve consulting services

Four experiential values
Protection

Deliver relief/Stabilize living foundations

Asset Formation/
Succession

Extend asset longevity

Health and Medical Care

Extend healthy life expectancy

Enhancing Connections

Develop peaceful lives and communities

Digital infrastructure
Realize OMO and data-driven
business processes
Develop DX human capital to support
digital transformation

Dai-ichi Life Holdings Integrated Report 2023

42

Strategies & Performance

TOPICS

Vision for CX Design Strategy

To Be an Insurance Group Consistently Chosen by Customers
As customersʼ values diversify and their behavior changes,

customers that support our Group, we consider the numberof domestic customers to be an important indicator. From

to stand by our customersʼ values and enhance their CX.

ﬁscal 2023, however, the target includes not only the

Taking the customer satisfaction survey a step further,number of customers in the insurance area but also the

our Group has introduced a KPI called NPS® (Net Promoter

number of customers served by products and services in

Score), which measures the “promoter score” (degree

the non-insurance area. By implementing the CX Design

to which customers would recommend our services toStrategy, we aim to achieve “Top-level NPS in Japan” andfriends and acquaintances), as a direct evaluation from

“15 million total domestic customers” by ﬁscal 2026.

3

5

6

7

Donʼt fully agree

is to identify issues by clarifying the areas where weto improve our NPS® signiﬁcantly by making repeatedare supported by customers and areas with room for

improvements rapidly for issues related to customer

improvement, from an objective viewpoint.

contact, products, and services, as well as by gaining a
deeper understanding of individual customers.

To achieve the vision of our CX Design Strategy, Dai-ichi Lifecustomer contracts. By expanding our digital contacts andoperates a website called “Mirashiru” to provide information

promoting the fusion of the digital and real channels, we will

related to people and their lives, health, money, andprovide customers what they want, when they want it, in a

insurance. The site focuses on the four experiential values

natural way.

and daily communication with customers. In ﬁscal 2022, we
expanded the functions so that our sales representatives,(Net Promoter
Score)

Promoters

89Percentage
of promoters

Very much agree

Percentage of proceduresthat can be digitally supported

needs, including for insurance consultation. We will further

Percentageof critics

improve communication with customers by delivering* NPS® (acronym for Net Promoter Score) is a registered trademark of Bain &Company, Inc., Fred Reichheld, and Satmetrix Systems, Inc. This indicator is used
not only for customer satisfaction surveys but also to promote improvements incorporate activities from a more customer-oriented perspective by gaining an
accurate understanding of potential customer opinions and other measures.

10

Information site
“Mirashiru”

with them through “Mirashiru” to address their various

NPS®

optimal content, products, and services based on analysis
of digital information such as site visits. We are also
actively promoting the digitization of various procedures for

70%*
10%
FY2018FY2022*The percentage of procedures
actually performed digitally is 45%.

Improve consulting capabilities of sales representative channel

Initiatives to achieve our vision for CX Design Strategy “Improve NPS® dramatically”

We are drastically transforming our sales

products to evolve the channel into one that can deliver
even higher levels of CX.

The NPS involves surveying customers about products

appeal and increased connections with new customers.

representatives channel. This involves a major overhaul

and services to arrive at an 11-point “promoter score” andAccordingly, NPS® is known to be highly correlated with aof the recruitment, compensation, and evaluation

converting it into an indicator. The difference between thecompanyʼs growth potential and proﬁtability.

systems, as well as training education follow-up. We are

our customers and create a virtuous cycle that will increase thealso working on integrative reforms of consulting andnumber of customers, thereby realizing our vision for ﬁscal 2026.

®

percentage of “promoters” and the percentage of “critics”

At Dai-ichi Life, we conduct timely in-house point-of-

among total respondents is the NPS . Products andcontact NPS surveys to investigate and understand theservices with a high NPS® (many promoters) have broad“voice of customers” at daily contact points. Once a year,®

Dai-ichi Lifeʼs current status of NPS® survey resultsCompetitor comparison NPS® survey

Competitor comparison NPS® survey
and new business annualized net premium growth rate

Confirm our relative position(strengths and weaknesses)
Analysis for overall evaluation of a series ofcustomer experiences
Improve experiential
values through theearly STPD＊ cycle

Identify priority
issues and assess
the effectivenessof initiatives

Dai-ichi Life

In-house NPS® survey (contact points)
Obtain timely and specific feedback from thevoice of customers at daily contact points*Management method based on “See,”“Think,” “Plan,” and “Do.”

Introduction・Message

Value Creation
Story

New business annualized net premiums(long-term annualized growth rate*, calculated by the company)

Narrowing down candidates for hire

-23.0

-30.4

-53.0

-50.1

-49.1

-70.5

-67.9

-65.4

2020
Dai-ichi Life

Transforming the sales representative channel● Narrow downCompetitor comparison NPS® survey results-24.5

NPS® survey results

In-house NPS survey (comprehensive)®

Through these initiatives, we will deliver the best value to®

NPS® survey structure
in Dai-ichi Life

Statistical analysis by an external research organization

43

customers and making improvements. We would like

who have real contact with customers, could connect

Neutrals

4

we recognize the need to continue listening sincerely to

Procedures for policy
maintenance and claims

2

Approx.15 million

Approx.13.62 million people(49.1) (slight improvement from previous year)

Would you recommend Dai-ichi Life to your family or friends
if they asked you for advice about buying life insurance?

1(total of domestic business)

Medium rank in sector

Critics0

Number ofdomestic customers

Top levelin Japan

NPS

NPS® concept and score calculation method

Q

external NPS® surveys for peer comparison, conductedby an external research organization. Our aim here

Expansion of digital contacts(Net Promoter Score, an® indicator of customer
evaluation/recommendation)(as of FY2022)

in the areas of “ease of understanding of products” and“ability to make proposals and expertise.” Accordingly,

In addition to these in-house NPS® surveys, we use®

our customers. To sustainably increase the number ofCurrent status

The NPS® of Dai-ichi Life currently ranks in the
middle of the sector. The survey results revealed issues

the overall evaluation by customers.

we believe it is crucial to transform our business processes

Target for FY2026

we also conduct an in-house comprehensive NPS® surveythat integrates a series of customer experiences to conﬁrm

candidates
with a limit on
the number ofhires andfocus onperformanceand job
aptitude

Increase training quality and quantity● Expand the initial education period to one year

Number of hires(Persons)

4,160

2020

● Revamp the initial training system and newly establish the “Career College”

Approx. 40%
of 2019

Significantly extend the training period
Before revision
4 months

2,642

2,567

2021

2022 (Year)

2021

2022

Sophisticated andhomogeneous training

Stable salary systemallowing skill
specialization

Reform of the compensation system● Set attractive salary levels that attract excellent talentIndustry highest

Increase remotetrainings led
by the head office

After revision
1 year(FY)

Industry lowest● Create a stable compensation system that allows focusing on

skill proficiency and building a customer base

Variable portion
Fixed portion

Increase the fixed portion ofcompensation over 5 years*Prepared by the company based on “MAT-kit® (finance panel),” which includes surveys planned and conducted by INTAGE Inc.

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

44

Strategies & Performance

Protection

Neo First Life is expanding its insurance products and■ Social issues and vision

Dai-ichi Smart Small-amount and Short-term Insurance

services that help customers become more health conscious. It

offers fully digital insurance policies in which all processes

offers products and services mainly to customers who prefer toare completed through smartphones and other devices. In

compare through independent agencies. In July 2022, it launched

addition to expanding its product lineup, the company has“Neo Coach,” an application that helps to improve health checkup

launched a new claims payment service using electronic

Against the backdrop of a declining population due to falling

who will lead the next generation, fail to prepare for risk

results, and in September, it launched “Neo de Gan-chiryo,”money. In these ways, it strives to create new insurance

birthrates and an aging society, there is growing concern

because they cannot envision a clear future when they will bewhich allows customers to choose coverage corresponding toexperiential value.

about the future of Japanʼs social security system. In addition,

anxious about it, the “protection gap” will widen and anxiety

diversiﬁed cancer treatments and discounts premiums according

the COVID-19 pandemic has further accelerated behavioral

about their lifestyle will increase further in future generations.

Through this multi-brand structure of domestic

to smoking status. By providing new experiential values thatcompanies, we will deliver products and services to meet

In such uncertain times, we will take a role tofoster health promotion and disease prevention in these ways,

the diverse needs of our customers through their respective

affecting employment conditions and lifestyles. These

complement the social security system by co-creating life

Neo First Life took action to help customers achieve wellness.

channels.

circumstances have led to various economic and other social

designs based on the dreams and aspirations of individual

disparities and a divergence of values, which together hinder

customers and providing peace of mind through ﬁnancial

peopleʼs well-being and represent a social challenge.

security. In these ways, we will help to stabilize the lifestylechange and the diversiﬁcation of peopleʼs values, signiﬁcantly

While COVID-19 has raised peopleʼs health awareness

Multi-brand (Three domestic companies)

foundations of all people, including future generations.

and risk perception, the emergence of millennials andGeneration Z in Japanʼs working-age population has led
to a generational shift, and these younger generations are

Marketincreasingly turning away from insurance. If young people,■ Initiatives and results of this fiscal year
To satisfy the diversifying needs of customers with changing

In the group insurance ﬁeld,

values and lifestyles, our Group provides “protection” throughwe have begun offering “Anshin

three domestic companies: Dai-ichi Life, Neo First Life, andMy Package,” the life insurance

Dai-ichi Smart Small-amount and Short-term Insurance.

industryʼs ﬁrst package of

In Dai-ichi Life, around 35,000 sales representatives

multiple insurance products as

nationwide provide consulting while standing by each customer

a corporate welfare programand offer a product, “Just,” that allows customers to choose onlythat allows each employee tothe coverage they need. In July 2022, we renewed the “Total Life

select the coverage that he or

Design Plan,” a life plan simulation linked to the social security

she needs, thereby meetingsystem, and at the same time revamped our product lineup. We

the diversifying needs ofwill play a complementary role to the social security systemcompanies and employees

through consulting services that are more closely tailored toand contributing to the enhancement

each individual customer than ever before and will respond toof welfare programs.

Core generation
Comparison-oriented
in need of protection
customers

Millennials
and Generation Z

Products

Comprehensive
lineupMedical/health promoting
products

Fully digital
insurance

Main distribution
channelSales
representatives

Independent agencies(e.g., walk-in shops)

Digital direct(e.g., smartphones)■ Medium- to long-term initiatives

diversifying customer needs in a more detailed manner.

The spread of COVID-19 and rapid advances in digital

online-merges-with-ofﬂine (OMO) to deliver the best products,

technology and online communications have accelerated

services, and information to our customers at the best timechanges in peopleʼs behavior and values. As a result, weand through the best channel.

are shifting to a “new normal” world. In this society, where

By supporting closely each customer going forward, we

people can obtain necessary information online at any time,endeavor to foster the well-being of all people and be “By yourpeopleʼs values and needs are becoming more diversiﬁed andside, for life,” through continuing to provide reliable protection

segmented. Accordingly, we need to evolve from providing

for the working-age population by co-creating life designs,

products and services that comprehensively cover the entire

resolving issues faced by seniors in an aging society, andmarket to personalized offerings that resonate with individual

supporting the next generation responsible for our future.

customers based on their own values.

Total Life Design Plan

To appropriately respond to these changes, Dai-ichi
Life is undertaking a fundamental transformation of its
sales representatives channel by improving its consulting
services and signiﬁcantly revising its recruitment, salary, andevaluation systems, and training and follow-up systems.
In addition, we are enhancing our online services by
operating “Mirashiru,” an information site that delivers avariety of information related to money, health, and lifestyle,as well as our Groupʼs services, in a digital space, and bydigitizing various customer procedures. By combining theadvantages of our digital contact points with the strengthsof our real, face-to-face channels, we strive to realize our45

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

46

Strategies & Performance■ Medium- to long-term initiatives

Asset Formation/Succession■ Social issues and vision

To address the diversifying needs and values of customers

succession, while using external services and functions thatin the asset formation and succession area, we believe it ishave a proven track record in the digital ﬁeld.
Furthermore, to provide optimal solutions to each

important to develop highly convenient services from theJapan is said to be entering a “100-year life era” as its citizens

Asset-based Income Plan” in November 2022, in consideration

live longer. Under such circumstances, people are becomingof the current situation in which cash and deposits accountincreasingly concerned about their retirement funds due tofor the majority of personal ﬁnancial assets. The plan calls forthe risk that their asset life expectancy (the age when theira shift in personal ﬁnancial assets from cash and deposits toﬁnancial assets, including bank deposits and pensions, areinvestments in order to double asset income.

depleted) will not reach their life expectancy. Accordingly,

Committed to embody “By your side, for life,” thebuilding assets in retirement through self-help efforts

Group will rigorously address the needs of its customers

and extending asset life expectancy have become social

regarding self-help asset formation and extension of asset life

challenges.

expectancy. Our aim is to provide optimal solutions in line withIn Japan, while peopleʼs concerns about their retirement

individual needs.

funds are growing, the government formulated the “Doubling■ Initiatives and results this year
using Banking as a Service (BaaS) provided by SBI Sumishinof each of its businesses in the area of asset formation and

Net Bank, Ltd., and Rakuten Bank, Ltd.
Dai-ichi Frontier Life, which provides savings products

for individuals, the group annuities business, and the over-the-for individuals, introduced new products to meet a broadcounter sales business, as a means to enhance the products

range of customersʼ needs in the areas of asset formationand services that support the needs of our customers at eachand succession, including the August 2022 launch ofstage of their lives, including asset formation for younger“Premier Present 3,” which, in addition to functioning as a

generations, extending the asset life expectancy of middle-

savings product, provides protection against costs arising

aged and older generations, and passing assets down to thefrom dementia and nursing care. Dai-ichi Lifeʼs sales

next generation.

representatives also handle some of Dai-ichi Frontier Lifeʼs

In one speciﬁc initiative, Dai-ichi Life began offering

efforts to expand our service lineup, strengthen our digital

services that are tailored to the customerʼs lifetime withlinks with customers, and upgrade our consulting capabilities.

regard to both protection and asset formation/succession.

In addition to the medium- to long-term investment

In particular, it will be critical for us to reﬁne our consulting

knowledge and savings product development capabilities ofservices for customers in the pre- and post-retirement

Dai-ichi Life, Asset Management One, and other companies,

periods, when the need for asset management and asset

we will leverage the expertise and mobility of Vertex

succession is growing. We are promoting the development

Investment Solutions, which was established in ﬁscal 2022,

and education for human capital capable of providing value-

to expand our product lineup and thereby contribute ouradded consulting services that precisely meet the needs ofcustomersʼ asset formation and succession. We will also

our customers with the highest priority on their beneﬁts.

work to develop and strengthen a structure that allows us to

By combining the strengths of the Group, actively

offer the best possible product proposals, including the use of

considering alliances and M&A with companies outside theiDeCo and NISA, among others.

Group, and embarking on new initiatives while strengthening

formation and succession to an even greater number ofin October 2022. Moreover, Dai-ichi Life launched “Assetcustomers as part of the Group as a whole.

area of asset formation and succession, seeking to realize ourdigital platform service, “Asset Formation Plus,” will strive

customersʼ everyday well-being and address social issues.

to offer further support for customersʼ asset formation andAsset formation and management in an elderly society(Amount of assets)

Movements in the amount of assets(image representation)

Extended
employment

In addition, Vertex Investment Solutions has beenfunctions to provide advice and information to individual

established as a new asset management subsidiary ofcustomers on how to extend their asset life expectancy,

the Company. This company provides asset management

and to prompt people to think about asset formation andfunctions and solutions using the latest asset management

succession from a more familiar, everyday perspective.

technology.

the value chain, we will remarkably enhance our CX in thethat customers can use on a daily basis, Dai-ichi Lifeʼs

products, thereby delivering the experiential value of asset

a new plan for iDeCo, “Dai-ichi Lifeʼs iDeCo Mirai-Deco,”
Formation Plus,” a digital platform service that uses digital

customer, we believe it is important to provide consulting

To evolve into a more convenient and attractive service

The Group aims to bring together and leverage the strengths
succession, including the savings and mutual fund businesscustomerʼs perspective. To this end, we will further accelerate

Original

Continue
asset
management

Going forward

Planned withdrawal

Build assets(e.g., use of NISA, iDeCo)

Around30 years old

Around40 years old

Around50 years old

Around60 years old

Extension of asset life

Around70 years old

Around80 years old

Around90 years old

Around(Age)
100 years old

Source: Summary of “Asset Building and Management in an Aging Society,” Report of Working Group on Financial Markets, Financial System Council, Financial Services Agency“Asset Formation Plus” also provides net banking services

New Products in FY2022

Comprehensive Group strengths

Digital Platform Service: Asset Formation Plus

Dai-ichi Life Group

第一生命のDai-ichi Life Insurance
Asset Formationand Succession Business●47

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Brand strength/recognition
as a leading life insurer●

Customer base●Life Designer●

Nationwide network ofbranches and ofﬁces

Asset Formation and Succession Business

Dai-ichi Life InsuranceGroup Pension Business● Long-standing consulting

know-how and recognition forcorporate pension plans andinvestment management● Know-how in developing andoffering corporate pension
management products● Corporate client base andsales force● Nationwide corporate sales
networkDai-ichi Frontier Life
● Top market share and brandof insurance soldover-the-counter at banks● Speedy and agile productdevelopment capabilities● Agent support capability● Nationwide network ofﬁnancial institution agents

Asset Management,
Real Estate Business● Exceptional asset

management know-how● Presence as a leading

institutional investor in Japan● Knowledge of domestic andinternational asset
management business

Dai-ichi Life Holdings Integrated Report 2023

48

Strategies & Performance

Health and Medical Care
■ Social issues and vision■ Medium-to long-term initiatives

As Japan faces a super-aging society, the growing gap between

institutions after an illness shows symptoms or when the

To solve social issues such as the widening gap between life

services to a wider range of customers, including employers

life expectancy and healthy life expectancy and the ﬁnancial strain

risk of serious illness has increased, driving up the costs of

expectancy and healthy life expectancy and the increasing

and health insurance associations.

on health insurance associations and other insurers due to the

medical care in Japan.

cost of medical care, we believe it is vital to promote peopleʼshigh level of national healthcare costs are becoming social issues.
While everyone can access medical care with peace of

By supporting health from the early stages of illness,

Since the coronavirus pandemic, great strides have been

health and prevent the onset of severe illness.

made in the health and medical ﬁelds in terms of online accessIn the medium to long term for example, we are

and digitalization. In keeping with these global changes, we willmind thanks to a well-developed medical system that includes

healthy life expectancy, thereby improving the well-being of allconsidering providing a seamless platform that allows

provide one-stop support from health promotion to prevention

universal health insurance, people tend to visit medicalof our customers for years to come.

individuals to identify future risks at an early stage and easilyof disease onset and reduction of disease severity throughaccess appropriate medical institutions as a preventive

face-to-face and digital services in collaboration with companies

measure or engage in preventive medical care by themselves.

in various healthcare ﬁelds. We will continue to strengthen our

In addition, we will seek to improve our services by reﬂecting

Group strategy to have a greater social impact in areas such as

customer opinions and requests through the provision ofextension of healthy life expectancy.

the Group is working to optimize medical costs and extend■ Initiatives and results
Based on an understanding of current social issues, we
provide “Healstep®” as a medical cost optimization support
service for health insurance associations.
“Healstep®” broadly consists of four services:

Number of Healstep® subscriptions and
QOLism health promotion application user IDs issued(cumulative results and cumulative targets)
390,000(1) Visualization of future disease risks and medical costs with a

270,000

future medical cost prediction model (AI engine),(2) Formulation of a response policy based on visualized data,(3) Assistance with online health guidance and other matters incooperation with service providers, and (4) “QOLism,” a healthpromotion app for health insurance association members.
Through these services, we offer a wide range of content tohelp individual customers improve their well-being, including

service85

170,000

2021(actual)2022(actual)Number of Healstep® subscriptions

2023(target)*Number of User IDs issued: Maximum number of people who can use the app

we won the “Grand Prize” being acknowledged by healthinsurers and employers. While the Japanese government plans

insurance associations, local governments, companies, and otherto launch the third Data Health Plan* in ﬁscal 2024, we haveorganizations. QOLism has also been well-received externally,received positive feedback from our customers about theincluding by the Good Design Award (sponsored by the Japan

opportunities for them to interact with other customers andInstitute of Design Promotion) in 2022. The number of healthobtain the latest information from industry experts.
We will continue to listen to our customers, further

steadily increasing, and we have also begun to provide part of our

expand our services, and provide support to boost theservices to support health management for employers.

effectiveness of our initiatives.

In ﬁscal 2022, we held “Healstep Meetings” for health insurance*Data Health Plan: A business plan to effectively and efficiently conduct healthinsurance business based on the analysis of data derived from healthexaminations and receipt information through the PDCA cycle.

associations using Healstep® and “Healstep Webinars” for2

service3

servicePublic healthbusiness
implementation
support service

Formulating data healthplans and individual publichealth business plans

Number of user IDs issued

Fair (sponsored by the Ministry of Health, Labour, and Welfare),insurance associations that have adopted Healstep® has been

service

Data health planningutilizing PDCA AI
consulting

FY

2022年実績・・・ヘルステップ契約数45件、ユーザー ID数27万人*Number of Healstep® subscriptions: Number of customers who have adopted
2023年度目標
・・・
ヘルステップ契約数88件、
through exercise,
diet,
and
mental health. ユーザー ID数39万人
any of the Healstep® services (1) to (4)※数値の定義が昨年度と変わっていないか？ 21年度実績は昨年度の数値のままで良いか？要確認。

At the 2021 Data Health and Prevention Service Trade

1

Data analysis reportsthat incorporate
medical costs
forecast using AI

45

29“Healstep®,” a medical cost optimization support service

4

Health andmedical care app

Suggesting risk-speciﬁc
service providers

Full support of the Data Health PDCA cycle despite
the slimming down of public health administration

Visualizing
future risk

Measuring effects,
Proposing improvements

Lifestyle
improvement program

Unifying counters

Initiatives in the health & medical care domain
Medical treatment required
Healthy

At risk of disease“QOLism” health promotion app

Undiagnosed

Outpatient

Health insurance associations/companies
Image of dashboard for association administrators
Management tool to visualize application usage by association
members.
Supports health promotion activities by association administrators.

Health promotion program
Welfare program

Dai-ichi Life Group

Behavioral change content
Primary/secondary health checkup management

Collaboration with healthcare service providers to promote health, prevent the onset of disease, and reduce disease severity
Meals

49

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Exercise

Sleep

Medicalcheckup

Healthconsultation

Diagnosis/
treatment

Medication

Dai-ichi Life Holdings Integrated Report 2023

50

Strategies & Performance

Enhancing Connections■ Social issues and our vision

Special Feature:
Acquisition of ipet Holdings as a Subsidiary

Against the backdrop of a declining birthrate, aging population, digitalization, and diversifying lifestyles, we are entering an era inwhich people seek not only tangible wealth but also spiritual wealth, with each individual seeking fulﬁllment and happiness in life.
Social connections that are essential to peopleʼs health and longevity play an important role in improving the well-being ofeach individual. With the declining population and concentration of people in metropolitan areas, however, Japanʼs regional areas
must meet the challenges of local development and activation. Collaboration and co-creation with local governments and business
partners are key to solving these issues while raising each customerʼs QOL.
With our mission “By your side, for life,” we stay close to each our customers throughout their lives, and through collaborationand co-creation with external parties, we are addressing issues in each region and realizing the value of experiences that can
improve our customersʼ QOL. And by providing various connections, we are helping to create afﬂuent and secure lives and society.

The Best Partner in the “ Enhancing Connections ” Area
In March 2023, ipet Holdings became a wholly owned subsidiaryof the Group. We began a business alliance with ipet Insurance,a subsidiary of ipet Holdings, in 2019 and have since built a
relationship of trust through sales of pet insurance and theexchange of employees in the form of Dai-ichi Lifeʼs sales■ Initiatives and results

representatives.
In recent years, the status of pets in the home has changed

Dai-ichi Life is leveraging its regional network of 1,245 sales ofﬁces and branch ofﬁces and approximately 35,000 sales
representatives around the country to resolve issues speciﬁc to each region. As of March 31, 2023, we had “Local Cooperation
Agreements” with 47 prefectures and more than 330 local governments at the municipal level. The trust and goodwill that ourbranches and sales ofﬁces across Japan have generated through their efforts to solve local issues has culminated in partnerships
with many local governments, and we are further deepening these ties through efforts to solve local issues including healthimprovement, support for the elderly, childcare, promotion of womenʼs activities and community revitalization.
We have also been expanding our partnerships with ﬁnancial institutions and companies in other industries with the goal ofdramatically as nuclear families have become the norm. Pets
have become as important as family, hobbies, and health in
improving peopleʼs QOL. We judged that ipet Holdings, for which
the management philosophy seeks to protect the health of pets andcreate a society where pets and people can live together in good
health, would be the best partner for our Group in the area of “Enhancing Connections.”

providing new experiential value that raises QOL for our customers. With each individualʼs sense of values diversifying, we begancollaborating with new business partners to introduce services related to housekeeping and a hometown tax program in 2022 todeliver customer experience value that goes beyond the framework of insurance.
In January 2023, we made ipet Holdings a subsidiary as a novel initiative in the “Enhancing Connections” area. As such, weare striving to provide peace of mind to families and their pets, while creating new experiential value.

Providing value beyond the life insurance business domainWith pets becoming ever more important members of the household,the pet-related market is continuing to grow steadily, and pet
insurance in particular is a market that is showing strong growth.
Through the acquisition of ipet Holdings as a subsidiary, the■ Medium-to long-term initiatives

Group has expanded its business wing into pet insurance, which isContinuing our efforts on “Enhancing Connections” between communities and customers over the long term, we are promoting
initiatives that lead to new experiential value by sharing within the company initiatives that contribute to solving local issues andincorporating ideas and knowledge. Moreover, through collaboration and co-creation with local governments and business partners,
we believe that we can create social and economic value for the Group by remaining close to our customers in their daily lives,
helping them raise their level of well-being, and solving social issues without being bound by the framework of insurance, while

unusual in Japan in that it is a coverage market with a high growthrate. Furthermore, we will be positioning this acquisition as a new
initiative to provide value to our customers beyond the conventional
life insurance business domain, from the perspective of “Enhancing
Connections.”

creating a chain of connections.
Local problem-solving initiatives at branchand sales offices nationwide

Expansion of QOL services at Dai-ichi Life
Introduction ofnursing homes andsenior citizen housing

Introduction ofhousekeeping
Introduction ofservices
mortgage refinancing
services

Introduction of
end-of-life support
services

51

Kyoto General Branch Office

Okayama Branch Office

Promoting local sports andeducation to improve the QOL of
local residents

Carrying out educational activities
to prevent victims of phone fraudin cooperation with the Okayama
Prefectural Police

Introduction・Message

Value Creation
Story

Strategies &Performance

Introduction ofa hometown
tax program site

Employee Comments

Dai-ichi Life Holdings Corporate Planning Unit

Juntaro Inamasu

We are very pleased to welcome ipet Holdings to the Group. ipet Holdings and Dai-ichi Life havebeen collaborating mainly in the area of pet insurance sales since the alliance began in 2019.
With the addition of ipet Holdings as a Group company, we intend to redouble our efforts as a

Introduction ofgeneral inheritanceservices

Introduction ofbusiness succession
and M&A services

Sustainability &Management Base

GovernanceSupport forworking women

Introductionof home security
servicesData

unified group to deliver peace of mind to families with pets as we respond to the diverse needs of our customers.

Dai-ichi Life Holdings Integrated Report 2023

52

Strategies & Performance

Overseas Business Strategy

New initiatives■ Initiatives toward further growth

As a driver of the sustainable growth of theGroup, we contribute to the well-being of ourglobal customers and Group companies as well
as fellow employees who are active around theworld.

In our overseas business, we continue our efforts to achievewith innovative and unique start-ups that have cutting-edge

further growth for the overall Group by pursuing high-quality

digital technologies.

investment opportunities with high capital efficiency, while

management style and advanced know-how, and will build amake new value propositions.

resilient business portfolio that would not easily be affected

To expand the life insurance business, we are working■ HistoryThrough these initiatives, we aim to acquire an agile

expanding the life insurance business and exploring ways toby changes in the external environment.

to increase the profit scale by broadening the traditional life

As a result of these efforts, we were able to make theinsurance business with our know-how and extend into newfollowing acquisition and investment in fiscal 2022, which willregions. Moreover, with regard to exploring ways to makelead to the improvement of the risk profile and profit growth

new value propositions, we are seeking out new opportunitiesof the Group.

across the world, including investment in and partnerships

We considered overseas business as a major up-and-coming

overseas expansion strategy through entering the worldʼs

growth area and started operations in Vietnam as the firstlargest market. Moreover, we enhanced the functions of ourJapanese life insurer in 2007, which paved the way for ourGroup headquarters in Tokyo and established two regional

full-scale overseas business expansion.

headquarters in New York and Singapore to form a global

We invested in and concluded a strategic businesstrilateral structure as a way to enhance Group governance/

alliance with Thailand insurer OCEAN LIFE in 2008 and started

management and support the sustainable growth of ouroperations of Star Union Dai-ichi Life in India, which wasoverseas Group companies.

founded as a joint venture together with two Indiaʼs leading

During the past few years, we launched operations

state-owned banks, in 2009. Moreover, we expanded ourin Cambodia in 2019 and in Myanmar in 2020 throughoperations within the Asia-Pacific region by completing theestablishing new subsidiaries. Moreover, we acquired New

acquisition of Australian insurer TALʼs equity, which became a

Zealand insurer Partners Life in 2022, which is the ninth

wholly owned subsidiary in 2011, and investing in Indonesiancountry outside of Japan where our Group companies

insurer Panin Dai-ichi Life in 2013.

operate. We also invested in YuLife, a U.K.-based insurtech

We acquired U.S. insurer Protective in 2015, thereby
further diversifying our business portfolio in terms of regions

company in the same year, which contributed to our balanced
business portfolio.

■ Acquisition of Partners LifeIn November 2022, we acquired 100% of the shares of Partners Life to make it a wholly owned
subsidiary. Partners Life is a life insurance company group that grew to become the second
largest insurer in the New Zealand market in about 10 years since its founding by offering
simple and advanced protection products via an independent ﬁnancial advisor channel.
Although New Zealand is a developed market, the insurance penetration (life insurance
premiums as a percentage of GDP) is relatively low, and despite being small in size, it is amarket with stable growth potential.
The acquisition of Partners Life is expected to further diversify the geographicaldeployment of our business and contribute to supplementing and stabilizing the proﬁts of
the Group. Moreover, it improves the Groupʼs risk proﬁle by incorporating Partners Lifeʼs risk
features, centering on insurance risk, and facilitates the acquisition of the organizational
capabilities that we need, such as agile development and the operation of cloud-based
systems and outstanding digital capabilities, which have been the driving force behind theand market growth stages as well as accelerating ourcompanyʼs rapid growth.

■ Review of fiscal 2022

■ Investment into YuLife

Adjusted profit from our overseas business was ¥62.9 billion

March 2023, the overseas business accounts for about 34%

in fiscal 2022. Although the adjusted profit decreased fromof the Groupʼs total adjusted profit and continues to drive the

In July 2022, we invested in YuLife, an online group insurance and well-being

the previous fiscal year due to rising overseas interest rates

Groupʼs sustainable growth.

company that has been growing rapidly by leveraging digital technology sinceand declining bond prices after the U.S. bank failures in

its establishment in the United Kingdom in 2016.

■ Overview of our overseas business strategy

products and services are designed to enable members to receive various

In addition to the protection function of group insurance, the companyʼs
beneﬁts (points that can be exchanged for goods, miles, and vouchers) in
Moreover, we will pursue high-quality investment

return for continuous health promotion activities through its all-in-one app.

to the well-being of the people around the world and toopportunities with high capital efﬁciency to achieve further

The beneﬁts are also devised to encourage continuous changes in behavior

increase the overall Groupʼs sustainable corporate value

growth while we expand our life insurance business throughamong members by utilizing the latest behavioral science knowledge.

by generating free cash promoting our growth strategy andadvancing into new countries and exploring new businesspursuing capital efﬁciency.

ﬁelds.

The major mission of our overseas business is to contribute

Moreover, members can manage group insurance policies andadditionally enroll in individual insurance, and this is unique in that it provides

Existing businesses aim to expand sustainable proﬁt

In addition, we are working to enhance and sophisticate

contributions by supporting the steady implementation of

the management system that supports sustainable businessour growth strategy in accordance with the growth stage andgrowth by holding various meetings attended by the seniorbusiness challenges of each overseas Group company.

management of overseas Group companies.

group insurance, individual insurance, and well-being experience in an
integrated manner.
Furthermore, YuLife has the ﬂexible and agile culture typical of startups. While learning from its successes including its culture, we will promote
initiatives to enhance our existing domestic and overseas business, build
synergies, and create new businesses by utilizing the companyʼs digital
capability and knowledge.

53

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

54

Strategies & Performance

Existing businesses■ Business strategy of TAL■ Business portfolio management

Australia is a developed country with an established life

ability for customers to check their own claims status. In

In our overseas business, we aim to contribute to the well-being of our

insurance market. The current market outlook indicates

addition, a range of other improvements are under way thata stable proﬁtability proﬁle and stable economic growth

aim to enhance the customer experience across the value

together with a growing population.

chain and improve process efﬁciency through the adoption ofcompanies. We are expanding our business broadly in markets at different
stages of growth, such as the United States and Australia, where stable
growth is expected; Vietnam and India, where high growth is being achieved;
and Cambodia and Myanmar, where profit growth is expected over a long-

Stable growthand immediate profits

term horizon.
Characteristically, by supporting the business growth of overseas
Group companies, we are building a business portfolio that can create valueof new business and profits in a well-balanced manner.
While ensuring the financial soundness of our overseas GroupHigh growthand medium-to long-term profits

Enhancing profit scale
and free cash generation

customers and all people through the business activities of overseas GroupFirst-mover advantage
and ultra-long-term profits

companies, we will contribute to enhancing the Groupʼs corporate value by
reallocating surplus capital, which is generated from business operation andrisk reduction, to businesses expected to have higher capital efficiency and

TAL aims to provide customers with ﬂexibility indigital technology.

product and beneﬁt selection, enabling each customer toAs the leading life insurer in Australia, TAL strives tomeet their life plan through the combination of protections.

generate stable proﬁts and places a continued focus on

Furthermore, TAL places importance on the health andgrowing the business through new and existing partnerships

well-being of all customers and offers a range of initiatives

and scoping additional growth opportunities.

to facilitate improved customer health outcomes through arange of discounts on insurance premiums focused on eachcustomerʼs BMI and mental well-being.
TAL pursues a multichannel strategy centered on retail,direct, and group life insurance (superannuation funds)
and will continue to grow and strengthen relationships with

Futurenew and existing distribution partners. In August 2022, TAL

higher growth.

acquired Westpac Life, a life insurance subsidiary of Westpac
Banking Corporation, one of Australiaʼs leading ﬁnancial■ Business strategy of Protective

groups, enabling TAL to offer greater life insurance access to

The United States is the worldʼs largest life insurance market

and acquisitions based on its rich know-how accumulated

and is expected to stably grow in the future with an increasing

through past acquisitions experience, targeting existing

population and a growing economy.

individual insurance block, annuity block and entities

The recent business environment has seen significant

operating asset protection business.

economic changes such as rising interest rates, heightened

Even under an uncertain economic environment,

inflationary pressure, and collapse of some U.S. banks. Amid

Protective strives to continuously contribute to stable profits

these conditions, Protective intends to expand the size andfor the Group as a core entity in the overseas business by

profitability of its business via a unique business model thatenhancing its risk management system while absorbing asset

stably generates capital from retail business and effectively

management know-how provided from the Group.

utilizes its capital in the acquisition business.
In the retail business, Protective offers protection

more Australians through the Westpac banking channels.
TAL places considerable focus on DX having recently
automated the underwriting process and launched a digital
capability for customers ﬁling a claim; this also includes the■ Business strategy of Dai-ichi Life Vietnam
Vietnam's life insurance market continued its double-digit

Dai-ichi Life Vietnam aims for sustainable corporate value

expand due to the large young population, low penetration of

growth through increasing market share in total Premiums

life insurance, and high economic growth.

by providing the best life insurance products and customer

Dai-ichi Life Vietnamʼs main products are universal life

products centered on term insurance and a wide range ofUnder the corporate mission of “Lifetime Partner,”

growth in total Premiums and is expected to continue toservice.

insurance, which allows customers to flexibly adjust premium

fixed and variable annuities in savings-type products thatpayments according to their life stage, and unit-linked life

provide solutions to meet various customer needs.

insurance, which allows customers to choose their investment

Protective is strengthening traditional distribution

methods, while also expanding the offering of riders such as

channels such as independent agents, actively developing

those for healthcare.

new distribution channels such as non-life insurance agents,

With regard to the distribution channel, Dai-ichi Lifeand reinforcing the wholesaler functions that support thoseVietnam focuses on recruiting agents among young people

channels.

and developing those agents for extended careers via a

Furthermore, Protective pursues initiatives such asrevamped training program and enhanced digitalization. An

digitalizing the customer process of application for a newalternative distribution channel centered on banks promotes

contract to improve customer convenience, while reducing

initiatives to strengthen relationships with partners throughoperating costs.

various training programs and digital technology.

In the acquisition business, Protective aims to

Dai-ichi Life Vietnam continues to improve the customer

strengthen its profit base by continually executing mergers

experience by promoting the digitalization of customer
service through apps and cashless premium payments, etc.

55

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

56

Strategies & Performance

4 Experiential Values in CX in the Overseas BusinessBusiness operation■ Enhancement of the global management system
With the aims of utilizing our global knowledge and enhancing

business management, and support systems in their

our management, the Group has established a meeting bodyrespective regions.

(Global Leaders Committee: GLC) consisting of the senior

In particular, at the regional headquarters for the Asia-

management of overseas Group companies and Dai-ichi

Pacific region, we are working to enhance the management■ Protection
The overseas Group companies are enhancing their lineup of protection productsLife Holdingsʼ executives to discuss medium- to long-term

system by incorporating more global perspectives, foroverseas business strategies. Through these meetings, we areexample, by appointing executives regardless of theirpromoting joint initiatives to solve common Group issues andnationality who have driven growth in overseas Groupsharing the Groupʼs philosophy and policies. In fiscal 2022,

companies.

while utilizing digital technologies to improve the customer experience. For
example, TAL has introduced the capability for customers to ﬁle claims online,
upload the necessary documents, and check the status of their claims. Currently,

we welcomed the CEO of Partners Life, a new member of theapproximately 50% of Group life insurance claims are processed online. TALGroup, and had even more active and open discussions.

also utilizes AI to improve the efﬁciency and speed of underwriting and claims

In addition, with a view to further developing ourprocesses and continues to enhance its cybersecurity measures to deliver

business portfolio, we have established a meeting bodycustomers peace of mind in using these services.

(Global Strategy Board: GSB) to discuss and offer advice on

Furthermore, TAL places signiﬁcant focus on listening to customers

overseas strategies from overall optimization perspectives

through its established NPS® program, which helps identify customer experience

as a Group. Our senior management, including the former

improvement insights and opportunities.

management of overseas Group companies, gathers todeepen discussions centered on strategies related to■ Asset Formation/Succession

overseas business and overseas human capital.
Our regional headquarters in the Asia Pacific and North

To meet customersʼ various asset formation needs, we are expanding theAmerica have been strengthening appropriate governance,

Commemorative tree planting by GLC members at the Sogo Memorial Hall
(former residence of our founder)

variety of savings-type insurance products at overseas Group companies. For
example, Star Union Dai-ichi Life in India, a country expected to see a highlevel of economic growth in the future, offers traditional endowment andannuity insurance as well as unit-linked insurance, where the insurance amount

Outlook

ﬂuctuates depending on investment performance, and supports asset formation■ Future outlook of the overseas businessby suggesting insurance products based on each customerʼs goals, asset status,

The overseas business is entering an era of rapid change

To respond appropriately to these urgent issues andwhere future prospects are difficult to predict. The market

continue to deliver value to our stakeholders, we will drive

environment remains unstable, with global inflation andthe sustainable profit growth of the Group by expanding thesubsequent interest rate hikes, and further measures willprofit contributions of existing businesses and exploring

be required to accommodate regulations such as the

new initiatives. Leveraging the life insurance know-how that

International Capital Standards (ICS) and trends related to

we have cultivated over some 120 years, we will continue toclimate change. Moreover, it is necessary to keep paying

pursue sustainable value creation from a global perspective

close attention to changes in consumer behavior in the post-

while cooperating and collaborating with overseas GroupCOVID era as well as to geopolitical and human rights risks.

companies.

Adjusted profit in the overseas business■ Health and medical care
Overseas Group companies are also pursuing initiatives that contribute topeopleʼs health and medical care in various ways. For example, Dai-ichi Life
Vietnam has conducted virtual run events in recent years, in addition to existing
activities such as installing water purifying systems for schools and charity
support for cataract surgeries. Dai-ichi Life Vietnam donated approximately 5billion đồng (about ¥30 million) in 2022 to the economically disadvantaged forContribution of the overseas businessto Group total adjusted profit(¥ in billions)risk preferences, and other factors.

Overseas BusinessApprox. ¥62.9 billion

Approx. ¥62.9 billion

Approx.

34%

FY2022
Group adjusted profit

184.4 billion

Approx. ¥exercise such as walking and jogging by participants and continues to promote
corporate social responsibility and contributions to peopleʼs health in Vietnam.

■ Enhancing Connections
Overseas Group companies also contribute to solving issues and developing
local communities through connections with each community and its residents.
For example, Protective provides grants for research activities related toextending healthy life expectancy at the University of Alabama at Birmingham
and supports efforts to solve challenges facing the aging society throughProtective Life Foundation. Moreover, it continues to provide support throughscholarships, awards for excellent achievers, sponsorships for sporting events,

Domestic
and other2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

57

Introduction・Message

Value Creation
Story

Strategies &Performance

donations to various NPOs, and volunteer activities.

(fiscal year)

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

58

Sustainability

Management Base

Message from the CSuO

Positioning of Sustainability in the Dai-ichi Life GroupIn our medium-term management plan “Re-connect 2023,” we have positioned sustainability initiatives aimed at tackling “material

Sustainability Promotion

issues related to the global environment, local communities and society,” and for the promotion of “the well-being of employees,”
who are dealing with the material issues, as the foundation of our business activities.
For example, in the area of global environmental initiatives, we have identiﬁed climate change as the most important issue,

By promoting sustainability, we demonstrate ourcommitment to the “ sustainable well-being ” of all
stakeholders, society, and the global environment.

and are aiming to achieve “Net Zero” from the perspectives of both an institutional investor (through investment of premiums
received from policyholders) and an insurance provider (through operations and management related to the insurance business,etc.). In addition, we are working with local governments across Japan to resolve region-speciﬁc issues, such as health promotion,
education and the empowerment of women. These activities are now also carried out at overseas group companies in the UnitedStates, Oceania and Southeast Asia.

Hidehiko Sogano

Business activities
Creation of the Four Experiential Values

Sustainability

My name is Hidehiko Sogano, and I was appointed Chiefthen take action. As the core subsidiary, Dai-ichi Life has

Sustainability Ofﬁcer (CSuO) in April 2023. To further

already set a goal of achieving net-zero emissions by 2050

strengthen the Groupʼs sustainability efforts, this CSuO

and is taking steady action to achieve that goal. This ﬁscal

position was created in the CXO system and Sustainability

year, we formulated our Net Zero Transition Plan as a clear

Ofﬁce was established within the Corporate Planning Unit inroadmap for reaching our target. We have formulated action

the current ﬁscal year.

plans, mainly focusing on the activities of Dai-ichi Life, ofPromoting sustainability encompasses a wide variety

what we have been working on and what we plan to work onof topics, including addressing climate change, biodiversity,

to “promote net-zero transition of the real economy throughand other environmental issues, as well as respect for humaninvestment and ﬁnancing activities” and “achieve net-zerorights and diversity, and governance. In addressing theseemissions from business activities” as a ﬁnancial institution.

issues, we aim to provide the “sustainable well-being” toIn addition, we are a member of various international

all stakeholders, the society they comprise, and the globalorganizations that develop guidelines for such action plans

environment that surrounds them. Even if we focus on only

and actively participate in the drafting of new frameworks

environmental issues, for example, unless the individuals

from the outset. Since the establishment of GFANZ*, for

who are trying to resolve the issues feel a sense of security

example, we have actively participated in various working

across generations and a sense of well-being to lead a richgroups, with the cooperation of the Groupʼs overseas ofﬁce.

and healthy life, the efforts will not last long. If the society

In addition, this ﬁscal yearʼs Integrated Report includes a new

supports such efforts, it will spark a movement that willsection on promoting biodiversity. We also engage in humanspread and become a force for ensuring the sustainability ofrights due diligence efforts to ensure respect for such rights.

Health and Medical care

Global environment

practices among Group companies. Also, the outcomes ofstrives to maintain an environment that ensures diversity,

such efforts are discussed by internal ofﬁcers and employees,

fair and equitable evaluations, and the freedom to work in

as well as all Board members. In these ways, we have been

a way that allows each individual to think freely. In suchchallenging ourselves to promote sustainability in every

an environment, we ask ofﬁcers and employees to always
consider what will foster the well-being of customers and all

direction.
Through the aforementioned efforts, we are conﬁdent

other stakeholders. In ﬁscal 2022, the Group Sustainability

that the Group will continue beneﬁting all stakeholders in a

Committee, which actively incorporates the opinions ofsustainable manner. In the following pages, we provide details

outside experts, engaged in discussions about the ways toon initiatives promoted by the Group in the hope that you

ensure the sustainability of society by providing the Fourunderstand and support our commitment to sustainability. We

Experiential Values, customer experience that extends beyond

would also like to receive your honest feedback, so please do

the boundaries of insurance.

not hesitate to contact us.

The global environment is changing all the time, andthe international community is becoming more uncertain.
We need to think independently about what we can do for* Glasgow Financial Alliance for Net Zero: The worldʼs largest alliance offinancial institutions committed to net-zero emissions.

the sustainability of society and the global environment andValue Creation
Story

Strategies &Performance

Protect and improve
the well-being of all

Enhancing Connections

Climate change as the most material issue■ Sustainability Promotion Structure
The Group is building a sustainability promotion structure centered around the Group Sustainability Committee to make meaningful
contributions to the realization of a sustainable society. In April 2023, a new position of Chief Sustainability Ofﬁcer (CSuO) was
created for an individual tasked with promoting the Group sustainability strategy and chairing the Group Sustainability Committee.
A number of initiatives, including those designed to tackle climate change, are discussed by the committee and reported regularly
for review to the Executive Management Board and the Board of Directors. Further, the Group includes sustainability criteria,
including indicators related to progress in reducing CO2 emissions, as part of evaluation criteria for performance-linked stock-based
remuneration for directors and ofﬁcers.

Board of Directors

Supervision

Executive Management Board

have evolved into Groupwide initiatives as we share best

the well-being of each and every ofﬁcer and employee andIntroduction・Message

Society

Sustainability &Management Base

Governance

Data

Reports

Group Sustainability Committee
Execution

Based on these ideas, the Group places importance on

59

Asset Formation/Succession

These wide-ranging initiatives related to sustainability

the entire planet.

Group Vision

Protection

Employee well-being

Value
Creation

Director, Managing Executive Officer,
Chief Sustainability Officer

Various committees

Committee
Chair

Chief Sustainability Officer（CSuO）

Members

CEO, CFO, CRO, Heads of each unit, including Corporate
Planning Unit, Human Resources Unit, International Life
Insurance Business Unit and the Presidents of Dai-ichi
Life, Dai-ichi Frontier Life, Neo First Life, etc.

Collaborates●

Group ERM Committee●

Group Compliance Committee●

Group Human Rights
Awareness Promotion
Committee, etc.

Note: External experts and such are invited in accordance with the theme

Secretariat

Sustainability Office in the Corporate Planning Unit

Domestic Group companies
Dai-ichi Life
● Employee Well-being
Improvement Committee● Responsible Investment
Committee, etc.

Collaborates

Dai-ichi Frontier Life

Neo First Life

Global meetings
Global Leaders Committee (GLC)◆ Group Initiative Task Force (GITF)◆

etc.

Collaborates

Overseas groupcompanies

Dai-ichi Life Holdings Integrated Report 2023

60

Sustainability

Management Base■ Group Sustainability Committee
The Group Sustainability Committee discusses Group policies and strategies regarding sustainability, effective publication of

Initiatives to Respect Human Rights

information including external commitments, and monitoring of the implementation of initiatives at each Group company, from a
medium- to long-term perspective throughout the Group. These discussions all consider the opinions of several external experts.
The Committee then reports its discussions to the Executive Management Board and the Board of Directors.

Recent topics of discussion
Month

Main external experts*
Overview

Resolving social issues in the areas of “Protection” and “Asset
Formation/Succession”● Promoting Diversity and Inclusion (D&I)● Expansion of climate-related disclosure

September ● Resolving social issues in the area of “Health and Medical Care”● Promoting sustainability via the life insurance business
2022
December2022
February2023
May 2023

Resolving social issues in the area of “Enhancing Connections”
Promoting D&I and other human capital strategies● Review of external ESG assessments and future challenges●●

Resolving social issues in the area of “Health and Medical Care”"● Human rights due-diligence initiatives● Response to climate change and future issues● Sustainability Promotion Structure●

principles (the DSR Charter) that enumerates the value

Sustainability initiatives and the positioning of business activities
Transition finance initiatives at Dai-ichi Life
● Expansion of climate-related disclosure (Transition Plan)system that all executives and employees cherish. One article

be a company rooted in a value system of “respect for humanof this charter declares that we work to have “respect forrights” that seeks happiness for all, and works to develop

Toshiya Hoshino

human rights” and establishes the “Dai-ichi Life Group Human

employees who act in all situations with a mind to constantly

Director, ESG Integration ResearchCenter, Graduate School of Osaka
University

Rights Policy.” In addition, the core company of the Dai-ichi

care for others and who correctly understand the principles

Life Group, Dai-ichi Life, includes content regarding humanand guidelines related to human rights.

Peter David Pedersen

approve of any violation of any human rights in the pursuit of*Participants are invited as appropriate based on
the theme of each session.

●international community for human rights respect, we aim toRepresentative Director, Well-being forPlanet Earth Foundation

Co-founder of E-Square Inc. andRepresentative Director of NELIS●

Along with our Groupʼs early grasp of the trend in the

The Dai-ichi Life Group has established a set of Group action

Yoshiki Ishikawa●

June 2022■ Basic way of thinking

rights in its “Code of Conduct,” prescribing that we do notbusiness.

Dai-ichi Life Group Human Rights Policy
https://www.dai-ichi-life-hd.com/en/sustainability/
initiatives/rights.html■ Promotion of human rights due diligence
Committed to respecting the human rights of all business-related stakeholders, including those in the supply chain, the Dai-ichi LifeGroup pursues ongoing human rights due diligence initiatives in the following ways.

Message from External Expert

Representative Director, Wellbeing for Planet Earth Foundation

Dai-ichi Life example: Human rights due diligence initiative (PDCA cycle)

Yoshiki Ishikawa

Ph.D. in Medicine from Jichi Medical University after graduating from Faculty of Medicine, University of Tokyo and Harvard
School of Public Health. Researcher in the field of preventive medicine. Specializes in preventive medicine, behavioral science,computational creation science and conceptual evolution. Conducts interdisciplinary research with companies anduniversities on the theme of "What is the meaning of a Good Life?”

I have been participating in the Dai-ichi Life Groupʼs Sustainability Committee as an external expert
since ﬁscal 2021. The Group is committed to continuously improving its corporate value under the vision of “Protect andPCommit to the declaration of the Group
Human Rights Policy and promote thoroughknowledge of it within the company

D

Perform periodic evaluation of identification andinfluence of human rights risks related tobusiness in every organization in the company

A

Periodically disclose the state of initiatives,
and reflect the resulting opinions andevaluations back into the policy

C

Take measures to prevent/mitigate human rights
risks, correct/remedy human rights violations
when they occur, and measure the effectivenessof measures taken

improve the well-being of all.” At the committee, we have been discussing the Groupʼs value creation story, materiality
organization and business connections in order to achieve this vision. The outcomes of these discussions can be seen
objectively in the Dow Jones Sustainability Indices and other indices, which compare Dai-ichi Life Holdingsʼ progress in

In promoting human rights due diligence, we have put the following systems in place.

promoting sustainability to other companies.
The Dai-ichi Life Group will continue to make further efforts to demonstrate its uniqueness (competitive
advantage) and communicate how it aims to perform well in terms of both ﬁnancial and non-ﬁnancial KPIs in an easily
comprehensible manner to all stakeholders. It goes without saying that the Dai-ichi Life Group has placed a high valueon the “spirit of mutual support” since its foundation. The Group will continue to work steadily toward “sustainable wellbeing” for people, society and the Earth through dialogue and cooperation with its stakeholders. We look forward to yourcandid feedback on this topic.

We have created the “Sustainability Report”

Chief Sustainability Officer(CSuO)

Executive officer in charge of Human Capital

Appointed executive officers

Appointed department heads

Three times a year in principle (and as needed)
Share understanding of changing environment related
to sustainability (including human rights issues), as well
as status of and issues related to Group initiatives, andformulate, revise, and abolish measures to address themOnce a year in principle (and as needed)
Share understanding of changing environment related tohuman rights awareness, as well as status of and issues
related to Group initiatives, and formulate, revise, and abolishmeasures to address them

■ Initiatives as an institutional investor

Groupʼs approach to sustainability and our

At Dai-ichi Life, we strive to create a positive social impact through asset investment and lending that contribute to solving social

major initiatives in this regard. In addition, in

problems including the promotion of diversity and the respect for human rights, in accordance with the Basic Policy on Responsible

August 2023, we formulated and disclosed ourInvestment released in April 2022. Also, in stewardship activities centered on the exercise of voting rights and engagement“Net Zero Transition Plan” as an action plan tohttps://www.dai-ichi-lifehd.com/en/sustainability/
report/index.html

achieve net-zero emissions. We will continue
to publicize further information by disclosing
the latest information on our website.

Value Creation
Story

Group Human Rights Awareness Promotion Committee

https://www.dai-ichi-life-hd.com/en/sustainability/initiatives/rights.html

to provide a deeper understanding of theIntroduction・Message

Matters
discussed

Promotion system for respecting human rights

Group Sustainability Promotion Committee

Human rights due diligence initiatives■ Further information disclosure regarding sustainability

61

Name
Committee
Chair
Committee
members
Frequency

Strategies &Performance

Sustainability &Management Basehttps://www.dai-ichi-life-hd.com/
en/sustainability/environment/nztransitionplan.html

GovernanceData(dialogue) with the companies with which we invest or lend, we emphasize the viewpoints of diversity and respect for human rights.

Responsible Investment Reporthttps://www.dai-ichi-life.co.jp/english/dsr/investment/ri-report2.html

Dai-ichi Life Holdings Integrated Report 2023

62

Sustainability

Management Base

Addressing Climate Change:

Disclosure Based on the TCFD Recommendations■ Our stance
The Groupʼs pursuit of “well-being of all including future

our business. We will also actively participate in domestic andgenerations” can only be achieved if a sustainable society

international initiatives, such as GFANZ*2, the worldʼs largest

exists with a 100-year future horizon. We have positioned thecoalition of financial institutions committed to the goal of Net

sustainability of society as the foundation of our business

Zero, to share our views and contribute assertively to the global

operations. To this end, we will work more actively than everrulemaking process.
demonstrate stronger leadership as an institutional investor andwhich is the foundation of peopleʼs lives, the Group, as aninsurance provider by pursuing initiatives (including information

insurance provider and institutional investor, has set targets fordisclosure) that will serve as a model for the rest of the world.

contributing to the realization of a decarbonized society. We willIn these ways, we will contribute to achieving a decarbonizedcontinue stepping up efforts to address climate change throughsociety and, by extension, a sustainable society.
※6● 25%削減（第一生命）

issues aimed at transitioning to Net Zero in the realRoad map to Net Zeroeconomy. This plan was formulated in reference toEngagement Strategy

Emission reduction initiatives
related to business activities(shifting to renewable energy,saving energy, and reducing
total paper usage, etc.)

Encourage
investeesʼ
initiatives

Opinion andrulemaking
through global
financeinitiatives

As an institutional investor

As an insurance provider

Financed emissions (Scope 3, Category 15)

CO2 emissions from business activities(Scope 1 & 2)

Investments and loans in climate solutions

Number of investees engaged with

CO2 emissions from business activities(Scope 3, excluding Category 15)

Introduction of sustainability
indicators into executive remuneration
evaluation criteria (including progress
on CO2 emission reduction)

core operating entity in Japan. It is overseen by theUnit, with relevant departments of Dai-ichi Life incharge of promoting their respective initiatives. Its
implementation progress is monitored and discussed
by the Group Sustainability Committee, which reports
its ﬁndings to the Executive Management Board andPromotion by the Group
Sustainability Committee
and Group ERM Committee

Transition plan: Oversight: CSuO, Administration: Corporate Planning Unit, Implementation: relevant departments of Dai-ichi Life

Skills and culture

The current transition plan is formulated mainly
focusing on the activities of Dai-ichi Life, the Groupʼs
CSuO and administered by the Corporate Planning

Governance and promotion structure on climate change issues
Governance structure that reports tothe Executive Management Board
and Board of Directors and isoverseen by the Board of Directors

the transition plan guidance of GFANZ, etc.

is supervised by the Board of Directors.
This plan clearly states our priorities forachieving net zero. The contents of the plan will be
updated on an ongoing basis.

Building awareness among Group officers and employees※7● 50%削減（第一生命）

Full text of the Net Zero Transition Plan
https://www.dai-ichi-life-hd.com/
en/sustainability/environment/nztransitionplan.html※8● 15%削減（第一フロンティア生命）

Road map to Net ZeroFY2020

Expand assets
Support transition to acovered by
low-carbon society
emissionand creation of
reduction targets
environmental
and analyze
innovation throughemissionsinvestments and loans

Positive impact via investments and loans

To realize the aspirations*3 of the Groupʼs vision, we will

To ensure the sustainability of the global environment,

our Net Zero Transition Plan in August 2023 topromote a more integrated response to climate

Objective of the transition plan

Implementation Strategy

before to resolve material issues*1.

As a ﬁnancial institution, we produced and disclosed

Net Zero Transition Plan (Summary)

2022

2023

2024

2025

2050

2040

2030

■ Governance/Risk Management

Period of this MMP

Roles of the Executive Management Board and Board of Directors

Set net-zero targets

Initiatives as an institutional investor
Reduction of Scope 3*4 emissions(Category 15, financed emissions*5)● 25% reduction (Dai-ichi Life)*6

Investments and loans in climate solutions● Cumulative total ¥1 trillion (Dai-ichi Life)● 50% reduction (Dai-ichi Life)*7● 15% reduction (Dai-ichi Frontier Life)*8

Net
Zero

efforts are supervised by the Board of Directors and are based on business plans related to climate change which are formulated
under the leadership of the Executive Management Board. The progress status of initiatives (Direction of initiatives including Grouptargets, responses to risks, etc.) is reported regularly to the Executive Management Board and the Board of Directors, and the Boardof Directors provides supervision to further strengthen climate change initiatives.

Initiatives as an insurance provider
Reduction of Scope 1 & 2*4 emissions
100% renewable energy (Dai-ichi Life) ● Achieved one year ahead of schedule(entire Group)*9

Reduction of Scope 3*4 emissions(excluding Category 15)

Initiatives to strengthen governance structure

Net
Zero

● 50% reduction

In April 2021, we established the Group Sustainability Committee to formulate policies and strategies related to sustainability,
Net
Zero

● 30% reduction(Dai-ichi Life)*9

including climate change, and to monitor the implementation of initiatives. In April 2023, we established a new position of Chief
Sustainability Ofﬁcer. We are further reﬁning the sustainability promotion functions of the Sustainability Ofﬁce of the Corporate
Planning Unit to strengthen our structure for fostering a decarbonized society. In addition, we have set sustainability indicators,

Fostering awareness among Group employees

including progress in reducing CO2 emissions, as evaluation criteria for performance-linked stock-based remuneration for directors
and ofﬁcers (introduced in July 2022)*12.

Participation in and promotion of international initiatives
Appointed as a GFANZ Principals Group member
Joined NZAOA*10*11

Risk Management System

Established CSuO position

Strengthen our governance and promotion structure
Established Group Sustainability Committee
Set sustainability indicators as KPIs for executive compensation*1 For the material issues of the Dai-ichi Life Group, please refer to “Material Issues of theDai-ichi Life Group” on P.29.
*2 Glasgow Financial Alliance for Net Zero. Please refer to P.71 for details of this initiative
and the Groupʼs initiatives.
*3 The Groupʼs vision: “Protect and improve the well-being of all”
*4 Scope 1: Direct emissions by the Company; Scope 2: Indirect emissions associated withthe use of electricity, etc., supplied by other companies; Scope 3: Indirect emissions
other than Scope 1 and 2 emissions). Dai-ichi Lifeʼs Scope 3 (excluding Category 15)
emissions include Category 1 (Purchased goods and services), Category 3 (Fuel- andenergy-activities (not included in Scope 1 and 2)), Category 4 (Upstream transportationand distribution), Category 5 (Waste generated in operations), Category 6 (Businesstravel), Category 7 (Employee commuting), and Category 12 (Processing of soldproducts).
*5 Greenhouse gas (GHG) emissions of investees (Scope 3, Category 15)

63

The Group pursues climate-related initiatives through the Group Sustainability Committee and the Group ERM Committee. These

Introduction・Message

Value Creation
Story

Strategies &Performance*6 Compared with 2020 (listed equities, corporate bonds, and real estate portfolios)*7 Compared with 2020 (listed equities, corporate bonds, real estate, and loan portfolios)*8 Compared with FY2020, based on GHG emissions per unit of assets held (intensity)*9 Compared with FY2019*10 UN-convened Net-Zero Asset Owner Alliance (association of institutional investors
committed to transitioning their investment portfolios to net-zero GHG emissions by
2050)*11 Chief Sustainability Officer*12 Please see P.95 for details on the remuneration system for directors and executive
officers.
*13 Please refer to the following webpage for details on risk management:
https://www.dai-ichi-life-hd.com/en/about/control/in_control/administer.html*14 Degree of impact is based on economic loss, reputational damage (impact on sales,
management responsibility, and stock price), and other factors.

Sustainability &Management Base

Governance

Data

The Group is implementing risk management that takes

environmental issues as a challenge that should be tackled

appropriate measures at an early stage by specifying

by the international community. The Group also recognizes

foreseeable risks with the potential to signiﬁcantly impact its

addressing climate change as a material management riskbusiness as “material risks” and formulating business plansthat could considerably impact customersʼ lives and health,that take these risks into account .

corporate activities, social sustainability, and the like. From

*13

The Risk Management Unit identiﬁes group material

ﬁscal 2019, we deﬁned risk related to climate change as arisks based on the results of material risks identiﬁed atmaterial risk and have been reinforcing risk management.

group companies and conducts a four-stage evaluation ofSpeciﬁcally, the Group ERM Committee, chaired by the Chief

and the likelihood of occurrence,

Risk Ofﬁcer, discusses how to assess and respond to physicalthen uses a heat map to pinpoint material risks with highand transition risks, and reports to the Executive Management

importance. Group material risks are reviewed every year. The

Board and Board of Directors as necessary.

the degree of impact*14

Paris Agreement of 2016 has raised awareness of addressing

Dai-ichi Life Holdings Integrated Report 2023

64

Sustainability

Management Base

Governance/Risk Management System Relating to Climate Change Responses (as of April 2023)
Dai-ichi Life Holdings
Board of Directors

Supervision

Executive Management Board

Execution

Reports

Reports as part of material risk management

Group Sustainability Committee (convenes four times/year)●

Group ERM Committee (convenes around ﬁve times/year)

Develops and discusses policies and strategies foraddressing climate change, including the transition plan, andmonitors the progress of efforts to address climate change

Formulates risk management policy
and checks compliance status● Studies measures to strengthen the risk management system, etc.
●

Collaborates

As part of our efforts to understand risks related to claims

future climate scenarios to analyze the impact of maximum

and beneﬁt payments, we have analyzed the relationshiptemperatures on deaths and hospitalizations for the Groupʼsbetween air temperature and Dai-ichi Life's claims andthree domestic life insurance companies*19,*20. The analysis

beneﬁts since ﬁscal 2020 in cooperation with Mizuho–DL

results (see ﬁgure below) were limited, but it is noted that

Financial Technology Co., Ltd. Speciﬁcally, we conducted an

the analysis for hospitalization is based on considerable

analysis focusing on the increase in health hazards due toassumptions compared to mortality due to the wide variety

rising summer temperatures based on Dai-ichi Lifeʼs pastof diseases and the paucity of statistical data and previous

beneﬁt payment records to estimate the correlation between

studies.

them and maximum temperatures. We then assumed

Committee Chair: Chief Sustainability Ofﬁcer (CSuO)

Committee Chair: Chief Risk Officer (CRO)

Secretariat: Corporate Planning Unit

Secretariat: Risk Management Unit, etc.

Analyze past performance

Estimate the relationship between
temperatures and outbreaks

Establish future climate scenarios

Collaborates (e.g., information sharing, monitoring)

Collaborates (e.g., information sharing, monitoring)

Dai-ichi Life insurance
claims and benefits

Estimate the relationship between
maximum temperatures and theoccurrence of deaths/hospitalizations

Create simulations of future
maximum temperatures

Supported by priorresearch and medical
knowledge

Prepared from the SSP5-8.5
scenario of the IPCCʼs Sixth
Assessment Report

Group Companies

Highest temperatures
across Japan

Climate-related risks and opportunities
bring several impacts (shown on the right) overRisks

analyses using the SSP scenario*15 (5–8.5), theNGFS scenarios*16, and other scenarios, the Group,
as an insurance provider and institutional investor,
will strive to ensure resilience to climate change
and seize related opportunities.

Estimates for the 2090s (total for groupdomestic life insurance companies)●●

Increase in death benefits: ¥4.5 billion
Increase in hospitalization benefits:¥100 million–¥200 million

Increase in insurance claims and benefits paid due to increase inheatstroke and infectious diseases associated with global warming
Increase in insurance claims and benefits paid due to increase in flooding
due to typhoons, etc.
● Decrease in corporate value due to inadequate responses to environmental
changes, including significant changes in carbon taxes, damage to assets
due to changes in the market and social environment, development of newtechnologies, and changes in consumer behavior●

We used MSCIʼs CVaR methodology to analyze transition

measuring climate-related risks and opportunities is still●risk and physical risk related to our investment assets.

in its developmental stage, and the results have changed

The aggregated CVaR was –19.5% for the 1.5˚C Orderly

signiﬁcantly due to the revision of MSCIʼs methodology andIncrease in investment and loan opportunities, including in the renewableenergy business, that contribute to resolving climate change issues● Greater resilience of the investment portfolio resulting from proper
Opportunities
assessment of climate risks and opportunities by investees● Reduced operating costs through the introduction of infrastructure withhigh resource efficiency●

scenario*21, –21.2% for the 3˚C Orderly scenario*21 with highthe enhancement of scenario data. Dai-ichi Life will continue

physical risk, and –21.8% for the 1.5℃ Disorderly scenario

analyzing climate-related risks and opportunities, including

with high transition risk. In comparison to the benchmark,

CVaR, to strengthen the resilience of its investment and loan

the 1.5˚C Orderly scenario showed superior results in terms

portfolio.

*21of both transition and physical risks. The methodology for

CVaR (impact/amount of subject assets)

Scenario analysis
We expect that climate risks will have a wide range

Risk categories

of repercussions and may materialize over various[Physical risk] Risk of an increase in insurance claims and benefits paid
due to an increase in mortality, etc. caused by the spread of heat stroke
Underwriting
and infectious diseases resulting from rising temperaturesrisk⇒ See “(1) Impact of climate change on the life insurance business” on
the next pagetime frames. Based on the TCFD recommendations,
the Group classiﬁes climate risks into two
categories̶transition risk

*17

and physical risk*18

̶and recognizes them by our risk category.
The Group regards the examples shown in
the table on the right as climate risks that may
materialize over a time horizon of about 3 years(short term) and more than 10 years (long term)
and conducts scenario analyses for underwriting
risk and market/credit risk. There is still nointernationally established method for analyzing
the ﬁnancial impact of climate change on the life
insurance business, and we recognize that eachcompany conducts research and analysis on a trialand-error basis. We will continue working to identify[Transition risk] Risk that the prices of assets held will decline asbusinesses are affected by decarbonization and as society increasingly
chooses to invest in decarbonization
Market/credit [Physical risk] Risk of deterioration in the financial condition of acreditee counterparty due to damage to business facilities caused byrisk
extreme weather or disruption of supply chains in the manufacturingindustry, etc.
⇒ See “(2) Analysis of climate value-at-risk (CVaR)” on the next page
[Physical risk] Risk of increased insurance payouts due to extreme
Liquidity risk weather conditions and risk of inability to conduct sufficient market
transactions due to market disruptions caused by natural disasters, etc.
Operationalrisk[Transition risk] Risk of financial losses due to fines, lawsuits, etc.,
stemming from inadequate measures to address climate change[Physical risk] Risk of damage to data centers, business offices, andother locations necessary for operations due to extreme weather
conditions, resulting in the suspension of operations[Transition risk] Risk that our business will be negatively impacted bybeing evaluated as inappropriate by stakeholders (due to our inadequate
Reputational
climate change initiatives), continued relationships with businessrisk
partners that are insufficiently environmentally conscious, or otherfactors.

*15 Shared Socioeconomic Pathways: Climate change scenarios set by theIntergovernmental Panel on Climate Change (IPCC)*16 Climate change scenarios set by the Network for Greening the Financial System(network of financial authorities on climate risks, etc.)

Value Creation
Story

Strategies &Performance

Portfolio

Examples of major physical and transition risks

risks throughout the Group.

Introduction・Message

Estimate increases in deathand hospitalization benefits（2）Analysis of Climate Value-at-Risk (CVaR)

The Group recognizes that climate change may
the medium to long term. Based on the results ofEstimate future excess accruals

Statistical analysis■ Strategy/metrics and targets

65（1）Impact of climate change on the life insurance business*17 Risks arising from new government policies, technological innovation, market changes,
etc., in the process of transitioning to a low-carbon economy*18 Risks of direct damage to real estate and other assets due to long-term climatechange factors, such as rising temperatures and sea levels, as well as typhoons andother natural disasters

Sustainability &Management Base

Governance

Data

+5%

3℃ Orderly

1.5℃ Orderly

Benchmark1.5℃ Disorderly

1.5℃ Orderly

+0%
(5%)
(10%)

Transition risk

(15%)
(20%)
(25%)
(30%)

(21.2%)(19.5%)( 21.8%)■ Policy risk ■ Opportunities ■ Physical risk ■ Total( 23.2%)

Subject assets are Dai-ichi Life’s
equities and corporate bonds andDai-ichi Frontier Life’s corporate
bonds, totaling approximately¥8 trillion. Benchmarks are
NOMURA-BPI corporate bonds(for domestic corporate bonds),
Barclays Global Corporate Bond
Index (for foreign corporate
bonds), TOPIX (for domestic
equities), and MSCI ACWI (forforeign equities).
Data: As of March 31, 2023
Source: Reproduced by permissionof MSCI ESG Research LLC

Initiatives as an insurance provider
With respect to Scope 1 and Scope 2 CO2 emissions, the Group has set targets of a 50% reduction by ﬁscal 2025 (compared withﬁscal 2019) and Net Zero by ﬁscal 2040, in anticipation of the targets set in the Paris Agreement. To promote integrated efforts
among all employees, Dai-ichi Life has set Scope 3 (excluding Category 15) target (for items that should be emphasized from aperspective that leads to changes in business and staff behavior) of a 30% reduction by ﬁscal 2030 (compared with ﬁscal 2019) and
Net Zero by ﬁscal 2050.
*19 Dai-ichi Life, Dai-ichi Frontier Life, Neo First Life
*20 Please refer to P.63–64 of our Integrated Report 2022 for details on assumptions andother related matters used in the analysis.
*21 Orderly scenario: Orderly transition scenario
Disorderly scenario: Orderly transition does not proceed and carbon price soars*22 International initiative aiming to procure 100% of electricity consumed in businessactivities from renewable energy sources*23 Method of procuring electricity utilizing a scheme in which a solar power generation
facility dedicated to Dai-ichi Life is installed on land remote from where the demand islocated, and the electricity thus generated is sent to the demand location along with its
environmental value.

Dai-ichi Life Holdings Integrated Report 2023

66

Sustainability

Management BaseThe Groupʼs CO2 (Scope 1 & 2) emissions in ﬁscal 2022 wereof its target*24. We are also encouraging the introduction of

approximately 23,800 tons (down around 83% from ﬁscal

renewable energy at other Group companies in Japan and2019). Since becoming the ﬁrst Japanese life insurance

overseas.

company to join the RE100*22 in 2019, we have been reviewing

Category 15) totaled approximately 46,600 tons in ﬁscal

the use of environmental values, such as off-site PPA

2022 (down around 6% from ﬁscal 2019) through sequential

and non-fossil certiﬁcates. As a result, Dai-ichi

reductions in ofﬁce paper consumption and other measures.

Life achieved its renewable energy consumption target of

We will continue making Group-wide efforts to achieve

services

100% in its business activities in ﬁscal 2022, one year ahead

25% reduction

In addition, Dai-ichi Lifeʼs Scope 3 emissions (excluding

our electricity supply and demand contracts and promoting*23

GHG emissions*30 of Dai-ichi Life (listed equity, corporate bond, and real estate portfolio)

net-zero emissions.

Approx.
5.37
milliont-CO2eApprox.
4.72
milliont-CO2eApprox.
4.50
milliont-CO2e

2020

2021

2022

（

2025

and weighted average carbon intensity (WACI), which

Dai-ichi Life, the Groupʼs core domestic subsidiary

5.37 million t-CO2e*25 emitted in 2020. We attribute this to a

the TCFD recommends for disclosure purposes, in order(approximately ¥34 trillion in total assets as of March 31,

combination of factors, including progress of GHG emission

to assess the climate-related risks and opportunities of2023), has positioned climate change as the most important

reduction efforts by our investees and market ﬂuctuations

investees in relation to Dai-ichi Lifeʼs portfolio of domestic

issue for responsible investment and has been working tothat affect the calculation of GHG emissions allocated toand foreign equities and domestic and foreign corporate

realize a decarbonized society. In February 2021, we became

us. To further advance our net-zero efforts, we have set a

bonds. For WACI, the GHG emissions per unit of sales of thethe ﬁrst Japanese company to join NZAOA, demonstrating

new interim reduction target for 2030 (50% reduction in GHG

investees are weighted according to Dai-ichi Lifeʼs percentage

our commitment to achieving a net-zero investment and loan

emissions in our investment and loan portfolio*26 by 2030

of ownership. For domestic corporate bonds, the WACI tends

portfolio by 2050. To achieve this, we set an interim GHG(compared with 2020)).

to be relatively high, and our analysis indicates that this isemission reduction target (25% reduction by 2025 (comparedWe are also taking steps to strengthen the resilience

partly due to the relatively high proportion of the power sector,

with 2020)) for our listed equity, corporate bond, and realof our portfolio by incorporating transition risks, such as

which has high emissions in the domestic corporate bondestate portfolio in accordance with the NZAOA Protocol

signiﬁcant changes in carbon taxes and stranded assets,market.

(target-setting guidelines).

into our evaluation criteria for investees. We will continue

2050: Net Zeroentireinvestment
portfolio

Dai-ichi Life conducted an analysis of total carbon emissions

Initiatives as an institutional investor

50% reduction*31

To realize a decarbonized society, it is important

2030

）

(Year)[Dai-ichi Life] GHG emissions and WACI by asset
GHG emissions(million t-CO2e)

WACI (t-CO2e/¥ million)*32(Reference) 2020

Domestic
equities

2

0.7

0.8

Foreignequities

0.19

1.2

1.8

Domestic
corporate
bonds

1.9

2.4

2.6

Foreigncorporate
bonds

0.31

0.6

0.7

Real estate

0.1

-

-

to promote long-term transition strategies, particularly in

GHG emissions from Dai-ichi Lifeʼs listed equity,

analyzing climate-related risks (including transition andcorporate bond, and real estate portfolio in 2022 were

physical risks) and opportunities, using CVaR and other

GHG-intensive sectors. With this in mind, Dai-ichi Life announced its “Policy on Transition Finance” in September 2022. While ourmethodologies.

transition ﬁnance efforts may possibly lead to a temporary increase in our ﬁnanced emissions, since decarbonization of GHG-

approximately 4.5 million t-CO2e, down around 16% from theintensive sectors is essential for society as a whole to achieve net-zero emissions, then, if a potential investment is deemed to[Dai-ichi Life] Major initiatives to achieve Net Zerocontribute to appropriate transition, we will actively support such transition to contribute to realizing a decarbonized society.

Formulate Net Zero transitionplan[Dai-ichi Life] Policy on Transition Finance●

Developed a transition plan to achieve net-zero portfolio with reference to GFANZ guidance, etc.

Updated our previously announced interim GHG emission reduction target*27 for 2025 in accordancewith the NZAOA Protocol, setting a new target of a 50% reduction from our listed equity, corporate bond,real estate, and loan portfolio by 2030 (compared with 2020)● Engage in international initiatives through participation in the GFANZ Principals Group meetings andworkstreams●

Set reduction targets andpromote initiatives to achieve
net-zero emissions by 2050

Provide analyses and suggestions by our ESG analysts on climate change initiatives of around 50 of the
top GHG emitting investees, encourage them to set GHG emission reduction targets consistent with the
Encourage initiatives by
1.5˚C target and to develop and implement strategies to achieve the targets
investees through engagement ●Encourage the decarbonization efforts of investee companies through collaborative engagement
frameworks, such as Climate Action 100+ and the Life Insurance Association of Japan●

Aggressively make investments and loans to contribute to resolving climate change issues, targeting acumulative total of ¥1 trillion by the end of fiscal 2024 (cumulative balance of investments and loans at
the end of fiscal 2022: ¥710 billion)*28● Proactively supply capital for the transition to a low-carbon society through transition finance, impact
investments, and other means in addition to making investments and loans in green bonds andrenewable energy power generation businesses*29● Set a GHG emission reduction contribution
target of 1.5 million tons CO2e by fiscal 2024 to provide
positive impact through investments and loans● Developed and disclosed the “Policy on Transition Finance” to support the transition to a low-carbon
society●

Support the transition to a
low-carbon society and thecreation of environmental
innovation*24 For more information, please visit the following website (only in Japanese)
https://www.dai-ichi-life.co.jp/company/news/pdf/2023_019.pdf*25 GHG emission results for 2020 have been revised due to a change in vendor used (fromS&P Trucost Limited to MSCI ESG Research LLC). GHG emissions in 2022 using S&P
Trucost Limited were approximately 4.7 million t-CO2e (2020: approximately 6.02
million t-CO2e).
*26 In accordance with the NZAOA Protocol, we added loans to the assets covered under
the new interim reduction target. The year for the interim reduction target for our listed

67

Introduction・Message

Value Creation
Story

Strategies &Performance

equity, corporate bond, real estate, and loan portfolio is 2030.
*27 Reduce GHG emissions in our listed equity, corporate bond, and real estate portfolio by
25% by 2025 (compared with 2020)*28 Transition finance is a new financing method that aims to support the efforts ofcompanies that are steadily reducing GHG emissions in accordance with theirlong-term strategies targeting a decarbonized society*29 Renewable energy power generation projects for which the impact is disclosed

Sustainability &Management Base

Governance

Data

①

Dai-ichi Life chooses to take investment actions prioritizing the realization of long term carbon neutrality
for society as a whole.

②

When making investment decisions, Dai-ichi Life independently examines the validity and feasibility ofcompaniesʼ Transition strategies in terms of ensuring investment returns in addition to alignment with
key Transition Finance guidelines.

③

Dai-ichi Life will continuously review its decision criteria used in examining companiesʼ Transition
strategies in light of the external environments surrounding the Transition, situations of technologicalinnovations and other elements.

④

Based on the insights obtained in the detailed examination process of Transition Finance, Dai-ichi Lifefacilitates improvements in companiesʼ Transition strategies and more effective initiatives through suchengagement.
Full text of Dai-ichi Lifeʼs “Policy on Transition Finance”
https://www.dai-ichi-life.co.jp/english/dsr/investment/pdf/ri-report_008.pdf*30 Total (Scope 1 & 2) for the listed equity, corporate bond, and real estate portfolio. Figuresfor listed equities and corporate bonds are compiled by Dai-ichi Life based on data fromMSCI ESG Research LLC. The figure for the real estate portfolio was compiled by
Dai-ichi Life. The following calculation standards were used for measurement.
GHG emissions = Σ (GHG emissions per individual company Dai-chi Lifeʼspercentage ownership)

Dai-chi Lifeʼs percentage ownership = Investment value Enterprise value (Market
capitalization + Interest-bearing debt)*31 Loans have been included in assets covered by the new interim reduction target for 2030.
*32 WACI figures for 2020 have been revised due to a change in vendor used (from S&P
Trucost Limited to MSCI ESG Research LLC).

Dai-ichi Life Holdings Integrated Report 2023

68

Sustainability

Management Base

Dai-ichi Lifeʼs cumulative investments and loans aimed[Dai-ichi Life] Cumulative amounts and target amounts
of investments and loans for resolving social issues

at addressing social issues reached approximately ¥1.6
trillion as of the end of ﬁscal 2022. We will increase theseinvestments and loans to ¥2 trillion by the end of ﬁscal 2024

Investments and loans
in climate solutions
Approx. ¥0.71 trillion

to provide even more positive impacts on society.
Strengthening its responses to climate change issues
is the most important priority of its responsible investment

Approx.
¥1.6 trillion

Target:Approx.
¥2.0 trillion

approach. With this in mind, Dai-ichi Life will increaseto ¥1 trillion by the end of ﬁscal 2024

Target:Approx.
¥1.0
trillion(approximately ¥710 billion at the end of ﬁscal 2022).

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 (FY end)

investments and loans that contribute to resolving climatechange issues*33

Analysis of nature-related risks

TOPICSIn the “Environmental Action Policy for the Dai-ichi LifeFirst, using the ENCORE*38, a nature risk assessment

Group ,” we clearly state that it regards the preservation

tool, we selected three sectors for analysis̶consumer*35of natural capital and biodiversity as our corporate

staples, materials, and utilities̶all of which have signiﬁcantsocial responsibility. With this in mind, we endorsed therisks, then we identiﬁed important nature-related themes

philosophy of the TNFD*36, which aims to establish a

in each sector. We also studied examples of risk cases

framework for the systematic identiﬁcation and disclosure

related to these themes in the value chains of our investeesof nature-related risks, and in October 2022 we joined theand evaluated their potential business impacts. As a

TNFD Forum.

result, among the nature-related risks that could affect ourinvestee companiesʼ businesses, we identiﬁed four areas

To better understand nature-related impacts andAs part of its integration efforts of climate change

dependencies, we ﬁrst analyzed nature-related risks andthat require closer attention̶forests, water, land use, andfactors into investment and loan decisions, Dai-ichi Life

opportunities associated with the equity portfolio of ourecosystems̶as cases of conﬂict were found in the past incore domestic subsidiary, Dai-ichi Life, in accordance withthose areas.

[Dai-ichi Life] Climate change integration scheme

conducts both quantitative and qualitative analyses in
evaluations of investees.

Quantitative evaluation●

scoring) based on the estimated impact on businessperformance of signiﬁcant changes in carbon taxes, etc.
(transition risk), the presence or absence of environmentrelated technologies, etc. (opportunities) that could leadto future earnings gains, and investeesʼ climate-related
risk initiatives and governance status, which are conﬁrmed
through engagement activities. By reﬂecting the results●

Qualitative evaluation

Evaluate opportunities with the
expectation that, for instance,
the company will expand its
business performance due to theJapanese governmentʼs GX
Promotion Strategy and that it
possesses superior technology
and can lead the industry inenergy conservation andenvironmental measures, etc.

the LEAP

Evaluate approachand content ofefforts to address
climate change risks

who examine each asset to make investment and loan
decisions, Dai-ichi Life incorporates climate-related risks andopportunities into the evaluation criteria for investees andHigh

Sectors to be explored in depth

Equityanalysts

Reflected in internal ranks and used
to make investment and loan decisionsof investment assets, which are mainly public and corporate bonds. In ﬁscal 2022, the company set a target to reduce GHG
emissions*34 in its investment portfolio by 15% by March 31, 2025 (compared with March 31, 2021). Its reduction efforts
include ESG engagement where it encourages investee companies to achieve their reduction targets and reduce more
emissions. As of March 31, 2023, Dai-ichi Frontier Life achieved an 8.7% reduction (compared with March 31, 2021).

Fostering awareness among officers and employees
In addition to our activities as an insurance provider and institutional investor,
we crucially need to raise the awareness and change the behavior of ourwill help the Group demonstrate its unique attributes. As part of this, we held
the “ECO Action Relay,” a Group-wide environmental event, in FY2022.

Groupwide environmental event
22 Group companies participated

The ECO Action Relay is a relay-type program of environmental initiatives at Group companies in Japan and overseas, andmore than 4,000 ofﬁcers and employees from 22 Group companies participated. Through the event, participants shared details of
initiatives and effective implementation methods that take advantage of the individuality of each company and department. As aresult, each and every executive and employee became more motivated about environmental initiatives.

Invasivealien
species

Soil

Air

GHGs Waste Resources

Forest products

Low

Financials

Consumer
discretionary/ Industrials/
services
services

Aluminum

Precious metals& minerals
Electricity utilities

Information
technology

Investment volume

High

Utilities

Renewable electricity
Independent power
producers, etc.

Examples of major risks and opportunities in the three selected sectors (consumer staples, materials, and utilities)
Examples of business opportunities in thethree sectors

Examples of business risks in the three sectors[Common] Increased costs of responding to various regulations andcriticisms
Rising raw
material prices [Commodities and materials] Soaring procurement costs due toincreased demand for certified raw materials
Decrease in [Consumer staples and materials] Instability of supply and price hikes
due to stricter regulations on land development and over-extraction of
Physical risk
biologicalnatural raw materials
resources[Consumer staples and materials] A combination of factors, such as
Raw material extinction of certain species (keystone species) that play an important
Systemic risk crop failure due role in the ecosystem of origin or contamination by pesticides, canto ecosystem cause the loss of ecosystem functions necessary for the production ofcollapse
raw materials, making it difficult to procure themTransition
risk

Dai-ichi Frontier Life (which mainly sells savings products through bancassurance channels) has approximately ¥7.9 trillion

ofﬁcers and employees to realize a decarbonized society, and we believe thisAgricultural products

Ecosystems

Industrial gases

Real estate

TNFDʼs risk
Potential events
classification[Dai-ichi Frontier Life] Efforts to reduce GHG emissions

ConsumerstaplesMaterials

Communication
services
Healthcare

Creditanalysts

Sub-industry

Diversified metals& mining

EnergyEvaluate corporate initiatives in terms of TCFD
endorsement, existence of CO2 reduction plan,content of the plan and progress of initiatives, status
of disclosure, and organizational (governance)
structure, etc.

Forests Water Land
use

SectorConsumerstaplesMaterials

Scores overall evaluation for each company
and shares findings with internal analysts

Details of Dai-ichi Lifeʼs ESG integration andengagement efforts (Responsible Investment Report)
https://www.dai-ichi-life.co.jp/english/dsr/
investment/ri-report2.html

Heat map of high-risk sub-industries in the three selected
sectors (impact)

Utilities

ESG scoring

thus strengthen the resilience of its portfolio.

approach proposed by the TNFD.

Dai-ichi Lifeʼs investment volumes
and nature-related risk level

Consider the results of engagement with the companiesof this ESG scoring in internal rankings used by analysts

TOPICS

ESG analysts

Estimate impact on businessperformance of significant
changes in carbon taxes, etc.
● Consider risk level by industry
when analyzing GHG emissionsof each company● GHG emission figures are basedon Scope 1 & 2 (Scope 3 is also
taken into account for someindustries)● Consider obtaining SBT
certification and developing
emission reduction plans, etc.

Speciﬁcally, ESG analysts evaluate companies (ESG*37[Consumer staples and materials] Use ofcertified raw materials can increase theadded value and profitability of our products[Consumer staples and materials] Switching
to alternative resources can ensure longterm, stable, and sustainable supplies[Common] Development of Nature-based
Solutions can lead to the creation of newvalues and markets

We recognize that the analyses above are in the early

improvements in our engagement activities with investees,

trial stage (in line with the LEAP approach) and that there

which will help us strengthen the resilience of ouris much room for future development. Nevertheless, weinvestment and loan portfolio in the future. We will continue

believe that insights and knowledge about nature-related

trying to contribute to realizing a nature-positive economy

risks and opportunities in our investeesʼ businesses,

by reﬂecting the results of these kinds of analyses in our

gained through these analyses, contribute to qualitative

engagement with investees and analyses of the investees.

*35 https://www.dai-ichi-life-hd.com/en/sustainability/environment/initiative.html*36 Taskforce on Nature-related Financial Disclosures*37 Acronym for Locate (locate interface with nature), Evaluate (evaluate
dependencies and impacts), Assess (assess risks and opportunities), andPrepare (prepare to respond to risks and opportunities and report). The aim of
the LEAP approach is to enable companies and financial institutions to assess
nature-related risks and opportunities.

*38 A nature-related risk analysis tool developed by the Natural Capital Finance
Alliance (NCFA), an international finance industry association for the natural
capital area, etc.
(Reference) Other initiatives related to natural capital and biodiversity
https://www.dai-ichi-life-hd.com/en/sustainability/environment/contribution.html*33 Investments and loans that contribute to resolving climate change issues, such as investing in green bonds and renewable energy power plant–related projects*34 GHG emissions per unit of assets held (intensity basis)

69

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

70

Sustainability

Management BaseContribution To International
Rulemaking To Address Climate Change
The Group recognizes that addressing climate change is an important management issue for realizing asustainable society. Through GFANZ, which is the worldʼs largest coalition of financial institutions with net-zerocommitments (consisting of more than 550 financial institutions in 50 countries as of November 2022), we
have been contributing to international rulemaking to achieve a decarbonized society.
To realize its objective of “accelerating the global net-zero transition” GFANZ works in various areas.
These include supporting the development and effective implementation of net-zero transition plans across thefinancial industry, mobilizing capital for emerging markets and developing economies, and policy advocacy. It
also focuses on responses at the regional level, having established the Asia-Pacific (APAC) Network in June
2022, the Africa Network in September 2022, and the Japan Chapter, the first GANZ country chapter, launchedas part of the APAC Network in June 2023.

One of my favorite sayings is, “If you want to go fast, go alone. If you
want to go far, go together.” To achieve a sustainable future, I want towork hand-in-hand with the worldʼs ﬁnancial institutions to accelerate
the global transition toward decarbonization. With this in mind, I
have served as a member of the GFANZ Principals Group, which has
determined the direction and priorities of GFANZ since its inception.
At Principals Group meetings, formed by the chairs of
GFANZ and heads of various ﬁnancial institutions, we actively
discuss strategic directions for effectively accelerating the global
decarbonization transition. At those meetings, I have emphasized theneed to consider the characteristics of each country and region andthe importance of transition ﬁnance for decarbonization in the APAC
region.
It is very signiﬁcant that the GFANZ APAC Network was
established in June 2022 and the Japan Chapter, the ﬁrst GFANZ
country chapter in the world, was launched in June 2023. The Japan
Chapter is essential to furthering Japanʼs leadership in combatingclimate change, and I am honored to serve as the ﬁrst Chair of its
Consultative Group.
I am devoted to making every effort to realize a decarbonizedsociety and economy and to enhance the presence of Asia andJapan with the collaboration with various stakeholders including
other ﬁnancial institutions and government agencies.

GFANZ

GFANZ Glasgow Financial Alliance for Net Zero
Other regional network, etc.

Co-Chairs: Mark Carney, Michael Bloomberg
Vice Chair: Mary Schapiro
Principals Group

Dai-ichi Life

Launched in June 2022
Supports the acceleration of net-zero transitionin the APAC region

Katsuki Tsuboi, Yuki Hoshihara(Sample activity)
Draft guidance on financing the managed phaseout ofcoal-fired power plants in APAC (published in June 2023;
for public consultation)

Dai-ichi Life

Supports the Principals Group

Workstreams▶

▶

Sets strategic directions and priorities
and monitors progress

Steering Group
▶

▶

Dai-ichi Life

Recommendations on thecoal-fired power phase-out
process in terms of what should
be considered with respect to thecredibility of the transition andphase-out plan, social andeconomic impacts, andtransparency and accountability

Dai-ichi Life

Involved in specific tasks,
such as guidance development(Sample activity)
Financial Institution Net-zero
Transition Plans – Fundamentals, Recommendations,and Guidance (published in November 2022)
Recommendations on elements
required for a credible net-zerotransition plan for financial
institutions to decarbonize thereal economy, as well as key
transition finance strategies toachieve the transition

Secretariat▶

APAC Network

Senior Sustainability Specialists
Insurance Research TeamDai-ichi Life International (Europe)

Japan Chapter

Value Creation
Story

Strategies &Performance

Glasgow Financial Alliancefor Net Zero

We take the co-leaders role of “Mainstream Transition Finance,”a GFANZ workstream. This workstream promotes more financial
institutions and investees to develop transition plans for achieving
net-zero emissions. It also discusses what transition finance should
be for accelerating net-zero in society by financing.
While a united global approach is required to achieve net-zeroemissions, we should tailor our efforts to the circumstances of eachcountry and region. The workstream includes financial institutions
from a diverse range of countries and regions, including Europe, theUnited States, Africa, and Asia.
As a co-leader, we find it challenging, yet rewarding, to listen
carefully to the voices of participating members and organize
discussions on the way forward for the financial industry, taking into
account the different socioeconomic conditions and industrial andenergy structures in each country and region.
The Dai-ichi Life Group will accelerate its efforts to achieve netzero emissions and lead the global efforts of the financial industry.
We are at the forefront of these efforts and will contribute to therealization of the challenging global goal of achieving a net-zerosociety by 2050.

Launched in June 2023 (the first GFANZ country
chapter in the world)▶ Supports collaboration among domestic financial
institutions, relevant authorities and companies toaccelerate the transition to net-zero in Japan▶ Seiji Inagaki (Director, Chair of the Board, Dai-ichi
Life Holdings, Inc.) appointed as the first Chair of
the GFANZ Japan Chapter Consultative Group*▶

Managing Director
GFANZ APAC Network* Based on information available when this document was prepared* Advisory organization consisting of representatives of financial institutions and government agencies, etc.

Introduction・Message

Seiji Inagaki

Dai-ichi Life

Net-zero alliances, including NZAOA (asset owners), NZBA (banks), and NZAM (asset managers)

71

Director, Chair of the Board, Dai-ichi Life Holdings,
Inc.
GFANZ Principals Group Member
GFANZ Japan Chapter Consultative Group Chair

Sustainability &Management Base

Governance

The Japan Chapter began operations in June 2023 as the first GFANZ country chapter inthe world. I am grateful to Seiji Inagaki of Dai-ichi Life for chairing the Consultative Group,
which is composed of experts, in the chapterʼs first year.
The Japan Chapter will address common issues related to net zero in the Japanesefinancial industry with the leadership and innovation of Dai-ichi Life and the rest of thefinancial industry. It will also hold workshops on financial institutionsʼ net-zero transition
plans, engage in dialogue with financial institutions that are not yet GFANZ members, andhold annual summits. We sincerely look forward to working together with the Japanesefinancial industry, which shares our desire to achieve net-zero emissions.

Yuki Yasui

Data

Dai-ichi Life Holdings Integrated Report 2023

72

Management Base

■ Initiatives to improve employee engagement

Human Capital Management Strategies

Employee engagement
Employee engagement is our important indicator to

We strive to increase group value by creatinga “ World of Opportunities ” in which
our people all over the world can energeticallydemonstrate their authenticity and successfully
contribute.

understand how our employees work proactively. It is also
important for improving corporate value because it relates
to not only productivity and corporate performance but also

Overall engagement scores and comparison to the benchmark
Whole company

70

capital is the driving force for implementing our management strategies. The

April 2023

Human capital shift

682 persons

1,211 persons

BelongBe WellProtect

Turning diversity
into a strength

Flexible work
stylesIntroduction・Messagepersons300

persons

Number of candidates
for future global
management leaders

241 persons

286 persons

persons

My Career
program applicants

302 persons

371 persons

Percentage offemale executives*2

12.1%

13.4%

30%

Percentage offemale managers*3

16.5%

18.5%

30%

Male parental leaveuptake rate/numberof days*4

92.3%
11.8 days

100.0%*4
21.5 days

100％

Number of employees dispatched,including through corporate hometown
tax program (temporary staffing)

12 persons

100 persons

Value Creation
Story

Strategies &Performance

On the other hand, the score for “corporate philosophy,”which indicates the level of understanding and empathy

60
556162 6061

6464
64
64
59
57

0

understanding and empathy for our management strategy byproviding opportunities for dialogue between employees andJanuary 2022 (* added in August)for our business direction, remained mostly unchanged.

63
6161
61 62 6162
61

Therefore, we will continue pursuing initiatives to deepen

December 2022

management, such as town hall meetings and small-group
talks with executives.

Improving engagement from the bottom up (Actuarial Dept., Dai-ichi Life)

We believe that sharing and working toward the common goals of both our organization and each individual employee

16 postings

Contributing tolocal communities

indicating that our engagement efforts are paying off.

Case study

8 postings

87.6%

Implement
businessstrategies

we achieved improved scores in five of the nine categories,

69
66

300

Number of global
job-posting positions

85.7%

Connection
to corporate value creation

1,974

254 persons(2030)

100％

Dai-ichi Life
Organizational
Group that is
culture that
continuously
thrives onchosen by
diversity
customers

will lead to greater engagement. Accordingly, we are paying particular attention to human capital development andorganizational culture, which we regard as “two cornerstones for businessexecution.” To continue these efforts as an organization, in April 2022 weestablished the DSR Committee within the Actuarial Dept., which meets oncea month to monitor progress and share good practices. Under this committee,
we also formed three project teams (focusing on human capital development,
organizational culture, and business execution, respectively) to study specificmeasures.

Employeewell-being

Case study Fostering a sense of unity through interaction across departments and positions (Dai-ichi Frontier Life)To foster a greater sense of unity, we hold small-group town hall meetings with the president, “cross 1 for 1” dialogues*1 We classify our DX human talents into three levels: (1) DX user group, (2) DX maingroup, and (3) DX professional group. Those in the more highly skilled (2) and (3)categories, who can lead our organization and bring about change, are defined as“DX core talents.”*2 Sum of the Company and Dai-ichi Life
*3 Sum of line (section) managers and line general managers who headorganizations among management positions at the Company and three domestic
life insurance companies.

73

Target

100 persons

Percentage completing
secondary medical exams

allw ell-being of
r
ne
as a
t
r
li f e l o n g p ath e(April 2024)

Number of core DX
talents*1

Health and safetyso rt u n iti e

7070
70
70

Sense of change*eApril 2022

Opp

question improved significantly over the past year. In addition,

6767
6767

Environment

ot

ct
ing

Status of human capital value enhancement
Main indicators*5

Protectof65

Corporate cultureProrreforming our organizational culture to help employees maximize their potential.

ld

our corporate culture and atmosphere. The score for thisOriginal
question

CorporatephilosophyW

are working to develop and strategically allocate diverse human capital while

70

Recognition

Be Well

To realize a World of Opportunities and enhance corporate value, we

we added an original question about “sense of change,”
which indicates the degree of change employees feel in

Relationships

the world, including Japan.

Category-specific score comparisons

Since an incident of fraud was uncovered at Dai-ichi Life,

SupportBelonglifelong partner for more than 100 years, with employees in 10 countries around

Autonomous careeradvancement

FY2022

Personal growthStatement, we share our thoughts and feelings, which we have cherished as a

The surveys are conducted by an external research company.

DutiesGrowpillars: Grow, Belong, Be Well, and Protect. Through our Employee Philosophy

Grow

FY2021Category-speciﬁc scores and improvement efforts

Dai-ichi Life Groupʼs human capital management strategy consists of four(including natural attrition)

64

50
0

Amid an increasingly complex and ever-changing business environment, humanBusinesstransformation
Acquisition anddevelopment ofour people

63

60

surveys monthly last year and bimonthly this year. We have
improvement in the overall score.

Main humancapital activities

66

The Company and the three domestic life insurers
introduced engagement surveys in 2021, conducting pulse
also been working actively to improve engagement, leading toFour human capital
strategy pillars

Difference from the benchmark

67

improving CX, which is a core Group strategy.

HealthSustainability

that transcend departments and positions, and roundtable discussions with young employees and career hires. In*4 Sum of the Company, three domestic life insurance companies, and ipet Holdings
as of March 31, 2023. Calculated using the standard for calculating thepercentage of employees taking childcare leave, etc., the disclosure of which ismandated (announced under the revised Child Care and Family Care Leave Law,effective April 2023). Results exceeding 100% are disclosed as 100%.
*5 Sum of the Company and three domestic life insurance companies (excludes*2–*4 and global job postings)

Sustainability &Management Base

GovernanceData

our engagement surveys, we are beginning see good results, including a ﬁve-point year-on-year improvement in the“interdepartmental cooperation” score in the “corporate culture” category. We also send questionnaires to participants ofthese small-group forums in an ongoing effort to improve engagement.
Note: Fourteen town hall meetings have been held, attended by around 240 participants.

Dai-ichi Life Holdings Integrated Report 2023

74

Management Base

Grow

Major initiatives

To enable employees to continue developing new skills and motivation, the Group■ Key example: DX talents development

1 for 1 (Dai-ichi Life version of oneon-one)● Talent management program● Career design training by generation● My Career program (internal
recruitment)● Secondary jobs inside and outside
the Company● Future leadership development
program● DX talents development program● Global Job Posting program● Global leadership development
program● Self-development program(language training, Udemy, DL
NetCollege, etc.)●

works to create an environment where individual employees are encouraged
to grow and everyone can improve and create new possibilities for each other.
In particular, we believe that it is necessary for employees to always think ofcustomers, consider their own careers, and work autonomously. With this inmind, we hold “1 for 1” meetings (Dai-ichi Life version “one-on-one”), an initiativeby supervisors to support the growth of subordinates. These meetings havepermeated throughout the Company as a forum for employees to connect their
desires and aspirations to their personal career development.
We are increasing our investments in employee training each year to address
rapid changes in the business environment both in Japan and overseas. As peopleʼsbehavior and values change, we always focus on what our customers want andhelp our employees shape their own aspirations and continue improving themselves
through acquiring a variety of skills and experiences.

Total investment in employee training
2021

2022

2023

¥440 million¥500 million¥660 million (plan)

Digital skills are essential for delivering customer experience (CX) value that transcends
the insurance domain. With this in mind, the Group has divided its DX human capital
into three categories for all employees to work on: (1) the DX user group who
understand and can utilize digital technology, centered on “DX promotion staff”

DX
professional training② the DX
main group

New service
creation training
DX skills
development trainingof the Company; (2) the DX main group who can lead our organizations; and (3) the
DX professional group who can change our business model with DX. To identify andDX
literacy trainingDX
promotion
managerdevelop personnel in categories (2) and (3), we conducted an external assessment ofaround 2,000 people, mainly from organizations involved in DX. We use the results ofDigital course
for IT passport① the DX
user groupthe assessment to foster a DX-driven culture and help employees learn and embrace

DX literacy course

challenges by offering a wide range of experiences. These include practical training,

DX training
for new employeestransfers to gain practical experience, career rotations to companies outside the Group,and temporary transfers to venture companies. (The Company and Dai-ichi Life arecertified as “DX Certified Business Operators.”)

Manager, Human Resources Development Office,
Makoto Murakami
Human Resources Department, Dai-ichi Life

■ Key example: Domestic and global public recruitment system

One of our management strategies is to work continuously to identify and develop
Training
andmonitoringnext-generation leaders. Therefore, we continue implementing various processes
for each major position, from identifying candidates, external assessment, andTo help employees achieve their career ambitions, we provide opportunities for
In Japan, we introduced the My Career program to encourage employees

Talentreview

Japan: My Career Program (as of April)

them to demonstrate their strengths.

periodic talent reviews throughout year to development and monitoring. Throughdirectors and other key organization managers to address changes in the businessprofessionalgroup

To meet the changing needs of our customers, we ourselves must change. Because DX is essential to improve
CX, each employee must become a DX advocate. Therefore, we at Dai-ichi Life are strengthening DX humancapital development to enable all employees to think about their careers with digital utilization in mind.

■ Key example: Domestic and Global Talent Management Programs

this management cycle, we also actively appoint external talent to the positions of③ the DX

assigned to various organizations (around 800 people in total) to raise the overall level

Comments from person
in charge* Investment in self-development support and Company-initiated training, including internal and external
online training, undertaken by in-house employees. Approx. ¥61,000 per employee. (Excludes investments
in individual initiatives by each division or in sales staff, such as sales representatives.)

Training support system
DX coregroup

Sustainability

Assignment

Talent poolenvironment.

to think about and shape their own careers autonomously. We also offer awide range of positions in companies inside and outside the Group that enable
employees to work in diverse ﬁelds beyond insurance. The number of open

Number of job postings

2021
175

2022
222

2023
301

Number of applicants

188

302

371

Number of successful
candidates

73

93

141

positions, applicants, and successful candidates is increasing every year, and the “era of employees choosing their careers” isAssessment

Selection

becoming a reality.
Globally, we launched the Global Job Posting Program, which encourages employees to raise their hands for global opportunities
to demonstrate their expertise across countries. The number and scope of applications have expanded, with applicants from the United

Domestic talent management

Global talent management

Each year, the Human Capital Committee reviews andWe launched a global talent management program for

conﬁrms the pool of potential successors for each key

overall group companies under a common framework.

position and develops candidates through externalThis reﬂects the growing importance we place on

assessments, training, and assignment opportunities.

identifying and developing the next generation of

We pay particular attention to appointing women andleaders globally. To create synergies within the Group,

mid-career hires to head our organizations. Here, ourwe have also begun efforts to identify and develop

aim is to change our organizational culture throughglobal talent who can contribute to our global

decision-making by diverse people. We are also stepping

business beyond their country.

up efforts to swiftly select and train young talent in orderto develop and produce next-generation management
leaders in a stable and systematic manner.

Dai-ichi Life Group: Building and expanding our talent pool75

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

GovernanceStates, Australia, Singapore, and India applying for postings in Japan, Singapore, India, Thailand, and the United Kingdom. This helps us
create a culture in which group people grow together, enhance each other, and support each otherʼs success.

Employee voices
TAL, Head of Cyber Transformation,
Information Security and Cyber

Star Union Dai-ichi LifeManager(Participation in the Global IT Collaboration project)(Participation in the Innovation Fund project)

I have the opportunity to challengeThis opportunity helps me in lot of ways

myself, consider effective ways toat personal as well as career level. In addition to strengthening

work at scale, and think outside the box. I feel that I am

my skills and knowledge about working globally, it has given

part of a global team as a project leader.

me the opportunity to think about our industry at the social

Samer Fouani

Ashok Kumar Sharma

level and prolonged information horizon towards industry.

Data

Dai-ichi Life Holdings Integrated Report 2023

76

Sustainability

Management Base

Belong

Key measures

We are accelerating our diversity and inclusion (D&I) efforts aimed at creating a■ Key example: Promoting the advancement of women

Training for females by layer“Cross 1 for 1” meetings withexecutives and department heads
to develop female leaders● Exchange meetings with femalerole model● Targets for ratio of female leaders
by layer and succession planning● Advancement of people withdisabilities● Global D&I activities● Onboarding support for mid-careerhires● Communications to promote D&I
within the Company●

world where people with diverse values, perspectives, abilities, experiences, and●expertise can share their opinions, demonstrate their collective strengths, andparticipate in decision-making. In addition to increasing the ratio of women in
management and other decision-making positions, we are working to increase theratio of mid-career hires to head our organizations in Japan. We also encourage
diverse people to make decisions that change our organizational culture.
I believe that creating a working environment and culture where employees
can work with vigor and high motivation, and where they can make the most of
their diverse personalities and maximize their abilities, will lead to the sustainablegrowth of the Company. In this time of rapid changes and diversifying customer
needs, we will raise the quality of decision-making from the perspective of diversity,
thereby making it easier and more rewarding to work, and thus create a strong

The domestic Group companies are stepping up efforts toon assignments while developing a business sense andachieve a 30% ratio of female executives by 2030. In addition

managerial perspective. By having directors and department

to enhancing training by layer, department directors makeheads acting as sponsors, participants can enhance theirsure that 30% of the candidates for each management post in

personal brand, boost their confidence, and build cross-their departments are women. As an opportunity to see andfunctional relationships with management. The program

develop candidates directly, department directors also have 1

also provides an opportunity for management to understandfor 1 meetings with candidates from departments with which

potential next-generation female leaders and foster athey do not normally have contact on a regular basis.

culture of sponsorship. As a result of this program, TAL has

Other Group companies are also promoting theincreased the percentage of female leaders to more than 40%

advancement of women. For example, TAL holds a companywide Female Leaders Sponsorship Program to develop female
leaders. Under the program, female employees selected as(as of 2023).
By learning from each otherʼs successful initiatives, we
also promote synergies within the Group.

candidates for leadership positions spend six months working

group of human capital.

The Dai-ichi Life Groupʼs D&I goals
Achieving sustainable growth together with diverse colleagues

Voices of Cross 1 for 1 and Female Sponsorship Program participants

Leveraging connections to create value
Line Manager, Neo First Life

Executive Officer

In my 1 for 1 sessions with

Ms. Matsuda had just been

Executive Ofﬁcer Atsuko Ochiai,transferred from a line manager

who has a different division andposition to a ﬁeld in which she had

career from me, I received advice from multiple andno experience and was trying to understand the situation■ Key example: Global D&I activities

objective viewpoints, which broadened my knowledge

and identify issues. In our 1 for 1 sessions, she talked

Although our D&I activities vary depending on the environment in each country, we began

and perspective and taught me how to work in a different

with a smile on her face from start to ﬁnish, which left

way than before. I had just arrived in a new department

an impression on me. Each time, I asked her to share her

where I had no experience and little knowledge orconcerns and challenges, we spent time together thinking

Connections

Respect for individuality

Positive inﬂuence on surroundings
unbound by organization/company

Understanding and respecting
diverse values lead to value creation

Ever-changing business environment

Noriko Matsuda

Diversifying customer values and needs

D&I activities as a Group in 2022 and held our ﬁrst Global D&I Summit online in November
2022.
The aim of the event, titled “Learning Together,” was to create a Group-wide culturethat respects diverse values, embraces differences, and promotes peopleʼs well-being.
It was attended by 59 leaders from 13 Group companies from Japan, the United States,
Australia, Singapore, Vietnam, Cambodia, Myanmar, India, Thailand, and Indonesia. In

Atsuko Ochiai

relationships, so Ms. Ochiaiʼs advice on how to manage

about the next steps. As the sessions progressed, sheand gather information and tips on negotiating were very

became more familiar with the workplace, expanded

useful in my new job. It was also a good opportunity to

her perspectives, and steadily gained conﬁdence. The

think about what I need to learn in the future.

opportunity to hear diverse perspectives and workplacesituations was a learning experience for me as well.

addition to sharing their understanding of D&I and learning about global trends through
TAL, General Manager

lectures by external professor, participants were divided into small groups and actively
exchanged opinions on future initiatives they would like to implement and ideas for

Samantha Holt

My sponsors were so keen to be a part of this program and it showed in the time they spent

the Group as a whole. By having diverse people assemble and share their thoughts, we

meeting with the participants and providing valuable insights and advice. It was fantastic to becontinuously foster Groupʼs D&I understanding and actions to create an organizationalable to dedicate some time to our personal and professional development in our otherwise busy

culture that makes the most of diversity.

workday. I also learned a lot about how to leverage more from professional relationships especiallysponsorship, the importance of our personal brand. It was a very meaningful experience.

■ Reference data for expanding the female leadership base49%
Percentage
of females
hired as new
graduates*1

77

Introduction・Message

62%
Percentage
of female
careerhires*1

Value Creation
Story

Strategies &Performance

Percentage
of female
career hires inmanagement
positions*1

Sustainability &Management Base30%
Percentage
of females inmanagement
positions*2

Governance

18.5%

29.3%

Data

Percentage
of femaleorganization
managers*3

13.4%
Percentage
of femaleexecutives*4*1 Sum of in-house positions of the Company and three domestic life
insurance companies*2 Sum of the Company and three domestic life insurance companies*3 Sum of line (section) managers and line general managers who headorganizations among management positions at the Company and threedomestic life insurance companies*4 Total of the Company and Dai-ichi Life

Dai-ichi Life Holdings Integrated Report 2023

78

Sustainability

Management Base

Be Well
By practicing “health management” that helps improve the health ofSubsidies for physical examinations andvarious cancer screenings● Nationwide mammography bus tours● Seminars on employee safety and health● Promoting use of QOLism (health promotion
smartphone app)
● Provision of self-care tools● Encouraging uptake of parental leave by males● Strengthening support system for balancing
childcare and work
● Full-remote working arrangement● Leave of absence system to support diverse
work styles●

customers, local communities, and society, the Group aims to foster thewell-being of all people. Here, the well-being of our employees is paramount,and for this reason we must continue and strengthen our workplace
health and safety initiatives while creating a worker-friendly environmentand culture. We contribute to the Group and society by emphasizing thewell-being of our employees and our organizational culture of overcoming
challenges in a positive manner.
Contributing to the well-being of all people
Healthmanagement
practices

Protect

Major initiatives

Realizing the well-being of
employees
Physical and mental health
Job satisfaction and ease of work

Contributing to thewell-being ofcustomers, local
communities, andsociety

Major initiatives

Committed to building a sustainable society, now and into the future, theCommunity contribution activities at each location(volunteer work, childrenʼs cafeteria, support for
women in poverty, financial literacy education for
local children, etc.)● Health and medical seminars held throughout
Japan● Environmental protection activities● Corporate hometown tax program (temporary
staffing)● Local womenʼs exchange meetings● Community contribution through employee healthpromotion and environmental protection activities● Participation in the Ministry of Health, Labourand Welfareʼs Corporate Action Program for
Promoting Cancer Prevention●

Group supports its customers, local communities, and all employees.
The Groupʼs core business is life insurance, which has a high socialand public inﬂuence. Therefore, one important pillar of our human capitalmanagement strategy is to encourage employees to engage in activities
aimed at building a sustainable society. By providing employees with
opportunities to contribute to more customers and local communities,
we foster the advancement of such communities.
Companies in the Group are pursuing measures in line withthemes that align closely with the life insurance business, such as
health promotion, environmental protection, and the creation of a nextgeneration society. In these ways, they are expanding efforts to build asustainable society with deep roots in each country and region.

■ Key example: Encouraging male employees to take parental leave■ Key example: Career rotation to other companies (temporary staffing under the corporate hometown tax program)Since 2022, we have been pursuing our goal of 100% of male employees taking at least one

From 2022, we started participating in the “corporatemonth of accumulated parental leave. This initiative goes beyond legal compliance and includes

Number of parental leave days
taken by males (average)

Approx.
2 timesraising awareness through pre-fatherhood education seminars to help male employees be close
to their partners after childbirth or at the peak of childcare anxiety and proactively engage inchildcare and housework. Here, superiors and subordinates together make written parental leaveplans, with employees granted up to 20 days of paid leave. We also hold “family-friendly boss
seminars” for upper management and work to create a mutually supportive work environment

21.5
days

11.8
days

FY2021

FY2022by gaining the understanding and cooperation of diverse employees.

Employee voices

Assistant Manager, Dai-ichi LifeThe dispatched employees are engaged in work that

hometown tax program (temporary stafﬁng)” as an initiative tohelps resolve local issues, such as tourism promotion, childcare

address regional issues throughout Japan. As of June 1, 2023,

support, and improvement of local welfare, thereby contributing

we had dispatched 67 employees in a wide range of positions

to regional and social sustainability. By participating in thisin 64 local governments. In recognition of these efforts, we

program, we will promote collaboration based on a three-way

received the Ministerʼs Award for the Fiscal 2022 Taxation“win-win” situation for local communities, our employees, andSystem to Support Regional Development (corporate hometown

our company.

tax program) from the Cabinet Ofﬁce.

Junya Hasegawa

Employee voices

Tourism Promotion Division, Tourism Bureau,
Nara Prefectural Government

Shoko Nakamura

I am in charge of promotion activities aimed at attracting visitors to Nara Prefecture. In my job,

During the parental leave period, I gained a full range of childcare experiences and acquired soloparenting skills. Raising a child is a challenge that people cannot understand without experiencing it.

we take advantage of Naraʼs strong tourism resources, such as shrines, temples, and history. We

The experience changed my appreciation for my partner and my own approach to child-rearing andalso engage in accommodation promotion projects by highlighting the appeal of Naraʼs cuisine.

family. In terms of work, I am now more conscious of efﬁciency than before and strive to achieve

In addition to outcomes, we need to appreciate the social signiﬁcance and impact of projects

better results in a limited amount of time. If I hear that a colleagueʼs partner is pregnant, I would encourage him to take

implemented by public agencies. This gave me a different learning experience from that of Dai-ichi Life and opened aparental leave without hesitation.

new avenue to my personal growth.

Length of parental leave available to males: (1) immediately after childbirth, and (2) taken in portions when partner returns
to work (31 days in total)■ Key example: Contributing to local communities through employee healthpromotion activities■ Key example: Seminars on employee health and safety
To help employees work safely, healthily, and vigorously, we provide support for (1) disease prevention, (2) prevention of serious
illness, and (3) mental health measures. This support includes hosting training and interviews by our occupational health staff, as
well as a wide variety of seminars. We also promote the health of our customers and local communities through seminars and otherprograms conducted by the National Center and the Dai-ichi Life Research Institute. In ﬁscal 2022, we co-hosted a panel discussion
with participants from other companies, outside experts, and our own management on the theme of hormonal disorders common toboth men and women. This provided a valuable opportunity to consider the importance of viewing health as a workplace issue andcreating comfortable working environments.

Womenʼs health and compatibility withdiseases specific to women● Hormonal changes and menopause● Mental health measures● Sleeping well

79

Introduction・Message

How to read health checkup items● Treating various types of cancer● Dementia● Frailty● Dietary habits●

Value Creation
Storyvirtual sporting event and raised approximately 5 billion đồngDai-ichi Life Vietnam is conducting a virtual run event called(¥30 million). Through these activities, we help people maintain“Dai-ichi Life̶The Route of Love” as part of its strategy tohealthy and happy lives.

promote peopleʼs health and well-being. Under this initiative,
participants record more than 50 sports, such as swimmingand yoga, on a smartphone app aimed at improving their health.
Based on the distance they walk or run, they also donate money
to plant trees and help those in need. The event was held in

Main health-related seminars●

Under the slogan “Healthy to Connect̶Healthy to Love,”

Strategies &PerformanceComments received after seminars

It is important to have a work environment where people can talkabout health, regardless of gender, age, or other barriers.
● I felt that talking to someone else made me feel better, instead oftrying to solve the problem on my own.
● It is important to reduce anxiety by having the right knowledge.
●

Sustainability &Management Base

GovernanceDatafour major Vietnamese cities, with a total of 24,475 participants(customers, personal representatives, and Dai-ichi Life Vietnam
employees from all over the country). The distance covered was
8,567,551 kilometers, which was recognized by the Vietnam
Records Organisation (VietKings) as the longest-distance

Dai-ichi Life Holdings Integrated Report 2023

80

Sustainability

Management Base

Message from the CIO/CDO■ Promotion of global innovation and fostering of a digital culture

DX & Innovation Promotion

To complement our organizational units in Tokyo that arebusinesses from the perspective of improving CX, andspeciﬁcally dedicated to innovation, we have established bases

contribute to our company becoming a global top-levelin Silicon Valley and London to conduct networking with local

insurance group.

companies and research. Through these bases, we are working to

In this era of major change sparked bytechnology, we will foster a strong digital culture
across the Group, thereby turning it into digitaldriven, high-growth organization.
Senior Managing Executive Officer,
Chief Information Officer/Chief Digital Officer

keep track of trends in advanced technologies and uncover andcollaborate with start-ups in a timely manner and on a global scale.
On the other hand, to introduce and embed such
advanced technologies within the Group, and to link them

Dai-ichi Life
Innovation Lab(London)essential to instill a strong digital culture in all organizations. To

Stephen Barnham

their DX literacy, and we offer various reskilling programs to

we will create innovative digitally-driven services andNorth America

Dai-ichi Life Innovation
Lab (Shibuya)

this end, it is essential for each and every employee to enhance

By spreading digital culture throughout the Group,

Dai-ichi Life
Innovation Lab(Silicon Valley)

Europeto the enhancement of the customer experience (CX), it isfurther foster a sense of pride and satisfaction in their work.

Japan
Organizational units specifically dedicated to innovation
HD IT and Digital Planning Unit / DL DX Strategy Dept.

My name is Stephen Barnham, and I was appointed Chiefcomplete transactions without speaking with a representative.

Information Ofﬁcer and Chief Digital Ofﬁcer (CIO/CDO) in April

This is also effective at connecting our customers with the2023. After a journey stretching more than three decades incorrect service professional when direct human interaction is■ Operation of the Innovation Fundglobal ﬁntech, I was delighted and privileged to join the Dai-ichi

needed.

As the transformation of the insurance industry throughdemonstration experiments and are continuing to beinnovation accelerates globally, a group-wide transformationconsidered for implementation.

long-term well-being, Star Union Dai-ichi in India deployed

opportunities due to the COVID-19 pandemic, which“YouMatter.” This is a customer engagement app enabling

accelerated the digital transformation of our industry andphysical, mental and ﬁnancial wellness for customers.

society. We responded swiftly and effectively to the changing

These are excellent examples of how we are usingneeds and expectations of our customers and staff bytechnology to remove friction from our customer experiences,developing tools to support them during those difﬁcult times.

make our staffsʼ jobs easier and build a robust and secure

An example of this was the enablement of remote sales, using

digital infrastructure.

a combination of video technology and AI tools, we created

One of the key factors that enabled us to achieve thesea chatbot and an online platform to facilitate sales when our

results has been our digital culture. In an age of exponential

sales representatives could not meet customers in person.

growth in digital transformation, a strong digital culture is

We also enabled ﬂexible working for our teams and havecritical. This is achieved not only through the deployment offurther extended the adoption of these new ways of working

cutting-edge technology but also through developing talent

on a permanent basis. This has created a wonderful working

with contemporary skills and ensuring the democratization ofenvironment in which staff can more effectively balance theirdigital across all levels of the organization. We believe thatwork and private lives.

digital culture is not only a source of competitive advantage

We made signiﬁcant progress in our strategic

but also a driver of employee satisfaction and retention.

priorities of enhancing our digital capabilities, expanding our

As we look forward to this year, we will continue theproduct portfolio, diversifying our distribution channels andjourney to build Dai-ichi into a high-growth, digitally-driven

strengthening our partnerships. An example of this is theorganization. We will continue to deploy digital tools,

strong partnership with the U.K.-based insurtech company

develop our talent and improve our ways of working. We

YuLife. This partnership will not only potentially provide us withwill particularly make extra effort across our global footprint

new ways to serve and support our customers but also have ato bring us closer together as one Dai-ichi team and morepositive impact on deepening the digital culture of the ﬁrm.

effectively use our amazing talent.

TAL also illustrated this, with the launch of a new

With our staff and customers ﬁrmly at the center of ourdigital insurance platform for its group insurance business.

thinking, we will continue to explore new business models and

The OpenAPI-based, cloud native platform will enhance user

cutting-edge digital solutions. This will include extending our

experience while streamlining policy management and claims

research in areas such as AI and embedded insurance.
During these times of signiﬁcant change driven byprocessing for its partners.
As a further example, Protective Life also deployed atechnology, I look forward to applying all my experience andnew cloud telephony engagement platform. Natural language

expertise to lead Dai-ichi to become a top global insuranceinteractive voice response capabilities enable customers toplayer.

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Baseof innovative organization is necessary to achieve sustainablegrowth.
Toward this transformation, we launched an innovationData

the latest regulatory trends and ideas that utilize cutting-fund in ﬁscal 2021 with the themes of fostering a culture ofedge technologies, but also contributed to the embodimentinnovation, improving customer experience, and identifyingof group synergies, such as the initiation of collaborative

new business opportunities.

projects among group companies across countries.

This initiative supports the demonstration experiments
of innovative business ideas that contribute to the sustainablegrowth of the Group over the medium to long term,
overcoming the various constraints of each group company,

Final pitch

including overseas business.
In ﬁscal 2022, the second year of the program, the fundheld two rounds of funding, attracting 14 ideas from four
countries. Of those, 11 passed the initial stage of selections

Ideas
Submitted

and were presented at a pitch event where more than 100
internal and external relevant parties attended, with nine ideas
ultimately being selected to receive funding support. Of the
17 ideas that we have funded so far, three have completed

Regional ideas■ Initiatives around the Innovation FundThe Innovation Fund was the starting point, leading to the

Ideas
PitchedFiltered ideas

Ideas
FundedPoC/
Funded ideas Implementation

The north star
Forming of innovator community

Asia Pacific

AI/Data Science
Community

systematization of peripheral measures in each groupcompany. For example, Protective (U.S.A.) and TAL (Australia)

United States

have implemented their own programs for developing
innovative human capital and ideas. We are accelerating ourefforts to foster a culture of innovation and develop human

Idea Developers
ProgramJapan

Australia

capital including the APAC region and Japan. Participants inthese programs became those who challenge the Innovation
Fund, and this initiative serves as a “North Star” foremployees of group companies.

GovernanceThis initiative not only led to the creation of several
innovative ideas, including advanced ideas that respond toFund panel

In 2022, we faced unprecedented challenges andFund administration

In a further example of how we align with our customersʼ

family earlier this year.

81

Innovation Network

Training Program for
Digital Transformation Talents

Innovation Showcase

Innovation
Fellowship
ProgramDai-ichi Life Holdings Integrated Report 2023

82

GovernanceDiscussion with Directors

the role expected of them by the market.
Chair of Audit &Supervisory Committee

As part of this effort, we have initiated dialogues
between outside directors and internal directors and executiveofﬁcers. Each dialogue takes around two hours. I have

Rieko Satoquestioned them about their roles, missions, and duties andgained a good understanding of the challenges and issues
faced by our company. This was a good outcome.
I also told the Audit & Supervisory Committee and the
Audit & Supervisory Committeeʼs Ofﬁce that we intend to playa proactive role in the Groupʼs governance. As for execution,
there are various decisions that can be made depending on
the situation. For example, some identiﬁed issues can be put
off and discussed later. In all cases, however, the ﬁndings ofaudits and dialogues with people on the executive side, during
those in which we question the appropriateness of their
PROFILE

judgments, are fed back to them.
One of the biggest challenges we face is our domestic
business. I believe that our future challenge is which direction
we take our domestic business as a whole, including the issue

Partner at Ishii Law Office. Outside director (Audit & Supervisory
Committee member) of the Company since 2016. Drawing on her
knowledge of corporate legal affairs, Ms. Sato actively expresses
her opinions from an objective perspective at Board of Directors
and other meetings and plays a role in supervising and auditing
management of the Company.

of Dai-ichi Lifeʼs new business being sluggish, as pointed out

Seiji Inagaki

Rieko Sato

Koichi Masuda

Koichi Maeda

Chair of the Board of Directors

Audit &
Supervisory Committee

Chair of the Nominations
Advisory Committee

Chair of the Remuneration
Advisory Committee

Fiscal 2022 was a year of progress for group governance. For example, we appointed an outside director as Chair of the Audit &Supervisory Committee, and we elected a new president, ending the situation in which one person served concurrently as presidentof both Dai-ichi Life Holdings and The Dai-ichi Life Insurance Company (Dai-ichi Life). In this section, our directors who chair theboard or each committee reviewed our governance efforts and discussed future objectives.

Theme 1

83

Review of Fiscal 2022: Evolution ofGroup Governanceby investors and analysts as well.

medium- to long-term basis over a span of three years. To

Maeda Looking back on the past year, I would like to talkevaluate them more effectively, we also adopted relative

about the remuneration system for directors and executive

total shareholder return (TSR) as an indicator, which wasofﬁcers. In the second quarter of ﬁscal 2022, we launchedstrongly requested by our shareholders. This system enables

a remuneration system based on job value grades, with the

management to take more responsibility for the Companyʼsbasic aim of being able to provide clear explanations tostock price because they can see how well they are

external parties, including about remuneration system for

performing against similar companies we benchmark.
In addition, we incorporated a sustainability index into

directors and executives.
During the year, the Remuneration Advisory Committee

our LTI system. This will help us evaluate the sustainability-

also discussed the process for determining remuneration for

related initiatives of directors and executive ofﬁcers fromdirectors and executives. In the past, it was unclear from thethe perspective of remuneration. While we will likely need tooutside which responsibilities and authority were the basis

adjust the system in the future, the fact that we were able toof evaluation and how remuneration was determined. Now,

launch a new remuneration system was signiﬁcant.
The Remuneration Advisory Committee operates in the

we have changed the system to evaluate the scale of duties
after listening to the opinions of outside consultants andsame way as the Nominations Advisory Committee, as both

determining the grade of each duty.

committees clarify the decision-making process, engage

Another major reform is the introduction of the Long-in deliberations, and submit the results to the Board forTerm Incentive (LTI), a compensation system that conducts

ﬁnal decisions. I believe this sequence is one of the mostevaluations based on longer time horizons. Here, Board

important things for ensuring the effectiveness of the Board

members and executive ofﬁcers are asked to work on aof Directors.

Theme 2CEO Succession Plan

Masuda From a governance perspective, the appointment ofchairpersons are now outside directors.

Ms. Sato, who is an outside director, as Chair of the Audit &Sato I feel I have been asked to play a major role. The Audit

Supervisory Committee was our most important achievement. I& Supervisory Committee is responsible for auditing the

Inagaki Our biggest challenge in ﬁscal 2022 was our2021. After sorting out what we wanted from top management

would like to focus on the impact of this appointment.

directorsʼ execution of their duties as stipulated in Japanʼs

succession plan. I served concurrently as president of bothof Dai-ichi Life Holdings and Dai-ichi Life, respectively, we

Inagaki I feel the same way. I believe that the appointment

Companies Act. It is also responsible for ensuring that

Dai-ichi Life Holdings and Dai-ichi Life until ﬁscal 2022, but I

began selecting people for the position in ﬁscal 2022.

of outside directors as committee chairpersons has beeninternal control systems, such as risk management anddecided to separate the roles in light of the formerʼs businessthe driving force behind the signiﬁcant progress we havecompliance, are functioning effectively. Over the past year, we

expansion and the weight of issues faced by the latter. The

allowed the Nominations Advisory Committee to engage

made over the past year. This means that all committee

paid particular attention to whether the directors are fulﬁlling

Nominations Advisory Committee took up this issue in ﬁscal

in highly transparent discussions. The Board of Directors

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

As the top executive, I made a list of candidates, which

Dai-ichi Life Holdings Integrated Report 2023

84

Governanceregards this succession process as highly satisfactory and amajor achievement in terms of governance.

needed to monitor the progress of transition.
For this succession, Mr. Inagaki quickly decided toBarnham as chief information ofﬁcer (CIO) and chief digital

Masuda I became chair of the Nominations Advisory

proceed on the premise of separation. We also discussed

career hire from a bank who joined the Dai-ichi Life Group in

Committee in June 2022. At that time, not only myself but

the possibility of eliminating the concurrent roles of directors

2015, as chief sustainability ofﬁcer (CSuO).

also four outside directors were reappointed as Committee

and executive ofﬁcers as much as possible, so that both

The insurance business is unique in that the way

members. Because some of those directors had little contact

companies can monitor and execute their own operations

compliance is practiced varies depending on the maturity

with the listed candidates, we ﬁrst conducted interviews

respectively, which is an ideal form of the structure.

stage and culture of each country, so he felt strongly thatwith each candidate. In addition to Nominations Advisory

As you already mentioned, I think it is groundbreaking

Koichi Maeda

people with global experience should be on our managementthat both companies followed such a careful process inteam. With this in mind, he appointed Webster Coates as chieffull-time members of the Audit & Supervisory Committee,

making decisions on top management appointments. This

compliance ofﬁcer (CCpO) in June 2023. For the position ofwere invited to join as observers to deepen the discussion

enables us to explain the process to stakeholders withchief communications ofﬁcer (CCmO), who is responsibleon potential successors. Before starting discussions, we

conﬁdence.

for promoting corporate communications that contributeasked candidates to make preliminary presentations, even

Inagaki Immediately after transitioning to a holding company

to Group management and proliferate our corporate brand,on weekends, and exchanged opinions with them to get tostructure in 2016, various issues were concentrated in Dai-ichi

we appointed Kyoko Wada, who has extensive experienceknow their personalities. Thanks to the transparency of thisLife. Over time, as the number of group companies increasedin Japan and overseas, in July 2023. I feel that Mr. Kikutaʼsselection process, the Nominations Advisory Committee wasand our business area expanded, we began to get a sense

proactive approach to including these outside perspectives isable to operate in a fair, neutral, and independent manner.

of direction regarding Dai-ichi Lifeʼs major structural issues.

testament to the direction and value of his management style.

Sato The fact that then President Inagaki recommended several

Because we will start a new medium-term management plan

Maeda In one fell swoop, Mr. Kikuta hired a CIO/CDO,

candidates was signiﬁcant in deepening discussion about thein ﬁscal 2024, I felt that this was the right time to appoint new

CCpO, and CCmO from outside the company. I feel he has

succession. Rather than make decisions on their own, the outsidepresidents of Dai-ichi Life Holdings and Dai-ichi Life. I decided

a strong desire to quickly create a system for conveying his

directors were able to communicate and engage in dialogue withthat both new presidents should exchange views and launch

management intentions to the entire Group, including globally,

the executive side while considering who would be best suited toa new beginning based on a common perspective, instead ofwhile incorporating outside cultures. As outside directors,

demonstrate their duties. With this in mind, we recently

handle management issues at Dai-ichi Life Holdings.

me remaining in that role.

we also believe that in order for the CXO system to take root

began exchanging views with the CXOs through the dialogue

After more than two hours of dialogue between only the

Masuda The Dai-ichi Life Groupʼs business is centered on

and operate effectively, the responsibilities and authority

with the executive side hosted by the Audit & Supervisory

outside directors and each candidate, we could guess why the

insurance, but it is broadening its business domains and isgiven to the CXOs must function well so that they can fullyCommittee, showing that we support the CXOs in all aspects.

president recommended these candidates. The best part was ouralso actively expanding overseas. I believe that Mr. Inagaki

ability to discuss the issues from multiple layers and perspectives,

and the executive team felt that the time had come tostarting with 360-degree evaluations from an outside consultant,reevaluate the position of the Dai-ichi Life Holdings to achieve

followed by discussions by the Nominations Advisory Committee

sustainable improvements in corporate value.
For future successions, the Board of Directors discusses

Theme 4

PROFILE

Committee members, all other outside directors, as well as

and then the Board of Directors. While I have experience to be

After serving as Executive Vice President and Representative
Director of NIPPON TELEGRAPH AND TELEPHONE EASTCORPORATION and President and Representative Director of NTT
FINANCE CORPORATION, Mr. Maeda became an outside directorof the Company in 2016. He actively expresses his opinions on
management from a global and objective perspective at Board
meetings and other forums and plays a role in supervising
management of the Company.

Enhancing the Group ʼ s Governance Structure

engaged in the succession of another company, it was my ﬁrst

what type of person is desirable based on the current

time to see the process worked in such a good manner.

business situation. In this age of volatility, uncertainty,

Maeda I was appointed as an outside director of Dai-ichi Life

complexity, and ambiguity (VUCA), external conditions are

Inagaki The majority of people working at Dai-ichi Life

Holdings when it was established in 2016. Since then, I havechanging rapidly, and I feel we need to review the situation

Holdings are originally from Dai-ichi Life. There are positive

Here, we need to take action, such as establishing aalso expressed my opinion that the concurrent presidency ofeach time. Decisions about succession should incorporate

aspects to this, of course, but there is also the possibility offorum for communication between Dai-ichi Lifeʼs executive

Dai-ichi Life Holdings and Dai-ichi Life might be problematic

multiple perspectives, including from outside organizations

negative effects if employees cling to the past successful

officers and the outside directors of Dai-ichi Life Holdings.

from a governance standpoint. At that time, however, thosesuch as an external consultant, as was the case in Mr.

experiences and paradigms, especially in the time of

In fact, we engage in such dialogue once every two or threecompanies were two sides of the same coin, and considering

Kikutaʼs succession this time.

uncertainty for the future. Therefore, it is important toweeks. We also visit our wholly owned subsidiaries for onsite

incorporate diverse perspectives into the Group.

inspections to ensure proper communication. Our policy is

the smooth transition to a holding company structure, we

In this sense, having Audit & Supervisory Committee

Theme 3

Expectations for Our Executive Structure Ledby the New CEO

optimization.

to visit the three important life insurance subsidiaries andmembers convey their external perceptions and thoughts

each direct subsidiary of Dai-ichi Life Holdings, as well as our

directly to the executive side would deﬁnitely be beneﬁcial.

wholly owned life insurance subsidiaries overseas.

Unfortunately, we still have work to do with respect to

Masuda To be honest, there had been an information gap

spreading diversity in Dai-ichi Life Holdings, so for now weat Dai-ichi Life Holdings between its Audit & Supervisory

are depending on the voices of outside directors. I have theCommitteeʼs member and its other outside directors. Since

impression that Mr. Kikuta feels the same way and is taking

Ms. Sato became chair of the Audit & Supervisory Committee,

ﬁrm steps to address this issue.

however, outside directors who are not members of that

Inagaki We were well prepared to make a solid start under

mind, which included the expansion of the CXO system, so we

Sato I believe that communication is the key to fosteringcommittee have been participating in the dialogue with

our new management structure in April 2023. Having decided

got off to a smooth start.

trust and is the most important aspect of group governance.

executive officers. As a result, we have come to understand

Mr. Kikuta is strongly passionate about making the

As Mr. Inagaki mentioned, Dai-ichi Life has had successful

each otherʼs personalities. This is necessary for theDai-chi Life Holdings, I asked him to first submit a personnel

Dai-ichi Life Group a globally competitive entity. Accordingly,

experiences, but if it remains unchanged can it really help

development of the Group as a whole.

proposal. The Nominations Advisory Committee shared myhe placed high priority on digitalization and building a robust

increase the corporate value of Dai-ichi Life Holdings? We

Maeda We, the outside directors of Dai-ichi Life Holdings,

desire to have Mr. Kikuta start with the structure he had insystems infrastructure, and to this end he assigned Stephen

need to increase corporate value through comprehensive

are under the assumption that we will not intervene in detailin fiscal 2022 that Mr. Kikuta would become president of

85

Chair of theRemuneration Advisory
Committee

ofﬁcer (CDO). He also appointed Hidehiko Sogano, a mid-

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

86

Governanceabout business execution at Dai-ichi Life. However, I feel we

Dai-ichi Life Holdings share their thoughts, and the Board of

Maeda Many Japanese companies face the issue of humanneed to transform our domestic business together with Dai-

Directors of Dai-ichi Life Holdings monitors the situation as

resources as they move forward with globalization, but the Dai-

ichi Life while maintaining a relationship of trust and tension.

well.

ichi Life Group has been working on globalization for the past

One of Dai-ichi Lifeʼs business challenges is the decline

We are also monitoring whether the corporate culture

Chair of theBoard of Directors

20 years. We have people like Mr. Inagaki and Mr. Kikuta, whoin its value of new business. Will it continue this way orreforms that we are promoting in the wake of misconduct

are leading our business globally, and as Mr. Inagaki mentioned

can it make a successful recovery? Meanwhile, Dai-ichi Lifeat Dai-ichi Life have been instilled to the very end of theearlier that we have outstanding people among our overseas

Holdings needs to consider how to make improvements withorganization. Without going into specific issues, we areGroup companies, so Iʼm not too worried about our current

the same direction in mind. For example, Dai-ichi Lifeʼs Net

monitoring key factors and discussing with the Board ofmanagement team. However, overseas business accounts for

Promoter Score (NPS®), a measure of customer engagement,

Directors whether the results are being achieved. I also

around 30% of the Dai-ichi Life Groupʼs profit and is expected

is declining, which may cause a reputational risk to outside.

believe that monitoring global operations will become

to reach nearly 50%. As a global company, we urgently need toWith this in mind, the top executives of Dai-ichi Life andincreasingly important going forward.

create a management structure to address this.

Seiji Inagaki

By putting in place a CXO system that includes overseas
human resources, we are now taking on the challenge ofdeveloping new group management. We have also begun
designing various systems, including a remuneration system for
scouting and hiring foreign human resources, while considering
how personnel exchanges with employees of overseas groupcompanies should be handled. As an outside director, Iʼm very
keen to join these discussions with a sense of anticipation.

Mr. Inagaki became President and Representative Directorof the Company in 2017 and Chair of the Board in 2023.
He has extensive business knowledge and experience incorporate planning and investment planning as a memberof the Group. He has played a central role in the transition
to a holding company structure and has developed andimplemented its growth strategy.

Inagaki I believe that overseas experience is an importantstrengthen our global management system.

part of global business management. Mr. Fujii, who served

Sato The Dai-ichi Life Group has many exceptional humanas president and chair of Dai-ichi Life Vietnam, the top of DLI

resources among its foreign employees, including people

Asia Pacific, retired in March 2023. He did an excellent job ofin top management of overseas subsidiaries. I met Mr. Fujii

simplifying and visualizing business management tools. Afterwhen I went to Singapore for an audit, and I could tell that hedetermining what was important in the Asia-Pacific region,

was a trustworthy person. Similar to Mr. Fujii, we have many

which has many emerging economies, he set precise KPIs

capable people in the United States, Australia, and elsewhere,

and worked to penetrate the market. Mr. Fujii, who hails fromand I believe that our global management structure will evolve

Masuda With the exception of Dai-ichi Life, most major life

slow performance of our new business and the monetary

Vietnam, is a good example of talent who joined the Groupas these people take on new positions within the Group. How

insurance companies in Japan are mutual companies. Dai-ichi

fraud case. Both the executive side and outside directors willfrom the outside and played an active role. To develop suchexactly to promote this evolution is an issue that is still underLife is a top-class Japanese insurance company and should

keep a close eye on this, so our employees can be confident

human resources within the Group, we need to hire people

discussion and will be addressed in the future. As Mr. Inagaki

be more confident about its progress. However, the realand proud of their work and our policyholders can have peacefrom outside and actively promote internal transfers. This will

and Mr. Masuda mentioned, insurance legislation is different

challenge starts now. We have entered the phase of goingof mind.

enable us to increase the mobility of human resources andin each country, so we cannot proceed in a uniform manner.

global and competing with other industries in order to survive.

Inagaki Dai-ichi Life Insurance was established as theOn the other hand, we may be able to unify various businessI hope that stakeholders will pay close attention to how the

first mutual company in Japan and its founder, Tsuneta

management tools, KPIs, and the like and are exploring

Dai-ichi Life Group fares in the future.

Yano, was obsessed with “firsts.” It takes careful research,various possibilities in that regard.

Maeda Choosing to become a stock company naturally

deliberation, and courage to make the first move. That makes

Masuda According to the population decline, the overallmeans that we are exposed to the market. For this reason, we

it all worthwhile. His son, Ichiro Yano, later became themarket size of domestic life insurance business is shrinking.

must increase corporate value to meet the expectations offourth president. Around the time of our 50th anniversary, he

Therefore, global expansion is essential. In Asia, where weshareholders. As outside directors, we must always listen to

wondered, “Are our founding principles still in place?” Thissee particular growth, attracting and training global humanthe market and give feedback to the executive side.

shows that Dai-ichi Life has a strong appetite for challenge at

Chair of the Nominations
Advisory Committee

Koichi Masuda

PROFILE

resources is a major challenge. At that time, discussions

87

PROFILE

Theme 5Strengthening Our Management Structure for
Globalization

After serving as Chair of the Japanese Institute of Certified
Public Accountants (JICPA), Mr. Masuda became an advisor
to that organization. He was appointed as an outside director(Audit & Supervisory Committee member) of the Company
in 2016. Drawing on his financial expertise, he actively
expresses his opinions from an objective perspective at
Board of Directors and other meetings and plays a role insupervising and auditing management of the Company.

Introduction・Message

Value Creation
Story

Strategies &Performance

Theme 6

Message to Stakeholders

Although stock companies have many more challenging

its core. Everyone who works at Dai-ichi Life put a value on ais brought up at Board of Directors, such as whether or notaspects than mutual companies, we have turned to a group-

challenge. As president for six years, I was fulfilled with thisEnglish should be the language of communication. Some

based management style toward globalization. As a globalmind.

other companies I work for hold their Board of Directors

insurance group, we need to make this structure successful

meetings in English and include simultaneous interpretation,at all costs. To this end, I would like to raise my voice,succession and our remuneration system is testament toand Dai-ichi Life Holdings may need to do so as well. As thesometimes with critical opinions, through discussions withthat spirit. Mr. Kikuta, the new head of our company, is also

number of foreign nationals among our employees increases,

the executive side.

passionate about changing and taking on new challenges.

there is also the issue of whether our internal communication

Sato The Audit & Supervisory Committee will monitor

Indeed, our “founding principles” are still alive today.

should be in English.

the actions of the executive side from the perspective of

The fact that we are embracing the challenge of

Giving shape to this spirit requires a strong governancestakeholders, especially shareholders. We will always provide

structure, and I believe that Dai-ichi Life Holdingsʼ governancehave no time to train employees in Japan slowly. We cannot

feedback and work alongside them to achieve even higher

structure is ahead of the curve in the insurance industry. Some

simply transfer them to a subsidiary and have them develop

goals.

of the comments we receive may be harsh, but they certainly

Amid rapidly changing external conditions, however, we

slowly over a period of years. We need to address this assoon as possible.

Sustainability &Management Base

Governance

Data

On the other hand, some stakeholders, such as

make us stronger. We will further enhance our governancepolicyholders and employees, may be concerned about thestructure to meet the expectations of our shareholders.

Dai-ichi Life Holdings Integrated Report 2023

88

GovernanceCorporate GovernanceCorporate governance structure

Election/Dismissal

Directors (excluding directors serving as Audit & Supervisory Committee members)

Directors (Audit & Supervisory Committee members)

Dai-ichi Life Holdings

2010 Listed its stock on the Tokyo Stock Exchange(First Section)2013 Established the Advisory Board
2014 Established the Internal Control Policy for the
Dai-ichi Life Group2015 Established the Basic Corporate Governance Policy

2016 Transitioned to a holding company structure/company with
an Audit & Supervisory Committee
2023 Terminated the practice of the president of the Company
concurrently serving as the president of Dai-ichi Life

2014 Established Independence Standards for Outside
Directors
2014 Commenced self-assessment of the Board of
Directors

2016 Commenced self-assessment of the Audit & Supervisory
Committee
2017 Commenced self-assessment of the Nominations Advisory
Committee and the Remuneration Advisory Committee
2020 Transitioned to a structure in which the chair of the Board
does not concurrently serve as representative director

2011 Introduced share remuneration-type stock options

2018 Introduced a restricted stock remuneration scheme
2021 Adopted relative TSR as a KPI
2022 Introduced a performance-linked stock remuneration scheme

Company with an Audit & Supervisory Committee

Chairperson

Breakdown of
remuneration for
directors

1 year
2 years for directors serving as Audit & Supervisory
Committee members
Outside directors: 8 years
Directors serving as Audit & Supervisory
Committee members: 12 years

Voluntary advisory bodies
Independent auditor

Audit & Supervisory Committee
Number of meetings held 25

Seiji Inagaki（Director, Chair of the Board）

Chairperson

Rieko Sato
（Outside Director）

Independence

Diversity

Independence

Diversity

Independent
outside directors（7/15）

Non-male,non-Japanese（3/15）

Outsidemembers（3/5）

Non-male,non-Japanese
（1/5）

46.6%

20.0%

60.0%

Cooperation

Internal Audit Unit
ReportLegal and Compliance Unit, Risk Management Unit, etc.
Internal Audit

Protection Business and CX Planning Unit, International Life
Insurance Business Unit, Retirement, Savings
and Asset Management Business Unit, etc.

Accounting Audit

Accounting
AuditorAdvisory Board

Internal Audit
AdviceGroup Companies

Board of Directorsʼ functions/composition

20.0%

independence necessary to fully demonstrate supervisory functions. In principle, outside directors make up at least one-third of
the board. The diversity of the Board of Directors is also taken into consideration. Meanwhile, the Company has not instituted any
restrictions other than the upper limit on the Board of Directors headcount stipulated in the Articles of Incorporation and, as such, it

Overview of the Corporate Governance Structure (as of June 26, 2023)

Number of meetings held 18

Cooperationnecessary to manage in an accurate, fair, and efﬁcient manner and outside directors with the deep insight, rich experience, and thecommittees. Through this and other means, we form an effective corporate governance structure founded on external perspectives.

Board of Directors

Instructions

and supervises business operations execution. The Board of Directors consists of internal directors with knowledge and experience

In addition to establishing an Audit & Supervisory Committee, we have appointed outside directors and established voluntary

Limit on duration of term

Report

The Board of Directors is responsible for making important decisions on our group management strategy, management plan, etc.,■ Corporate Governance Structure

Term of office fordirectors

Outside directors make up the
majority of committee members

Executive
Management Board
Instructions

Former Dai-ichi Life

Audit &
Supervisory Committee

President

Remuneration Advisory Committee:
issues related to remuneration

Initiatives to strengthen corporate governanceCorporate governancemodel

Election/Dismissal

Board of Directors

Nominations Advisory
Committee■ Basic Approach to Corporate Governance

Remuneration
systemElection/Dismissal
Audit, etc.

Outside directors make up more than one-third of the Board of Directors

Effectiveness/
Separation ofsupervisionand execution

Outside Director

General Meeting of Shareholders

We have developed a corporate governance system as stipulated in the Basic Corporate
Governance Policy to ensure transparent, fair, prompt, and bold decision-making whilebalancing supervision and management, to respond to the entrustment of our multiple
stakeholders, such as customers, shareholders, society, and employees, and to achievesustainable growth and enhancement of corporate value over the medium to long term.

Corporate
governancestructure/model/Group
governanceDirector

1) Basic remuneration
2) Single-year performance-linked remuneration
3) Restricted stock remuneration
4) Performance-linked stock remuneration
Nominations Advisory Committee andRemuneration Advisory Committee
KPMG AZSA LLC

12

Remuneration Advisory
Committee

Number of meetings held

11

Chairperson

Koichi Maeda（Outside Director）

Koichi Masuda（Outside Director）

Independence

Independence

Outsidemembers（4/6）

Outsidemembers
（4/6）

66.6%

experience to strengthen corporate governance and increase the Boardʼs effectiveness in a manner that contributes to increasing theCompanyʼs corporate value over the medium to long term.

Roles

Voluntary advisory bodies
Nominations Advisory
Committee

places emphasis on ensuring that the Board of Directors is composed of an adequate number of people with the requisite skills and

66.6%

Audit & Supervisory
Committee*

As a body independent of the Board of Directors, the Audit & Supervisory Committee is responsible for auditing the execution of duties
by directors and our group internal control systems from a legal and appropriateness standpoint, and for performing a supervisory
function over the Board of Directors through the expression of opinions on their appointment and remuneration. The Audit & Supervisory
Committee includes at least one member with considerable knowledge about finance and accounting. It consists of internal memberswith knowledge about the life insurance business and outside members with excellent insight, rich experience, and independence.
The Audit & Supervisory Committee has appointed Ms. Rieko Sato, an independent outside director, as the chairperson.

Nominations
To further enhance management transparency, these committees are established as voluntary advisory committees for the Board ofAdvisory
Directors. Each committee deliberates and decides on certain matters, and subsequently refers proposals to the Board of Directors. The*
Committee /main matters on which each committee advises the Board are as follows.
Remuneration● Nominations Advisory Committee: Election and dismissal of directors of the Company and Dai-ichi Life, Limited and Audit andAdvisory Committee:*Supervisory Board members of Dai-ichi Lifeissues related to● Remuneration Advisory Committee: issues related to remuneration
remuneration
Executive
Management Board

The Executive Management Board, consisting of the president and executive officers appointed by the president, meets to consider
important management and executive matters.

Advisory Board

To further strengthen and enhance governance, the Company has established an Advisory Board to seek extensive advice from outside
experts on a medium- to long-term perspective regarding general management matters.

* Chaired by an outside director

89

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

90

Governance■ Knowledge and Experience of the Company ʼ s Directors (Director skill matrix)■ The Succession Plan

The Company deﬁnes knowledge and experience necessary for directors as follows in order to fulﬁll its supervisory function as a

The succession plan of the Company including president is discussed at meetings of the Nominations Advisory Committee asholding company and to appropriately implement its medium-term management plan. Speciﬁcally, the Company deﬁnes (1) to (7)below as knowledge and experience required for directors of an insurance holding company based on the characteristics of the life
insurance business, and (8) to (10) as knowledge and experience regarding important future business strategies and management
issues based on the medium-term management plan. A list of the (planned) Directors of the Company after the Annual General
Meeting of Shareholders for the 13th Fiscal Year is as follows.

Name

Title

(2)

Corporate
Globalmanagement management

(3)

(4)

(5)

Finance

Accounting/
Actuarial
AffairsLegalaffairs

Seiji Inagaki

〇

〇

〇

〇

Tetsuya Kikuta

Representative
Director,
President,
CEO

〇

〇

〇

〇

〇

〇

〇

〇

Representative
Director,and deciding on its proposals, the Nominations Advisory Committee submits them to the Board of Directors for review. As part ofthis, the committee also makes use of third-party candidate evaluations and takes steps to enhance its effectiveness by, for example,
include the chairperson and the president as well as outside members who are selected by the Board of Directors. Moreover, toDirector, Chair of
the Board

Hitoshi Yamaguchi Managing

After verifying the election and discharge of members of the Board of Directors from the standpoint of eligibility and reviewing

setting up opportunities for candidates to meet with Nominations Advisory Committee members. The members of this Committee

The following is a list of the Companyʼs directors.

(1)prescribed in the Companyʼs Articles of Incorporation.

(6)

(7)

Risk
Compliancemanagement

〇

(8)
ICT/
DX＊

(9)

(10)

Innovation(New business Sustainability
development)

ensure the independence of this committee, more than half of its members are outside members, and to facilitate the mutual sharing
of information with the Remuneration Advisory Committee and the consideration of diverse views as part of committee discussions,outside directors who are not members of the committee also participate in committee meetings as observers.

Basic Corporate Governance Policy (Excerpt)

〇

（1）
Role

Hiroshi Shoji

Director,
Managing
Executive Officer

Hidehiko Sogano

Director,
Managing
Executive Officer,
CSuO

〇

〇

〇

Toshiaki Sumino

Director〇〇〇

Koichi Maeda

Outside Director

〇

〇

〇

〇

〇

〇

〇

〇

The Nominations Advisory Committee, as an advisorycommittee to the Board of Directors, shall confirm
procedures of elections and discharge of directors of theCompany and the Dai-ichi Life Insurance Company, Limitedand Audit and Supervisory Board Member of the Dai-ichi
Life Insurance Company, Limited from the perspective of
eligibility, and shall deliberate and determine committee
proposals. The committee proposals are submitted to theBoard of Directors.

〇

〇

〇

〇

〇

〇

〇

Bruce Miller〇

Outside Director

Outside Director

〇

〇

〇

Outside Director

〇

〇

〇

〇

〇

〇

〇

〇

〇

〇

〇

〇

(Audit & Supervisory
Committee Member

〇

〇

〇

〇

We started a full-ﬂedged discussion on the succession of

in November 2022, the Board of Directors made a formal

president in ﬁscal 2021 and deliberated on “the qualities

decision in December 2022.

Committee Member〇

Be prepared to change the status, and be able toassessment based on the “the qualities required ofembody and promote reforms

top management,” and after the Nominations Advisory

Know what our shareholders and the market expect from the Company

Committee made a decision on the committeeʼs proposal

Have a strong belief in the globalization of the Group〇(Audit & Supervisory〇

for management posts (general manager level, line (section) manager level). Clarifying the requirements (e.g., experience, skills) of〇each post and formulating a speciﬁc succession plan will enable us to strategically develop human capital and implement employee

Outside Director（Audit & Supervisory

rotations in a way that continuously strengthens our organization. As part of our efforts to develop suitable candidates, we are〇〇〇

expanding the range of training programs that we offer, including sending employees to external training and graduate school〇

Outside Director（Audit & Supervisory

programs, and we are implementing initiatives by which our executives are directly involved in training people.
〇

We are also promoting diversity in our management posts to ensure that a diverse range of people participate in decision-〇

making, changing our organizational culture and leading to value creation. As of April 2023, our diversity percentage (percentage

Committee Member）

of employees who are not male, new graduates, or Japanese nationals in administrative (non-sales) management positions) was*ICT stands for information and communication technology, and DX stands for digital transformation.
Note: The relevant item is checked if a director has expertise and experience or has a background as a business manager in the respective field.

Introduction・Messagedirectors, with reference to the results of the third-party

Speciﬁcally, since ﬁscal 2020, we have been formulating a succession plan to systematically develop and promote candidates

Outside Director

Committee Member）

91

Qualities required of top management

our Group.

Committee Member)

Koichi Masuda

ﬁnal candidates were selected after interviews by outsidedeveloping management leaders capable of leading reforms and driving our operations forward to achieve sustainable growth for(Audit & Supervisory(Full-Time))

Ungyong Shu

Proposal of director candidates

With the business environment changing at an increasing speed, we aim to build a system for continuously and strategically

Director

Rieko Sato

Succession of president●■ Developing the Next Generation of Leaders(Full-Time))

Fusakazu Kondo●〇

Director

Takahiro Shibagaki〇

Major themes for deliberation by the
Nominations Advisory Committee

Succession of President

required of top management.” In the last succession, theYasushi Shingai

The members of the Nominations Advisory Committee
shall be comprised of the Chairman, the President andoutside members, and the Board of Directors shall electoutside members from the outside directors or outside
experts. Moreover, to ensure the independence of thisCommittee, more than half of the members shall beoutside members.

Nominations Advisory Committee

Executive Officer

Yuriko Inoue（2）
Composition

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance29.1%, and we will continue working to increase this ﬁgure.

Data

Dai-ichi Life Holdings Integrated Report 2023

92

Governance■ Initiatives for Improving the Effectiveness of the Board of Directors

Examples of improvement measures undertaken in fiscal 2022 based on the fiscal 2021 evaluation

For further strengthening of corporate governance, thein addition to the Board of Directors, is administered to all

Company has been conducting an annual self-assessment

directors, with the results tabulated and analyzed by a third-

regarding the effectiveness of the Board of Directors since

party agency. We then discuss and implement improvementfiscal 2014 to ensure the validity of decision-making by themeasures for the challenges identiﬁed.

Board of Directors, and has utilized this for improvements inthe following fiscal year and thereafter.

Furthermore, since ﬁscal 2023, in order to obtain more

1

received suggestions about evaluations, future issues andregarding the overall governance structure, including thedirections for action from a third-party agency based on one-

Audit & Supervisory Committee, the Nominations Advisoryhour individual interviews with all directors before considering

Committee, and the Remuneration Advisory Committee,

and implementing improvement measures.

An action plan was established by incorporating perspectives of external advisors toward achieving thegoal. Based on the plan, monitoring was conducted in the interim period and at the ﬁscal year-end.

candid opinions, in addition to the questionnaire, we have

More speciﬁcally, an anonymous questionnaire

Pursue initiatives to reform the corporate culture

The Board of Directors reported the progress of initiatives based on the evaluation indicators
determined at the time of establishing the action plan. In the reporting, discussions were held as to theadequacy of the evaluation indicators, among others, thereby appropriate monitoring was conducted.
Issues identiﬁed through the monitoring are reﬂected in the following yearʼs initiatives.
2022.52022.92023.3

Action plan establishedInterim reporting
Update of action plan

Year-end reporting
Initiatives for next year

Fiscal 2021
IssuesMeasures for improvement

Secure opportunities and time for discussion with a focus on proposals related to supervision
by examining items to be proposed in more detail.
● Create better materials such as by stipulating the points of contention at the Board of
Directorsʼ meetings.
● Discuss the monitoring status of progress in the medium-term management plan at multiple
meeting bodies associated with the Board of Directors.
●

Further reinforcement of thesupervisory function as amonitoring board
Further enhancement ofcommunication between
internal and outside directors●

2basis.
In addition to the chair of the Nominations or Remuneration Advisory Committees, the chair of the
Audit & Supervisory Committee is served by an outside director since June 2022 to further strengthen
the supervisory function. In ﬁscal 2022, highly objective and transparent discussions were held
primarily regarding succession of president at theNominations Advisory Committee and operation

Fiscal 2022

of a new remuneration system for ofﬁcers at the
Remuneration Advisory Committee.

Measures for improvement

Promotion of initiatives torenew corporate culture
Examination of systems
to strengthen corporate
governance●

Establishment of an action plan and periodic monitoring by the Board of Directors to ensure
its implementation.

Continue participation of outside directors who are not members of the Nominations/
Remuneration Advisory Committees as observers.
● Continue to discuss governance system, including the composition of the Board of Directors.

●

Provide sufficient information to directors through the use of summaries that clarify
discussion points, etc., in order to enhance discussions.
● Focus on important issues by preparing an annual schedule in advance after carefully
examining the themes to be discussed and the timing of discussions.
● Deepen discussions by holding small-group discussions on specific themes.
●

Further improvement ofoperations of the Board of
Directors meetings

Outside directors who are not members of the Nominations or Remuneration Advisory Committees
participate in committee meetings as observers and express their opinions as appropriate on an ongoing

Further increase opportunities to communicate, utilizing opinion exchange sessions, executive
sessions and other forums.

IssuesConsider structures for strengthening corporate governance3

IssuesEnhance group governancestructure

Share awareness of significant issues for group governance and deepen discussions on
management indicators that should be monitored as a board of a shareholding company,
which will be reflected in the formulation of the next medium-term management plan.

Clarify points in question in strategic discussions to utilize expertise of outside directors andprovide information and prepare materials conducive to active discussions.
● Continue to offer opportunities for outside directors to deepen understanding of theCompanyʼs business through off-site meetings, etc.
● Share awareness periodically among directors as to themes requiring discussions.
● Provide more opportunities for communications between outside directors and executive
officers.
●

Deliberate and engage in an
ideal shape of the Board of
Directors in the pursuit ofgrowth of corporate value

93

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management BaseRemuneration
Advisory Committee

8 times 12 times 11 times

6 times 12 times

The “Board of Directors Ofﬁce” was newly established as a dedicated organization to assist the Boardof Directors and strengthen its operation.
In addition, at the Board of Directors, explanation was thoroughly made using summaries thatclariﬁed the issues, which shortened the time required for explaining the agenda and led to enhanced
discussions.

Details of initiatives

Established the “Board of Directors Office” as a dedicated organization
Strengthen the support system to support the Board of Directors
to improve the effectiveness(October 1, 2022)● Appointed the “General Manager of the Board of Directors Office” at theof the Board of Directors
time of establishment●

Measures for improvement●

5 times

Make further improvements to the operation of the Board of Directors

Objective

Fiscal 2023

FY2020 FY2021 FY2022
Nominations
Advisory Committee

Governance

Data

Provided explanation thoroughly using summaries that clarify the main
points of discussion, etc.
● Changed the seats at random in every meeting of the Board of Directors● Held subcommittee meetings with members grouped at random, after
the Board of Directors or opinion exchange sessions●

Enhance and activate
discussions
Promote outside directorsʼ
understanding of the Groupʼsbusiness●

Dialogue between outside directors and executive officers(Held 4 times in FY2021; 19 times in FY2022)

Dai-ichi Life Holdings Integrated Report 2023

94

Governance■ Officer Remuneration

Conceptual illustration of executive remuneration

We recognize the remuneration system for directors and ofﬁcers as a critical component of “fair treatment” for the directors andofﬁcers responsible for achieving our group vision. Therefore, we set up a basic policy and basic principles, as well as a decisionmaking process, as follows.
who are Audit & Supervisory Committee members) is designed
to provide an incentive to work toward sustained growth andthus consists of basic remuneration, single-year performancelinked remuneration (company performance-linked andindividual performance-linked remuneration), and stock
remuneration (restricted stock remuneration and performancelinked stock remuneration). Outside directors and directors who
are Audit & Supervisory Committee members receive basic
remuneration only. Of the internal directors (excluding those
who are Audit & Supervisory Committee members), those whoare non-executive directors, such as the chair of the board, do
not receive single-year performance-linked remuneration or
performance-linked stock remuneration. The amount of these
remuneration portions is established with reference to thirdparty research on remuneration for management roles atother companies, considering the industry type and othercharacteristics. Moreover, the “Policy for Determining
Remuneration of Directors and Executive Officers” that includes
the aforementioned Basic Policy for Remuneration of Directors
and Officers and Basic Principles for Remuneration of Directors
and Officers were determined by the Board of Directors
following deliberation by the Remuneration Advisory Committee
where outside directors make up a majority of the committee
members.

Basic Policy• Framework that facilitates the sharing of values withstakeholders from a medium- to long-term perspective• Fair remuneration system offering an appropriate level of
remuneration reflecting the size of the personʼs role andresponsibilities and the extent to which those duties are
performed• Reward the contribution of each director/officer by linking
remuneration to the Company and individual performance,encouraging the creation of the values on which our Groupfocuses
Basic Principles
1. Remuneration according to responsibilities andexpectations
2. Consistency with the strategies on which our Groupfocuses
3. Linked to the Company and individual performance
4. Shares interests with all stakeholders
5. Proper level of remuneration
6. Ensures objectivity and transparency
Decision-Making Process
Remuneration for internal directors (excluding non-executive
directors such as the chair of the board and excluding directors

For reference
Executive Officersof subsidiaries(insurance sales dept.)

30

Minimum

30

Directors

Remarks

Basic amount

○

○

○

Remuneration according to duties and responsibilities

Amount linked to singleyear performance

○ ＊1

―

―

Linked to the level of KPI achievement for the fiscal year

50

Minimum

50

Maximum

45

Baseline

45

Minimum

45

Business perspective

ESR (economic value)

Profit indicators
Market evaluation

Group value of new business

Capital efficiency

Group adjusted ROE

Economic Solvency Ratio (ESR)

Capital efficiency (economic value)Group ROEVFree cash

Free cash flow

Sustainability indicators

Set of multiple sustainability
indicators including CO2
emissions*3 Relative TSR is a comparison with the following 10 companies (“HD” denotes“Holdings.”): five domestic insurance companies (Japan Post Insurance, T&D HD,
Tokio Marine HD, MS&AD Insurance Group HD, and SOMPO HD) and five overseas
insurance group companies focusing on life insurance and competing with the Daiichi Life Group in the U.S. and Japanese markets (Aflac, AXA, Manulife, MetLife, andPrudential (US)).

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Target (FY2020)

Actual (FY2020)8%8%100% or higher

203%

Approx. ¥230.0 billion¥107.1 billion

Exceeded benchmark

15%*1 Value of new business is an indicator representing the value when acquiring
new policies in each fiscal year. The figures are the total of group companies’
value of new business, that mainly operate life insurance business.
*2 The stock price (benchmark comparison) is a comparison of the percentagechange in the Company’s stock price during the fiscal year with the percentage

KPIchange in the benchmark for the same period (average of TOPIX (Tokyo Stock
Price Index) and Tokyo Stock Exchange (TSE) insurance industry–specificstock price indicator).

Target (FY2021)

Group ROEV

Actual (FY2021)

3.8%

4.9%

Group value of new businessApprox. ¥160.0 billion¥98.8 billion

Market-related risk reduction

Approx.(¥280.0 billion)(¥392.9 billion)

Free cash flow

Approx. ¥310.0 billion¥333.6 billion

Adjusted ROE

7.1%

8.0%

Approx. ¥260.0 billion¥296.1 billion

Sixth

Second130% or higher

227%

Group adjusted profit

Market evaluation

Relative TSRGroup economic Solvency Ratio (ESR)

Details of total remuneration

Future profit (economic value)＋65%

Stock price (benchmark comparison)*2

Set as an incentive to increase corporate value, linked to achievement of
indicators selected based on management goals

Soundness (economic value)

22

Group value of new business

―

KPI

10
10

¥282.8 billion―

Relative TSR*3

10

Approx. ¥250.0 billion○ ＊1,2Category＋44%*1

Performance-linked stock
remuneration

Market valuation

33

15

(45%)

Group adjusted profit

Set as an incentive to achieve management objectives and share profits
with shareholders over the medium to long term

KPI

10
10

(40%)

10

Financial soundness―

Group adjusted profit

10

KPI

―

Category

51
25

88

Group ROEV○

Accounting profit

＋69%

(50%)

35

Capital efficiency

Restricted stock amount

Main KPIs for performance-linked stock remuneration

44

20

Targets and actual values for main KPIs related to the company performance-linked remuneration

Financial soundness

Main KPIs for single-year performance-linked remuneration

150
20

20

20

Baseline

Accounting profit*1 Excludes non-executive directors such as the chair of the board*2 The Company has in place clawback provisions with respect to performance-linked stock remuneration that require remuneration recipients to return to the Company
common stock issued or disposed of (or an amount of money equivalent to the value of that stock), even after the performance evaluation period has ended and theCompany has issued or disposed of the stock, if the Board of Directors determines that, for example, the balance sheet is subject to a material downward revision or the
remuneration recipient has committed serious legal violations, or for other reasons determined by the Board of Directors.

100
75

50

Free cash

Outside50

30

Maximum

Economic value

Directors(excluding directors serving as Audit &(Audit & Supervisory
Supervisory Committee members)
Committee
members)

95

Executive Officers
other thanthe president

30

Baseline

Business perspective

Director remuneration structureInternal

President

Maximum

Single-year performance-linked remuneration
Performance-linked stock remuneration

Basic remuneration
Restricted stock remuneration

Note: A value of 100 indicates that the KPI baseline levels wereachieved. We have switched from a system of remuneration for
executive officers and the like based on job position to one basedon job responsibilities.

Officer type
Directors (excluding members of the Audit &Supervisory Committee and outside directors)

Outside Directors (excluding members of the
Audit & Supervisory Committee)

Directors serving as members of the
Audit and Supervisory Committee

Number
of
Basic
board
Other
(¥ in millions) remuneration
Company performance amount Individual performance amount Restricted stock amount Performance-linked stock amountmembers
Remuneration components (¥ in millions)

Total
remuneration

Single-year performance-linked remuneration, etc. Nonmonetary remuneration (Stock remuneration)

329

194

43

17

58

15

0

7

67

67

-

-

-

-

-

5

97

97

-

-

-

-

0

3

68

68

-

-

-

-

-

3

(excluding outside directors)

Outside directors serving as membersof the Audit & Supervisory Committee

Notes:
1. The performance-linked amount shown in the table above is the total of remuneration for the 3 months from April 2022 to June 2022 based on the
results for the fiscal year ended March 31, 2021, and the remuneration for the 9 months from July 2022 to March 2023 based on the results for the fiscal
year ended March 31, 2022.
2. The performance-linked stock amount shown in the table above is the total for the period from April 2022 to March 2023 of an amount recorded as
expenses as remuneration and an amount paid in cash as performance-linked stock remuneration to changes in the rank of directors.
3. Stock remuneration, which is positioned as nonmonetary remuneration or remuneration equivalent thereto, consists of restricted stock remunerationof the Company for the purpose of boosting the directorsʼ morale and desire to contribute to the enhancement of shareholder value of the Dai-ichi LifeGroup as a whole and promoting the sharing of value with shareholders for as long as possible; and performance-linked stock-based remuneration of theCompany as an incentive to enhance corporate value that is linked to the level of achievement of performance indicators selected based on management
objectives of the Dai-ichi Life Group, including the medium-term management plan. The restriction-on-transfer period for the said restricted stock is 3
years for directors (excluding outside directors and the Companyʼs directors concurrently serving as Audit & Supervisory Committee members), and its
terms include the following: (1) If the eligible director retires or resigns from office as a director, etc. of the Company or a certain group company due
to expiration of his or her term of office, reaching retirement age, or any other reasons deemed reasonable by the Companyʼs Board of Directors, therestriction on transfer shall be removed immediately after the retirement or resignation; (2) If, during the restriction-on-transfer period, the eligible director

is sentenced to imprisonment without work or a heavier punishment, or is determined to be in material violation of laws and regulations or fall under othercertain conditions, and it is deemed reasonable by the Companyʼs Board of Directors, the Company may acquire the said shares of restricted stock without
consideration; and (3) Establish clawback clauses after the removal of the restrictions. The performance evaluation period for the said performance-linked
stock remuneration is the three fiscal years, and its terms include the following: Directors (excluding directors serving as Audit & Supervisory Committee
members and outside directors) determined by the Companyʼs Board of Directors shall (1) have continuously remained in the position of either director orother positions of the Company determined by the Companyʼs Board of Directors throughout the performance evaluation period; (2) have not engaged inviolations of laws and regulations or any other misconduct as defined by the Companyʼs Board of Directors; (3) satisfy requirements deemed necessary
to achieve the purpose of the performance-linked stock remuneration scheme; and (4) establish clawback that has been issued or disposed of, even when
the performance evaluation period has already ended and the shares of common stock of the Company have been issued or disposed.
4. Outside directors did not receive any compensation other than remuneration from the Company or receive any remuneration from the parent of theCompany, etc.
5. The above figures include two directors excluding directors serving as Audit & Supervisory Committee members (include one outside director) and
one director serving as Audit & Supervisory Committee member who retired from the Company on June 20, 2022, and one director serving as Audit &Supervisory Committee member who assumed office on June 20, 2022.

Dai-ichi Life Holdings Integrated Report 2023

96

Governance■ Establishment of Internal Control and Its Operation■ Risk Management

We have an Internal Control Policy that stipulates the core

Our Group practices enterprise risk management (ERM),

worst cases, and then carry out stress tests. We report results

which is an approach to improve ﬁnancial soundness andof stress tests along with an analysis of the impact on ourenhance corporate value simultaneously. As part of theseﬁnancial soundness to the Board of Directors, and consider

efforts, we believe that the role of the Risk Management

strengthening our monitoring, management, and ﬁnancial

Department is to comprehensively grasp not only current risks

responses.

requirements for the establishment and operation of internalInternal Control Policy for the Dai-ichi Life Group

control to ensure the integrity and appropriate conduct ofbusiness activities of our Group and to maintain and build

1. System for ensuring proper operations within theGroup

corporate value.
In addition, in view of the past incidents of the

2. System for ensuring execution of professional

fraudulent mishandling of cash that came to light at Dai-ichi

duties in accordance with applicable laws,

by reinforcing responses to those risks. The departmentthat could have a major impact on our business as “Material

Life, we, as the holding company, also improve the level of theregulations, and the articles of incorporation

also promotes initiatives to accept risks appropriately andrisks.” In identifying material risks, we evaluate the impact*1

but also future ones, while avoiding and suppressing losses

Furthermore, our Group identiﬁes foreseeable risksGroupʼs internal control system, and establish communication

3. System for risk management

proactively as a source of proﬁt and capital. Speciﬁcally, we

and possibilities of each risk on a scale of 1 to 4, based

and information linkages between our three lines of defense

4. System for ensuring efﬁcient execution of

aim to ensure ﬁnancial soundness by maintaining the riskon the results of material risks identiﬁed by each group

amount within the amount of capital as we boost corporatecompany. Using a heat map, important risks are identiﬁed

value by improving returns against risk, which is achieved byas group-based material risks and reviewed annually. In

efﬁciently allocating capital.

addition, “emerging risks*2” are also identiﬁed every ﬁscal(business divisions, back office and administrative divisions,and the Internal Audit division). Each line regularly reports to
the Board of Directors and the Executive Management Boardon the status of initiatives and monitoring in light of theirrespective functions.
At the same time, we implement internal control self-

professional duties
5. System for ensuring appropriateness and reliabilityof ﬁnancial reporting
6. System for preserving and managing information

In our Group, we control ﬁnancial soundness by

year as risks that are not currently material but are expectedconcerning execution of directorsʼ and executive

integrating the various risks of economic value, accounting,to emerge. Risks are taken into account for business planningofﬁcersʼ duties

and regulatory bases, and comparing the amount of risk toand are managed appropriately from the time any evidence

assessments that also cover group companies to raise

7. Systems for ensuring effective internal audits

our amount of capital. In internal risk control, we practice risk

is recognized. Our Group regularly reports the status of these

the effectiveness of the Groupʼs internal controls. These

8. Systems for the execution of duties of the audit

management while placing a high emphasis on an economic“Material risks” to the Executive Management Board and theassessments promote appropriate business operations

and supervisory committee

value–based approach. For example, we are enhancing

Board of Directors and strives to avoid these risks and takesby identifying major risks in each business process andour measurement models for the calculation of capital andappropriate countermeasures when such risks occur.

evaluating and analyzing the importance of each risk in terms

risk amounts on an economic value basis considering theof impact and size of losses incurred if it were to become
evident as well as the effectiveness of risk control measures.
Through these endeavors, we will continue to operate

More information about the Group Internal Control Policy
https://www.dai-ichi-life-hd.com/en/about/control/in_control/index.html*1 Impact is based on economic loss, reputation (impact on sales, management
responsibility, and stock price), and other factors*2 Risks that are expected to emerge due to changes in the environment and otherfactors

Insurance Capital Standard (ICS), scheduled for adoption
in 2025, and the discussions for economic value–based
regulation in Japan. In addition, we have incorporated an

our internal control system to realize an effective risk-based

economic value–based approach in our Groupʼs allocation

Group internal control system based on the three lines ofof capital and product design as we pursue management

defense.

that is consistent with risk measurement principles. At theMore information about risk management
https://www.dai-ichi-life-hd.com/en/about/control/in_control/administer.html

same time, when we identify and assess risk phenomenathat cannot be entirely quantiﬁed with our models, we use
past events, such as ﬁnancial market turmoil and large-scaledisasters, as well as future scenario analysis, to estimate the
The Legal and Compliance Unit is responsible foradvanced, there have been increasing calls for us to takeascertaining serious risks pertaining to compliance andappropriate action according to global regulations such as

conducts monitoring and guidance at each group company.

anti-money laundering, anti-bribery, and anti-corruption, andImportant matters concerning compliance are discussed byregulations on the safeguarding of personal information

the Group Compliance Committee, then reported to the Boardand consumer protection in Japan and overseas, as wellof Directors, the Audit & Supervisory Committee, and otheras to address social and customer demands. In thesemanagement bodies to receive instruction.

circumstances, it is getting more important to ensure

In ﬁscal 2022, in addition to strengthening theappropriateness from a legal and compliance perspective, toframework in light of global regulations and enhancing ourstrengthen the soundness of management, and to improve

compliance management system for insurance sales, we are

the corporate value based on it.

also checking on the efforts of the Business Management

Our Group adheres to laws, regulations, and the Articles

Quality Reform Task Force established within Dai-ichi Life inof Incorporation, while following social norms and market

light of the incidents of the fraudulent mishandling of cash

rules. At the same time, we work to identify potential conduct

by employees and former employees of Dai-ichi Life and therisks. We are pursuing compliance according to risk amid

progress of improvement measures to eliminate monetary

the changing business environment surrounding us, including

fraud at other Group companies, and providing guidance andthrough efforts to identify potential conduct risks from a

support as necessary.

Dai-ichi Life Holdings
Auditing, etc.

ReportingBoard of Directors
President (CEO)Executive
Management Board

CRO

Instructions*2

Instruction

Group ERM Committee

Risk Management Unit, etc. *1
Reporting*2

Insurance risk

Marketand credit risk

Liquidity risk

Operational risk

Corporate Planning Unit, InternationalLife Insurance Business Unit, etc.
Instruction, guidance, monitoring, etc.

Reporting, etc.

Group companies, including regional headquarters

forward-looking perspective.

Internal
auditing

Internal
Audit Unit *3

As the globalization of the businesses of our Group has

Audit &
Supervisory Committee *3■ ComplianceInternal auditing*1 Risk Management Unit and other departments in charge of each type of risk *2 Dotted frame shows the entities which Audit & Supervisory Committee makes
instruction to, and receives reporting from. *3 Audit & Supervisory Committee and Internal Audit Unit coordinate with each other.

97

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

98

Governance■ IT Governance■ Group Tax Governance

Todayʼs technology in the digital domain is advancing at

Cybersecurity Measures

The tax landscape is changing as international organizations

a rapid pace, and new businesses and services are being

Our Group aims for further evolution in the areas ofand national governments make moves to formulate

created one after another. In such a world, we believe thatpeople and organizations, processes, and technologies,

international taxation rules and stakeholders take an

IT is an essential element for our Group to transform ourso as to protect the information assets of the Group fromincreasing interest in taxation. In addition, as our business

1. Adhering to the basic tax policy

business model for sustainable growth. “IT Governance” iscyberattacks, which grow more sophisticated with each day,

activities become more diverse, we are involved in an

2. Complying with tax laws

a mechanism for management to exercise leadership andand to continue to deliver a sense of security, safety,

increasing range of transactions and activities on a group

3. Establishing a system

integrate IT and business strategies to transform companies

and stability to our customers and other stakeholders.

basis, making appropriate tax conduct increasingly important.

4. Building and maintaining relationships with tax

and increase corporate values.

We have established the “Cybersecurity Policy for the Dai-

Considering these circumstances, to further enhanceGroup Tax Policy

authorities

ichi Life Group” and are sharing cybersecurity measuresgroup tax governance, we have a Group Tax Policy that

IT Governance

5. Ensuring transparency

among all Group companies. In addition, we have establishedstipulates the core philosophies and implementation policies

6. Dealing with tax risk

Our Group established the “Group IT Governance Basica “CSIRT” consisting mainly of dedicated personnel withfor tax that group companies should adhere to, with the

7. Nurturing an attitude toward prevention of tax

Policy” and promotes IT Governance based on COBIT5*1. In

advanced expertise to bolster intragroup preparation throughapproval of the Board of Directors.

addition, we strengthened our global management system bymeans such as laying down rules and regulations regarding

inviting management personnel from outside the company

response to cybersecurity incidents and educating employees.

social responsibility and achieve sustainable growth andto serve as CIO and CDO in this fiscal year. Under the new

Furthermore, we collect the latest security updates fromenhancement of corporate value over the medium- to longleadership, through regular meetings with top IT executives

multiple external agencies and share this information withinterm through proper tax payments in all countries and regions

from domestic and overseas Group companies, we aim to

the Group. Through these efforts, for our information systems,of business.

share the Groupʼs IT strategy and accelerate collaboration

we take action against new threats as needed, such as

within the Group, so that IT can contribute to the increase of

combining multiple systems to detect unauthorized accesscorporate value.

viruses, and other threats to protect from them. ThroughWhile we aim to improve corporate value through IT,
we are thoroughly committed to managing “System Risk,”*2or unauthorized use of computers, affecting customer trustand our business operations. With regard to system risk, we

avoidance
8. Engaging in appropriate transfer pricing
9. Clarifying tax strategy/Enhancing corporate value

More information about the Basic Group Tax Policy
https://www.dai-ichi-life-hd.com/en/about/control/tax_governance/index.html

these initiatives, we are working to optimize cybersecurity
measures for the entire Group.

■ Internal Audits*1 COBIT5 is a global standard framework for IT governance that is advocated by
the Information Systems Audit and Control Association and the IT GovernanceInstitute of the United States.
*2 Computer Security Incident Response TeamWith a view to ensuring sound and adequate business

which is the risk of losses incurred by the Company due todowntime or malfunction caused by inadequate IT systems

By adhering to the policy, we shall satisfy corporate

established policies, management systems, and processes,
and continuously evaluate and improve their effectivenessat group companies, in accordance with the “Group System
Management Regulations.”

The results of these internal audits, the status ofoperations in our Group, the Internal Audit Unit, an

improvements to any problems and other issues discovered,independent organizational unit, performs internal audit

and the results of risk analysis and other information are

activities on the supervision of operational execution andregularly reported to the Board of Directors, the Executive

control to ensure satisfactory internal controls in the Group.

Management Board, and the Audit & Supervisory Committee.

We recognize the importance of initiatives that contribute to

Simultaneously, we endeavor to further enhance the internal

the further enhancement of internal controls.

control system across the entire Group while cooperating with

Based on that recognition, our internal audit activities

related departments and other parties.

verify the appropriateness and effectiveness of the internal
The company has acquired “Digital Transformation Certification” based on the DX
certification system set forth by the Ministry of Economy, Trade, and Industry (METI)

control system and its operation and, in addition to identifying
and observing problematic areas, conduct efforts suchas a corporation that perceives business and IT systems in a unified manner and has

as issuing suggestions that pertain to the evaluation andformulated a management vision and business model based on the changes that digital

improvement of internal control and following up throughout

technology has brought to society and the competitive environment and is ready tothe improvement process. In addition, through regularly

realize that vision and model.

performing the analysis and veriﬁcation of all business risks
in the Group, we are working to realize more effective riskbased internal audits.

99

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

100

Governance■ Equity Holdings Other Than Those Held Solely for the Purpose of Investment■ Business Management Quality Reform

Under the Insurance Business Act, insurance companies arebusiness is, in principle, conducted for pure investment
purposes as part of investment management. However, theyDai-ichi Lifeʼs initiatives to become a company
consistently chosen by customers

Delivering reliable peace of mind

required to set aside insurance premiums and investment
income as policy reserves to ensure that liabilities on long-partially hold shares that have combined pure investment

Dai-ichi Life, a core subsidiary in Japan, takes seriously therational proposals that will elevate customer satisfaction byterm insurance policies are fulﬁlled.

and strategic purposes based on group strategy, such as

incidents of the fraudulent mishandling of cash that occurredenhancing consulting based on the customerʼs life plan, social

strengthening relationships through business alliances.

in the past and is working to earn further trust and confidence

security system, etc.

management from a long-term perspective with regard to theAfter performing a veriﬁcation based on the holding purpose

from customers and society by strengthening its customer-

amount of policy reserves that are substantially attributable toand the cost of capital, it is decided whether to reduceoriented initiatives to become a company consistently chosen

is sent to the policyholder once a year, which describes thepolicyholders.

the holdings. For listed stocks, in particular, the content ofby customers. We will continue our efforts to deliver “peacedetails of the policy and other information. In conjunction

Each life insurance company in our Group invests

veriﬁcation by the Board of Directors is disclosed annually.

of mind” through life insurance and realize “happiness”

with the arrival of the “Total Life Plan Report” and otherassets based on ALM (Asset-Liability Management), focusing

Strategically held shares shall be sold unless the

beyond that, so that we can stand by the side of individual

information, sales representatives conduct the “Regular Policy

on ﬁxed income assets. However, there is not a sufﬁciently

rationale of holding such shares, either in terms of strategic

developed market for super-long-term bonds that correspondholding or investment purposes, is conﬁrmed.

We believe that we should conduct investment

has long-term stable and large-scale insurance liabilities, isin the portfolio, and conducts balanced investment in whichrisky assets such as equities are included in the investment
portfolio considering corporate analysis, diversiﬁcation of

Equity holdings other than those held solely
for the purpose of investment
https://www.dai-ichi-life-hd.com/en/about/control/governance/reference.html

Dai-ichi Life is working to realize activities from thetrust of customers and society. Based on the premise ofConsumer Orientation,” which was revised in 2021, is kept inIn this way, holding equities in the investment portfolio

the hearts and minds of all executives and employees as theat each group company engaged in the life insurance

foundation for their daily business activities.

Number of companies for which equity shares are held for strategic purposes and amounts*
Number ofcompanies

Total amount on the balance sheet

7¥80.9 billion

Based on this “Pledge to Customers and Society,” weRatio to the companyʼs consolidated net assets(as of March-end 2023)(Reference) Deemed equity holdings*
Total amount on the balance sheet

1¥12.9 billion

to incorporate customer feedback into management
improvement initiatives based on “customer feedback” to*Investment shares held by the Company and Dai-ichi Life (a company whose investment equities amount reported on its balance sheet is the largest among theCompany and other consolidated subsidiaries) as of the end of March 2023 for purposes other than pure investment.

Number ofcompanies

are making company-wide efforts to strengthen initiatives
and improve services, and are implementing continuous

2.8%

Ratio to the companyʼs consolidated net assets(as of March-end 2023)

Checkup for Peace of Mind,” in which “three checkups” arecustomersʼ wishes.

Three checkups

customersʼ and consumersʼ perspective in order to realize
a sales representative structure that can respond to the
our “Customer First” principle, the “Voluntary Declaration ofindustries and brands, and risk management.

After the policy is signed, the “Total Life Plan Report”

conducted face-to-face or non-face-to-face in accordance with

Pledge to Customers and Society (Dai-ichi Lifeʼs“Voluntary Declaration of Consumer Orientation”)

to super-long-term liabilities. Therefore, Dai-ichi Life, which
focusing on the diversiﬁcation effect among asset classes

customers.

Dai-ichi Life revised “Total Life Plan” and is striving to provide

enhance the quality of operations that lead to “Customer

Checkup (1) Conﬁrmation of contract information
Checkup (2) Conﬁrmation of insured events forpayment eligibility and payment history
Checkup (3) Conﬁrmation of registered details(recipient, address information, etc.)
In addition, we have established a system to ensurethat insurance claims and beneﬁts are received reliably
and promptly, and we will continue to utilize digital tools toensure that procedures are tailored to the customer and thatpayments are made accurately and fairly.

First.”

Strengthening the governance of theDai-ichi Life GroupThe Company (Dai-ichi Life Holdings, Inc.) is continuously
monitoring whether the internal control system by the three

0.5%

defensive lines (business divisions, indirect and administrative*Shares that Dai-ichi Life (a company whose investment equities amount reported on its balance sheet is the largest among the Companyʼs consolidated subsidiaries)
contributed to a retirement benefit trust and for which it holds the right to exercise the voting rights where such holding is for purposes other than pure investment as ofthe end of March 2023.

divisions, and an internal audit division) is sufﬁciently
functioning at Dai-ichi Life.
In ﬁscal 2022, the Companyʼs Board of Directors
received a total of ﬁve reports and held numerous
discussions, including opportunities to exchange opinionswith the Audit & Supervisory Committee and the Board of
Directors. We will continue to pay close attention to initiatives
aimed at further ensuring effectiveness, strengthening internal
controls, and implementing prerequisite reforms of thecorporate culture, to strengthen our governance together with
Dai-ichi Life.

101

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

102

Governance

Leadership(As of August 1, 2023)

103

Outside Director

Director (Audit & Supervisory
Committee Member (Full-Time))

Representative Director,
Managing Executive Officer

Outside Director

Outside Director

Director, Managing
Executive Officer

Director (Audit & Supervisory Committee
Member (Full-Time))

Bruce Miller

Fusakazu Kondo

Hitoshi Yamaguchi

Koichi Maeda

Yasushi Shingai

Hiroshi Shoji

Takahiro Shibagaki

Outside Director (Audit &Supervisory Committee Member)

Director, Managing
Executive Officer, CSuO

Outside Director (Audit &Supervisory Committee Member)

Director, Chair of the Board

Representative Director,
President, CEO

Outside Director

Director

Outside Director (Audit &Supervisory Committee Member)

Koichi Masuda

Hidehiko Sogano

Rieko Sato

Seiji Inagaki

Tetsuya Kikuta

Yuriko Inoue

Toshiaki Sumino

Ungyong Shu

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

104

Governance■ Director
Age: 60
Number of shares held: 123,237 Director, Chair of the Board

Seiji Inagaki

Age: 58
Representative Director,
Number of shares held: 40,186 President, CEO

Tetsuya Kikuta

Age: 67

Yasushi Shingai Number of shares held: 300 Outside Director

Age: 62
Number of shares held: 0 Outside Director

Bruce Miller

Reason for appointment

Reason for appointment

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetings

Activities in fiscal 2022

Attended 15 of 15 Board of Directors meetings

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including corporate planning and investment planning, and he has deep experience andknowledge in the life insurance business. He has duly performed his duties as a member of the Boardof Directors since June 2016 and as a representative director and president since April 2017. He hasdeveloped a growth strategy to further strengthen and expand the Groupʼs business foundation. The
Company believes he is qualified to be a member of the Board of Directors and therefore appointed him asa director.

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including asset management business and overseas business, and he has deep experienceand knowledge in the life insurance business. In addition, he has led the growth of the Groupʼs businessand duly performed his duties as a member of the Board of Directors of the Company since June 2020, as
CFO since April 2022 and as Representative Director and President (CEO) since April 2023. The Company
believes he is qualified to be a member of the Board of Directors and therefore appointed him as a director.

Other major occupations

Representative Director, Shingai Management Institute Co., Ltd.
Outside Director, ExaWizards Inc.
Outside Director, Olympus Corporation

Other major occupationsー

Age: 57

Representative Director,

Hitoshi Yamaguchi Number of shares held: 9,971 Managing Executive Officer

Age: 59
Director, Managing
Number of shares held: 41,716 Executive Officer

Hiroshi Shoji

Reason for appointment

Reason for appointment

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including corporate planning, personnel affairs, and international life insurance business, andhe has deep experience and knowledge in the life insurance business. In addition, he duly performed his
duties in corporate management of overseas life insurance companies as vice president of Star Union Daiichi Life Insurance Company Limited. The Company believes he is qualified to be a member of the Board of
Directors and therefore appointed him as a director.

His experience as a member of the Group has covered a wide range of engagements in the Companyʼsbusinesses, including profit management and financial planning and actuarial duties, and he has deep
experience and knowledge in the life insurance business. In addition, he has duly performed his duties as amember of the Board of Directors of the Company, since June 2021. The Company believes he is qualified
to be a member of the Board of Directors and therefore appointed him as a director.

Age: 62

Director, Managing Executive Officer,

Hidehiko Sogano Number of shares held: 26,544 CSuO

Toshiaki Sumino

Age: 53
Number of shares held: 24,015 Director

Reason for appointment

Reason for appointment

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including international life insurance business, and he has deep experience and knowledge inthe life insurance business. In addition, he has deep experience at a financial institution and insight into
global insurance regulations and SDGs among others, and has led the sustainability management of theGroup as CSuO since April 2023. The Company believes he is qualified to be a member of the Board of
Directors and therefore appointed him as a director.

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including corporate planning and investment planning, and he has deep experience andknowledge in the life insurance business. In addition, he has engaged in corporate management ofoverseas life insurance companies as a member of the Board of Directors of Protective Life Corporation
and as a CEO of DLI NORTH AMERICA INC., and has duly performed his duties as a member of the Boardof Directors of the Company since June 2021. The Company believes he is qualified to be a member of theBoard of Directors and therefore appointed him as a director.

Age: 72
Number of shares held: 9,098 Outside Director

Koichi Maeda

Age: 60
Number of shares held: 8,100

Yuriko Inoue

Outside Director

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetings

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetingsーOther major occupations

Outside Director, NIPPON SIGNAL CO., LTD.

Reason for appointment

Reason for appointment
She is an experienced and trusted professor specializing in intellectual property law, and she has a wide
range of knowledge about IT-related systems and policies. She has also brought significant benefits to
the Company by supervising management and advising on various legal matters and data governance in
IT strategies of the Company based on her objective viewpoint. The Company has the expectation that
she will continue to share her experience and expertise on oversight of management of the Group andtherefore appointed her as an outside director.

ProfileApr. 1975 Joined Nippon Telegraph and Telephone
Public Corporation
Jul. 1999 General Manager, Kagoshima Branch,
NIPPON TELEGRAPH AND TELEPHONE
WEST CORPORATION
Jul. 2000 General Manager, Planning Department,
Consumer & Office Division, NTT
Communications Corporation
Jun. 2002 General Manager, Consumer & Office
Division
Jun. 2004 Director, Senior Vice President, General
Manager, Consumer & Office Division
Aug. 2006 Director, Senior Vice President, Deputy
General Manager, Net Business DivisionJun. 2008 Director, Executive Vice President,
Deputy General Manager, Net Business
Division

Jun. 2009 Representative Director, Senior Executive
Vice President, General Manager,
Consumer Business Promotion Division,
NIPPON TELEGRAPH AND TELEPHONE
EAST CORPORATION
Representative Director, President, NTT
EAST PROPERTIES, INC.
Jun. 2012 Representative Director, President, NTT
FINANCE CORPORATION
Jun. 2016 Director, Chief Executive Counselor
Oct. 2016 Outside Director, Dai-ichi Life Holdings,
Inc. (to present)
Jul. 2017 Chief Executive Counselor, NTT
FINANCE CORPORATION
Jul. 2018 Advisor to the President
Jul. 2020 Advisor, NTT FACILITIES, INC.

Yuji Tokuoka
Stephen Barnham(CIO/CDO)Managing
Executive Officers

ProfileApr. 1980 Joined the Japan Tobacco and Salt
Public Corporation (presently Japan
Tobacco Inc.)
Jul. 2001 Vice President, Finance Planning
DivisionJul. 2004 Senior Vice President, Chief Financial
OfficerJun. 2005 Member of the Board, Senior Vice
President, and Chief Financial Officer
Jun. 2006 Member of the Board of Japan Tobacco

Inc., Executive Vice President, JT
International S.A.
Jun. 2011 Representative Director and Executive
Vice President, Japan Tobacco Inc.
Jan. 2018 Member of the Board
Jun. 2019 Outside Director, Dai-ichi Life Holdings,
Inc. (to present)
Apr. 2022 Representative Director, Shingai
Management Institute Co., Ltd. (topresent)

Director (Audit & Supervisory

Takahiro Shibagaki Number of shares held: 31,180 Committee Member (Full-Time))
Reason for appointment

Nov. 1993 Lecturer, University of Tokyo Graduate
Schools for Law and Politics
Apr. 1995 Associate Professor, University ofTsukuba Graduate School of Business
Administration & Public Policy
Apr. 2001 Associate Professor, University ofTsukuba Graduate School of Business
Sciences
Sep. 2002 Associate Professor, Kobe University
Graduate School of Law

Apr. 2004 Professor
Oct. 2010 Professor, Hitotsubashi University
Graduate School of International
Corporate Strategy
Apr. 2018 Professor, Business Law Department ofGraduate School of Law (to present)
Jun. 2018 Outside Director, Dai-ichi Life Holdings,
Inc. (to present)

He is a specialist in global politics and economy and has rich experience and deep insight into the life
insurance business as a Non-Executive Director of TAL, a subsidiary of the Company. He has also broughtsignificant benefits to the Company by supervising management and giving advice on various matters ofcorporate management based on his global and objective viewpoint at the Board of Directors meetingsand other occasions. The Company expects that he will continue to share his experience and expertise on
oversight of management of the Group and therefore appointed him as an outside director.

ProfileFeb. 1986 Joined the Australian Government
Department of Foreign Affairs and Trade
Jan. 2001 Assistant Secretary, Strategic Policy
BranchApr. 2003 Assistant Secretary, North East Asia
BranchAug. 2004 Minister-Counsellor (Political), Australian
Embassy Tokyo
May 2009 Deputy Director-General, AustralianGovernment Office of National
Assessments

Fusakazu Kondo

Aug. 2011 Australian Ambassador to Japan
Jan. 2017 Director-General, Australian Government
Office of National Assessments
Sep. 2018 Senior Policy Fellow, Australian National
University
Aug. 2020 Chair, Australia-Japan Foundation (topresent)
Apr. 2022 Chair, the Foreign Investment Review
Board, Australia (to present)
Jun. 2022 Director, Dai-ichi Life Holdings, Inc. (topresent)

Age: 62
Director (Audit & Supervisory
Number of shares held: 23,318 Committee Member (Full-Time))

Reason for appointment

His experiences as a member of the Group have covered a wide range of engagements in the Companyʼsbusinesses, including secretariat work, public relations, and domestic corporate insurance, and he has
deep experience and knowledge in the life insurance business. In addition, he has been engaged incorporate management as a member of the Board of Directors of The Dai-ichi Frontier Life InsuranceCo., Ltd., since April 2018. The Company believes he has the qualifications necessary to strengthen theeffectiveness of the supervisory and auditing function over the management of the Group, making use of
his experience and knowledge. Therefore, the Company appointed him as a director serving as an Audit &Supervisory Committee member.

Outside Director (Audit &Age: 66
Number of shares held: 10,981 Supervisory Committee Member)

Rieko Sato

His experience as a member of the Group has covered a wide range of engagements in the Companyʼsbusinesses, including profit management and finance, and he has deep experience and knowledge in thelife insurance business. In addition, he has duly performed his duties in the auditing work as a Senior Audit
and Supervisory Board member (full-time) of The Dai-ichi Life Insurance Company, Limited from June 2012
to September 2016 and as an Audit & Supervisory Committee member (full-time) of the Company since
October 2016. The Company believes he has the qualifications necessary to strengthen the effectivenessof the supervisory and auditing function over the management of the Group by making use of his
experience and knowledge. Therefore, the Company appointed him as a director serving as an Audit &Supervisory Committee member.

Ungyong Shu

Outside Director (Audit &Age: 60
Number of shares held: 5,489 Supervisory Committee Member)

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetings
Attended 25 of 25 Audit & Supervisory Committee meetings

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetings
Attended 24 of 25 Audit & Supervisory Committee meetings

Other major occupations

Partner, Ishii Law OfficeOutside Director, J. FRONT RETAILING Co., Ltd.
Outside Audit & Supervisory Board Member, Mitsubishi Corporation

Other major occupations

President & CEO, Core Value Management, Co., Ltd.
Outside Director, Sojitz Corporation
Outside Director, Monex Group, Inc.

Reason for appointment

Reason for appointment

ProfileShe is an experienced and trusted attorney, and she has had a wide range of experience serving as an
outside Director and outside Audit & Supervisory Board member of various corporations. She has alsobrought significant benefits to the Company by supervising and auditing management as well as advising
on various legal matters of the Company based on her objective viewpoint at the Board of Directors
meetings and on other occasions. The Company has the expectation that she will continue to use her
experience to good advantage in conducting audits and supervision of the Groupʼs management andtherefore appointed her as an outside director serving as an Audit & Supervisory Committee member.

ProfileApr. 1984 Registered as Attorney-at-Law
Jun. 1989 Shearman & Sterling LLP
Jul. 1998 Partner, Ishii Law Office (to present)
Jun. 2015 Outside Director, The Dai-ichi Life
Insurance Company, Limited

Koichi Masuda■ Executive Officers (excluding those who are directors)
Senior Managing
Executive Officers

In addition to his deep experience and insight gained through acting as a business executive of a global
company, he has rich experience and sophisticated and expert knowledge of corporate finance andmergers & acquisitions as the finance officer. The Company believes that he brings significant benefits
to the Company by supervising management and advising on various matters of corporate management
based on his global and objective viewpoint at Board of Directors meetings and on other occasions. The
Company has the expectation that he will continue to share his experience and expertise on oversight ofmanagement of the Group and therefore appointed him as an outside director.

Age: 58

Other major occupations

He has deep experience and insight gained through acting as a business executive of highly public
enterprises. He has also brought significant benefits to the Company by supervising and advising on
various matters of corporate management based on his global and objective viewpoint at the Board of
Directors meetings and other occasions. The Company has the expectation that he will continue to share
his experience and expertise on oversight of management of the Group and therefore appointed him as an
outside director.

Reason for appointment

Reason for appointment

Oct. 2016 Outside Director (Audit & Supervisory
Committee Member), Dai-ichi Life
Holdings, Inc. (to present)

Outside Director (Audit &Age: 79
Number of shares held: 14,421 Supervisory Committee Member)

Activities in fiscal 2022

Attended 18 of 18 Board of Directors meetings
Attended 25 of 25 Audit & Supervisory Committee meetings

Other major occupationsーHe has a wide range of experience as a managing director of financial institutions. He has also broughtsignificant benefits to the Company by supervising and auditing management as well as advising on
various matters of corporate management based on his global and objective viewpoint at the Board of
Directors meetings and other occasions. The Company has the expectation that he will continue to use
his experience to good advantage in conducting audits and supervision of the Groupʼs management andtherefore appointed him as an outside director serving as an Audit & Supervisory Committee member.

ProfileApr. 1986 Joined Morgan Guaranty Trust Company
of New York, a subsidiary of J.P. Morgan& Company, Inc.
May 2001 Managing Director, JP Morgan Securities
Jul. 2005 Head of Financial Institutions Division
May 2007 Chairman of Financial Institutions Group,
Merrill Lynch Japan Securities Ltd.
Jul. 2010 Co-Head of Investment Banking Division
Jul. 2011 Vice Chairman
Nov. 2013 President & CEO, Core ValueManagement, Co., Ltd. (to present)

Jun. 2015 Outside Director, The Dai-ichi Life
Insurance Company, Limited
Oct. 2016 Outside Director (Audit & Supervisory
Committee Member), Dai-ichi Life
Holdings, Inc. (to present)
Sep. 2022 Visiting Professor, Hitotsubashi
University Graduate School of Business
Administration (to present)

Reason for appointment
He is an experienced and trusted Certified Public Accountant, and he has had a wide range of experience serving
as outside Director (Audit & Supervisory Committee member) and outside Audit & Supervisory Board memberof various corporations. He has also brought significant benefits to the Company by supervising and auditing
management and advising on various financial matters of the Company based on his objective viewpoint at theBoard of Directors meetings and on other occasions. The Company has the expectation that he will continue to
use his experience to good advantage in conducting audits and supervision of the Groupʼs management andtherefore appointed him as an outside director serving as an Audit & Supervisory Committee member.

Mamoru Akashi
Takashi Iida
Ken Yamaguchi

ProfileKoichi Nishiyama
Executive Officers

105

Introduction・Message

Hideyuki Ohashi (CRO) Shinichiro Kaneko

Webster Coates (CCpO)

Atsuko Yasuda

Taisuke Nishimura (CFO)

Kyoko Wada (CCmO)

Makoto Hishida

Yotaro Numata

Value Creation
Story

Strategies &Performance

Apr. 1966 Yoshiji Tanaka CPA OfficeJan. 1970 Otemachi Kaikei Jimusho Audit Corporation
Jan. 1975 Shinwa Audit Corporation*
Sep. 1978 Partner
Jul. 1992 Representative Partner, Asahi Shinwa
Audit Corporation*
Oct. 1993 Representative Partner, Asahi Audit
Corporation*

Akifumi Kai

Yuichiro Abe

Sustainability &Management Base

Governance

Data

Jan. 2004 Representative Partner, KPMG AZSA & Co.*
Jul. 2007 Chairman and President, The JapaneseInstitute of Certified Public Accountants
Jul. 2010 Advisor (to present)
Oct. 2016 Outside Director (Audit & Supervisory
Committee Member), Dai-ichi Life
Holdings, Inc. (to present)*Presently, KPMG AZSA LLC

Leadershiphttps://www.dai-ichi-life-hd.com/en/about/company/executives/index.html

Dai-ichi Life Holdings Integrated Report 2023

106

Data

Financial and Non-Financial Highlights
Annualized Net Premium from Policies in Force

Cumulative Amount of ESG-Themed Investment
and Loans (Dai-ichi Life)

CO2 Emissions*1

Of which, climate change–related investment and loans

New Business Annualized Net Premium(¥ in billions)（ t -CO2）(¥ in billions)(¥ in billions)

5,000

600

3,955.8 3,969.7 4,054.6

4,000

4,234.3 4,492.4

150,000

3,000

508.7
392.0

313.1

2018

2019

2020

2021

2022

228.8

Group adjusted proﬁt

（%）

236.3

9.5

7.6

296.1
8.0 184.4

8.9

5.0

2018

2019

2020

2021

2022

(FY)

2021

2022

14
12
10
8
6
4
2
0

Total dividends

Share buybacks(¥ in billions)

(¥)

300
250
200

58

62

28.0

30.0

62

150
100
50
0

66.6
2018

70.2
2019

90

86

83

200.0

75

120.0

120.0

60
45
30

85.3

69.0
2020

2021

84.8
2022

15
0
(FY)

The dividend per share based on fiscal 2022 results is set at ¥86, which
exceeds the payout ratio of 30% compared to the Group adjusted profit
average of the past three years, and the Company has also decided on alarge-scale share buyback of up to ¥120 billion.

Introduction・Message

Value Creation
Story

Strategies &Performance2021(assessment period:
Jan.–Dec. 2020)

2,000

10

Fixed Income*2

4.75

2018

2019

2020

2021

2022

(10)
(FYE)

Group EEV, an economic value–based indicator of corporate value,
increased 2.8% year on year, mainly due to an increase in the value of
in-force business as a result of higher domestic interest rates.

Dai-ichi Life Holdings
180
170
160
150
140
130
120
110
100
90
2021/3/31

11-company median

900

25.6
906

26.5

27.5

936

977

1,049

Data

*Covers cumulative data for Dai-ichi Life Holdings, Dai-ichi Life Insurance, Daiichi Frontier Life, and Neo First Life

29.3
1,083

（％）

(Employees)

30

150,000

24

120,000

18

90,00060,000300

630,000

0

0

2020

2021

(FY)

We have positioned employee engagement as a key indicator and are
actively working to improve engagement. In fiscal 2022, the overall score
improved and the percentage of employees who feel that the corporate
culture is changing also increased.

12

2019

2022

Total Number of Employees/Overseas Ratio*

0

Governance

2021

600

2018

0

0

Percentage of female managers

28.5

63

20

*1 5-step assessment*2 Voting and Listed Equity include the average assessment of two modules(fundamental / REITs, etc.) and Fixed Income includes the averageassessment of four modules (SSA, corporate, private debt, and securitized).

Number of female managers

40

64

50

5

(People)

60

50.5%

60

In the PRIʼs assessment of the implementation of responsible
investment, we received the highest rating of 5 on two items in 2021.

1,200

TSR, the total return on shareholdersʼ investment counting both
capital gains and income gains, as of March 31, 2023, had increased
37% versus March 31, 2021, ranking the Company fourth among 11
comparable companies.

Sustainability &Management Base

Property

1,500

2023/3/31(FY)

Overall engagement score
Percentage of employees
who feel that the corporate culture is changing （％）

39.1%

Number of Female Managers/
Percentage of Female Managers*

TOPIX (including dividends)

2022/3/31

70

Our score

4.5

3.9

2022

Engagement Survey Results*

Listed Equity̶Incorporation*2

4.9

2021

PRI Assessment Results (Dai-ichi Life) *1

20

(0.6)

2020

710.0

*Green bonds, investments in and loans to renewable energy power plantrelated projects, etc.

4,000

0

2019

510.0

*1 Based on the Groupʼs Scope 1 + 2 emissions. *2 Compared with fiscal 2019

4

(2.8)

220.0

140.0
2018

(FY)

320.0

ESG-themed investments and loans totaled approximately ¥1.6 trillion in
fiscal 2022, compared to a cumulative target of ¥2 trillion in fiscal 2024.
Investments and loans to help resolve climate change issues* increased
to ¥710 billion in fiscal 2022 compared to a cumulative target of ¥1
trillion in fiscal 2024.

30

0

550.0

Toward net-zero emissions by fiscal 2040, we made progress towardan 83% reduction*2 in fiscal 2022, exceeding our interim target of a
50% reduction in fiscal 2025. Dai-ichi Life Insurance achieved 100%
renewable energy for electricity consumption in its business activities infiscal 2022, which was a main contributing factor.

5

6,000

0

2022

Voting*2

Note: Indexation using the figures on March 31, 2021, as 100 (created by theCompany with data from Bloomberg)

107

2020

Investment and Stewardship Policy

6,971.1 7,150.9 7,349.0
5,936.5 5,621.9
32.5

Relative Total Shareholder Return (TSR)

Dividend per share

2019

40

8,000

Shareholder Returns(Total Dividends/Share Buybacks/Dividend per Share)

2018

370.0

2021

（%）

(¥ in billions)(FY)

Group adjusted profit, the Companyʼs own indicator of its source offunds for shareholder returns, decreased 37.7％ year on year, mainly due
to an increase in benefit payments related to COVID-19 in Japan andvaluation losses from higher interest rates at overseas subsidiaries.

23,800Group European embedded value (EEV)
Return on embedded value (ROEV)

Adjusted ROE(¥ in billions)

282.8

2020

Group European Embedded Value (EEV)/
Return on Embedded Value (ROEV)Group Adjusted Profit/Adjusted ROE

274.5

2019

The new business annualized net premium, which represents the result of
the yearʼs sales activities, increased in fiscal 2022, rising 25.2% year on year.
While Dai-ichi Life Insurance remained at a low level, Dai-ichi Frontier Lifegrew its sales significantly due to a rise in overseas interest rates.

Annualized net premium from policies in force, which indicates annual
premium income from policies in force, increased 6.1% year on year infiscal 2022, mainly due to favorable sales at overseas subsidiaries.

350
300
250
200
150
100
50
0

2018

800.0

500

0

2022 年度末(FYE)

98,90030,000

0

0

1,000

60,000150

1,000

1,250.0

138,900 125,600

90,000

336.0

300

2,000

155,300

120,000450

1,600.0

1,500

180,000

Other

2022

(FYE)

Consolidated number

Overseas ratio

15.7
10.1
62,938

（％）

15

13.3

11.0

11.7

63,71964,823 62,260 60,997

12
9
6
3
0

2018

2019

2020

2021

2022

(FYE)

To develop female leaders (executives and organization heads) involved inorganizational decision-making, the number of female managers who are
candidates for such positions is steadily increasing to 29.3% in fiscal 2022.

We are creating a corporate culture that leverages diversity on a global
scale through initiatives such as an intragroup recruitment system and a
global training program.

*Dai-ichi Life Holdings, Dai-ichi Life Insurance, Dai-ichi Frontier Life, and NeoFirst Life combined. Figures as of April 1 are represented as figures from theend of the previous fiscal year.

*Ratio of employee headcount of six overseas subsidiaries (Protective, TAL,
Partners Group, Dai-ichi Life Vietnam, Dai-ichi Life Cambodia, and Dai-ichi Life
Myanmar) to total consolidated employee headcount.

Dai-ichi Life Holdings Integrated Report 2023

108

Data

Industry Data
Japan

Overseas

Japanese life insurance market

Overseas life insurance market

Trends in the life insurance market

Trends in the life insurance market

At the end of ﬁscal 2021, annualized net premiums from policies in force for individual life insurance and annuities (one yearʼsLife insurance premiums worldwide in 2021 were US$2,997.5 billion, up 4.5% year on year.

worth of premium income assuming that premiums are paid uniformly over the policy period) were ¥27.8 trillion (a decrease of

The biggest life insurance markets are No. 1: the United States (20.3% share of total), No. 2: China (12.2%), and No. 3: Japan (9.9%).

0.2% year on year). Within this total, annualized premiums from third-sector products such as medical insurance were ¥7.1 trillion(an increase of 1.2% year on year), being solid. New business annualized net premiums increased for the ﬁrst time in three years in
2021, partly due to the spread of sales activities combined with digital, while the impact of the spread of COVID-19 also diminished.
The proportion of new business accounted for by third-sector products has been on the rise in recent years, and customer needs
with respect to medical insurance and the like are changing in the face of Japanʼs declining birthrate and aging population.

Global life insurance market (top 10 countries in 2021, and countries in which the Company does business)
Dai-ichiLife Group
presence*1

Rank

○

1

First sector

New business annualized net premiums

Third sector as % of total

Third sector

First sector（％）(¥ in trillions)

30

27.8

32

25

30

20

28

20.7

25.5% 26

10

24
22

7.1

0
2007

2009

2011

2013

2015

2017

2019

Third sector as % of total

20

3.5

45

3.0

40

29.4%

2.5

1.3

1.0

0.5

0.0
2011

2013

2015

2017

2019

2021 (Year)

Data: The Life Insurance Association of Japan, Life Insurance Fact Book (2022)

Diversification of sales channels and high willingness to prepare for life security(in millions)

Real GDP
growthPopulation(as % of GDP)World

2,997,569+ 4.5%

100.0%

382

3.0%

7,846.8+ 6.0%

US

609,642+ 2.7%

20.3%

1,837

2.6%

331.8

+ 5.8%

2

China

365,456(2.6%)

12.2%

253

2.1%

1,444.7+ 8.8%

3

Japan

295,850+ 4.1%

9.9%

2,347

6.1%

126.0

+ 1.8%

4

UK

284,284+ 8.0%

9.5%

4,234

8.9%

67.1

+ 8.3%

5

France185,445+ 27.3%

6.2%

2,654

6.1%

67.7

+ 7.4%

Italy

146,001+ 6.0%

4.9%

2,467

6.9%

59.2

+ 7.0%

109,961(4.1%)

3.7%

1,321

2.6%

83.2

+ 3.1%

8South Korea

101,866(3.6%)

3.4%

1,971

5.8%

51.7

+ 4.0%

9

India

96,679+ 8.5%

3.2%

69

3.2%

1,395.1+ 8.5%

10

Taiwan89,059(9.2%)

3.0%

3,772

11.6%

23.6

+ 6.3%○

24

Australia

16,036(2.0%)

0.5%

623

1.0%

25.8

+ 4.8%○

25

Thailand

15,783+ 1.2%

0.5%

246

3.4%

70.0

+ 1.7%○

30

Indonesia

13,210+ 6.6%

0.4%

48

1.1%

276.7

+ 3.7%○

34

Vietnam

6,814+ 18.6%

0.2%

60

1.6%

98.1

+ 2.6%○48

New Zealand

2,058+ 3.0%

0.1%

403

0.8%

5.1

+ 5.4%

20

10

(USD)

Life
insurance
penetration

Germany

○

15

0.5

Premiums
per capita

7

1.8 3025(inflation-adjusted)

Share ofmarket635

1.52021 (Year)

○

（％）

2.0

15

5

Third sector(¥ in trillions)YoY change(USD in millions)Life insurance market (individual life insurance and annuities)

In-force business annualized net premiums

Life insurance
premium
volumeCountry*1 Excluding markets for which individual country data are not disclosed (Cambodia, Myanmar) Data: Swiss Re Institute Sigma No 4 / 2022 World insurance

According to a 2021 survey, 89.8% of households had taken out individual life insurance or annuities, with no signiﬁcant change
from the previous survey. However, people are enrolling in insurance through an increasingly diverse range of channels in recent
years. In addition to life insurer sales representatives, these channels include insurance agencies, online and other remote sales
channels, and banks and securities companies. Although a high proportion of households have coverage, the survey on life security
shows that between 50% and 70% of respondents intend to prepare new protection in the future for each coverage, and that
protection is perceived as inadequate, especially in the areas of medical care, retirement, and long-term care.

Future preparedness intention for life security (2022)(excludes private insurance and Japan Post Insurance)

Life insurer sales representatives
Banks, securities companies

2003

2021

Insurance agencies

Remote sales

Other

1.7

71.8％

55.9％

6.7 5.7

15.3

6.4 6.2

Data: Japan Institute of Life Insurance, Nationwide Life Insurance Survey

109

Introduction・Message

Value Creation
Story

Strategies &Performance

14.1

16.2

Prepare right away

Prepare within a few years

Eventually prepare

No intention to prepare

I donʼ t know.
Deathcoverage
Medicalcare
coverage
Postretirement
coverageLongterm carecoverage

3.5
9.1

42.2%

5.7
14.9

39.6%

3.6
36.2%

5.9
14.6

47.2%

4.3
28.1%

4.2
11.9

52.0%

5.4
26.6%

Governance

was particularly high at +6.7% in emerging economies, with the exception of China, where the impact of the zero-COVID policy wassigniﬁcant. In emerging countries, life insurance penetration (premiums as a percentage of GDP) is low compared to developed

World life insurance penetration (premiums as a percentage of GDP) through 2021
（％）

9.0

Worldwide
US and Canada

5.1
40.1%

Data: Japan Institute of Life Insurance, Survey on Life Security

Sustainability &Management Base

In 2021, the global life insurance market growth rate was +4.5%, rebounding from the impact of the spread of COVID-19. Growthcountries but is expected to further increase in the future against the backdrop of economic growth in each country.

Life insurance & annuities: 89.8% of households covered (of which, 24.3% have annuities)
Enrollment channels for recently purchased policies

More life insurance penetration expected in emerging countries in the future

DataLife insurance
market growth rate
(2021)

Worldwide

＋4.5%

4.5

6.0
4.8

Latin America and Caribbean
EMEA developed＋5.4%
Developing countries

0

3.0
2.7
2.1
1.3
0.6

EMEA developing

1980

1985

1990

1995

2000

2005

2010

2015

2020

Asia-Paciﬁc developed
Asia developing *2 Including China(Year)

Data: sigma explorer - catastrophe and insurance market data | Swiss Re Institute (sigma-explorer.com)

Developed countries＋6.7%*3*3 Excluding China
Data: Swiss Re InstituteSigma No 4 / 2022
World insurance

Dai-ichi Life Holdings Integrated Report 2023

110

Data

Our Businesses Worldwide

Domestic Insurance Business

Building a strong operational base with effective global reachGroup supervision

CountryJapan
Domestic Insurance BusinessCountry

Overseas insurance businessCompany name

Dai-ichi Life Holdings, Inc.

capture the trend of digitalization, with the aim of becoming the insurance group chosen by customers. We have been promoting

801

efforts to contribute to the well-being (happiness) of all through our CX Design Strategy, which maximizes the value of experience

Number of employees*1 Premium and other income*2

Company nameJapan

The Dai-ichi Life Insurance
Company, LimitedJapan

The Dai-ichi Frontier Life InsuranceCo., Ltd.

JapanThe Neo First Life Insurance
Company, Limited

Japan

ipet Holdings, Inc.*4

Japan

Dai-ichi Smart Small-amount and Shortterm Insurance Company, Limited

Country

Company name

U.S.A.

Protective Life Corporation

New
ZealandPartners Group Holdings Limited

VietnamDai-ichi Life Insurance Company of Vietnam, Limited¥2,296.8 billion

Sales representatives,
Relationship Managers (staff for sales tocorporations), insurance agencies

497¥2,612.6 billion

Banks, securities firms, insurance agencies,
walk-in shops, DL's sales representatives

348¥232.3 billion

Insurance agencies, walk-in shops, and
banks

594

¥8.4 billion

Pet stores and the Internet

6¥1.6 billion

Direct sales

Life will play a complementary role to the social security system and carefully meet thediversifying needs of customers and provide them with reliable peace of mind.

Major sales channels

3,725¥809.5 billion

Independent advisors, Broker Dealer,bancassurance, P&C, Registered
Investment Advisor

2,963¥663.6 billion

Independent advisors, direct sales, groupinsurance

In ﬁscal 2022, Dai-ichi Frontier Life ﬂexibly introduced new products to meet a wide364

¥39.2 billion

Independent advisors

Present 3,” a new product that, in addition to its function as a savings product, provides

2,055¥125.6 billion

Individual insurance agents andbancassurance

Myanmar Dai-ichi Life Insurance Myanmar Ltd.

163

¥0.19 billion

Individual insurance agents andbancassurance

6,619¥94.2 billion

Bancassurance

280¥19.0 billion

Individual insurance agents andbancassurance
Individual insurance agents

range of asset formation/succession needs, including the August launch of “Premiercoverage for dementia and nursing care. With its sights set on the era of 100-year life
society, Dai-ichi Frontier Life will strive to realize secure and prosperous lives for its
customers and their precious families.

In ﬁscal 2022, Neo First Life promoted initiatives to support customersʼ “wellness of mind
and body” by providing “Neo Coach,” an application that supports improvement of healthcheckup results, and launching a cancer insurance policy, “Neo de Ganchiryo.” Neo FirstLife will continue to support the “Wellness” of its customers and to provide a customer
experience that exceeds expectations so that its customers can spend their days “moreThailand

OCEAN LIFE INSURANCE PUBLIC COMPANY LIMITED

1,661¥55.8 billion

Country

Company name

Number of employees*1

AUM

Japan

Asset Management One Co., Ltd.

880*3

¥62 trillion

Japan

Vertex Investment Solutions Co.,
Ltd.*522*3¥433.7 billion

by Dai-ichi Life Holdings and subsequent share sale request procedures. As a memberJapan

Dai-ichi Life Realty AssetManagement Co., Ltd.

19*3

¥103.0 billion

pets and will sincerely do what it can do to make pets and their owners healthier and

U.S.A.

DLI ASIA PACIFIC PTE. LTD.

Singapore

Dai-ichi Life International Holdings LLC

like themselves.”

In March 2023, ipet Holdings became a wholly owned subsidiary through a tender offer
of the Dai-ichi Life Group, ipet Holdings will continue to face the social issues related tohappier than ever before.

Innovation Lab

DLI NORTH AMERICA INC.

Japan

Dai-ichi Life Innovation Lab (Silicon Valley)

U.K.

Reinsurance
Dai-ichi Life Reinsurance Bermuda Ltd.

Dai-ichi Life International（Europe）Limited

Other Subsidiaries

U.K.

U.S.A.

Dai-ichi Life Innovation Lab (London)

Overseas Affiliated Companies and Representative/Liaison Offices

BermudaBeijing Representative Office

China

The Dai-ichi Life Research Institute INC.

Japan

Shanghai Representative Office

China

QOLead, LimitedJapan

The Dai-ichi Building Co., Ltd.

Japan

SOHGO HOUSING CO., Ltd.

Japan

Innovation Lab
Dai-ichi Life Innovation Lab (Shibuya)

Japan*1 As of March 31, 2023 *2 As of the end of fiscal 2022 at each company *3 Criteria: Full-time directors and employees (excluding part-time directors, executive officers, contract,
temporary, dispatched, and part-time employees) only *4 Became a subsidiary in January 2023 *5 Established in August 2022

Introduction・Messagedaily basis.

the same time. By providing more personalized consulting than ever before, Dai-ichi¥0.71 billion

Regional Headquarters and Intermediate Holding Companies

111

that combines the advantages of digital with the strengths of physical so that the value of each experience can be experienced on a

Dai-ichi Life newly introduced the “New Total Life Plan,” a life plan consulting service

329

Indonesia PT Panin Dai-ichi LifeWe are focusing on expanding digital contact points and improving real channel consulting to realize the Groupʼs concept of OMO*2

linked to the social security system, in July 2022, and renewed the product lineup at

Cambodia Dai-ichi Life Insurance（Cambodia）PLC.

Star Union Dai-ichi Life Insurance Company Limited

Connections) that go beyond the framework of conventional insurance and standing by the side of customers throughout their lives.

49,112

Individual insurance agents andbancassurance

India(CX*1) by delivering four experiential values (Protection; Asset Formation/Succession; Health and Medical Care; and Enhancing

Major sales channels

Number of employees*1 Premium and other income*2

Australia TAL Dai-ichi Life Australia Pty Ltd.

Other businesses

In our domestic insurance business, we are working to reform our products and services to solve emerging social issues andNumber of employees*1

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

GovernanceData

In ﬁscal 2022, Dai-ichi Smart launched the “Housekeeping expenses insurance,” which
compensates for the cost of housework and sitter services used in the event of a
hospital visit due to hospitalization or injury. Dai-ichi Smart will continue to provide
insurance that meets diversifying needs in a ﬂexible and prompt manner through digitaltechnology to support “your unique” lifestyle.

*1 An abbreviation for Customer Experience, meaning the value that customers experience through our products and services.
*2 An abbreviation for Online Merges with Offline.

Dai-ichi Life Holdings Integrated Report 2023

112

Data

Overseas Insurance Business Company Profiles

Cambodia

Dai-ichi Life Cambodia was established in 2018 as the first 100% subsidiary of aJapanese life insurance company in Cambodia and commenced operations centered in
the capital of Phnom Penh from 2019. Subsequently, it has realized significant growth in
the Cambodian life insurance market by concluding cross-sale agreements with banks

U.S.A.

and expanding to regional cities via the individual insurance agents channel.

Protective, which became a wholly owned subsidiary in 2015, employs a unique business

Dai-ichi Life Cambodia will aim to grow further and expand its market share bymodel supported by the traditional retail business, including personal insurance andcontinuing to support sales directed at existing partners and cooperating with new

retirement solutions, and the acquisition business. In ﬁscal 2022, its fundamental

partners in its bancassurance channel, expanding to other regions via the individual

proﬁtability improved by sales increase of executive beneﬁt products, along withinsurance agents channel, making efforts in digital sales, and diversifying its products toprogress toward enlarged business size and dispersed earnings sources, including theensure competitiveness.

completed acquisition of AUL Corporation, which engages in asset protection businessthat greatly complements the companyʼs existing businesses. Meanwhile, net income

Myanmarwas about ¥18.4 billion due to losses from ﬁnancial market ﬂuctuations, etc.

Dai-ichi Life Myanmar became the only wholly-owned subsidiary of a Japanese life
insurance company to obtain a life insurance business license in Myanmar in 2019, andAs a core entity of our overseas business, Protective aims for a stable proﬁt

commenced business operation mainly in Yangon from 2020. Dai-ichi Life Myanmar has

contribution to our group through expanding business scale and securing stablesteadily been able to build and strengthen its business foundation in the first three years,

earnings.

through focusing on development of sales structure in the individual insurance agentschannel and enhancement of the administrative structure and internal controls in earlyyears, and launching the bancassurance business in fiscal 2022.

We ﬁrst invested in TAL in 2008 as the Groupʼs ﬁrst international expansion into aAustralia

developed country. The company became a wholly owned subsidiary in 2011. With a

Dai-ichi Life Myanmar will continue to contribute to peopleʼs well-being and thefocus on protection products, TAL has remained in a leadership position for the past 9

development of local communities by providing peace of mind through life insurance inconsecutive years (based on total in-force premium) within the Australian life insuranceorder to create a sustainable society in Myanmar.

market. In recent years, TAL acquired two life insurance companies - Suncorp andWestpac Life, both major ﬁnancial institutions in Australia. These acquisitions helped

India

in India in 2007. The company achieved one of the industryʼs highest growth results

to further consolidate their customer base and grow net proﬁt to approximately ¥36.6(+62% year on year) in first-year annualized net premiums in fiscal 2022 as a result ofbillion for ﬁscal 2022, more than four times the total amount when TAL became astrong sales of individual and group insurance products by utilizing partner banksʼ vast

subsidiary in 2011.

networks within India.

TAL aims to continue to solidify its market share in the protection market andStar Union Dai-ichi Life aims to achieve sustainable growth on the Indian market,

achieve further growth and proﬁt generation.

which is expected to expand further, by continuing to focus on strengthening relations
with major partner banks, pioneering new sales partners, expanding the individual agents

Since its founding in August 2010, Partners Life has achieved high growth by expanding

New Zealandchannel, and generating new customer contacts through digital means.

sales through the independent advisors channel, having the second-largest share ofannual premium in-force in New Zealand as of March 31, 2023. It completed acquisitionand consolidation of BNZ Life Insurance, afﬁliated with the Bank of New Zealand (BNZ),

Indonesia

been achieving solid growth via its individual insurance agents channel by enhancing

in-force policies and acquire BNZʼs customer base from an exclusive 10-year agreement

initiatives related to hiring and training for staff expansion as well as developing

for the referral of BNZʼs customers.

traditional products that take into account market needs and new regulations on life

Partners Life will keep expanding sales via its independent advisors channel, a

insurance products, and also is realizing growth far above the market average via its

strength that the company has had since its founding, as well as diversify its distribution

bancassurance channel through sales of endowment insurance and other traditional

channels and expand and stabilize its business size.

products.
Panin Dai-ichi Life aims for sustainable growth through flexible productDai-ichi Life Vietnam commenced its business as our wholly owned subsidiary and thedevelopment that meets market needs, online sales, and digitization of operations.

first full-scale overseas business expansion of the Group in 2007, and has subsequently
established its position as one of the major life insurance companies in Vietnam by

Introduction・Message

Value Creation
Story

Thailand

OCEAN LIFE is a long-established Thai life insurance company with which Dai-ichi Lifeenhancement of the agency channel through increasing core agents and expanding

Insurance concluded a strategic business alliance agreement, including investments,

agency distribution network, development of an alternative distribution channel centeredin 2008. OCEAN LIFE is working on the continuous recruitment and training of new

on banks and strengthening relations with partners, and promoting diversification of thepersonnel through further enhancements to its web seminars and initial education

product lineup. Dai-ichi Life Vietnam achieved steady growth by increasing its market

in the individual insurance agents channel, which makes up the core of its business,share in total premium with growth exceeding the market average and ranked third

while expanding the leadership team that will be responsible for these efforts as wellin terms of first-year premium in fiscal 2022. As a result of these achievements andas focusing on sales of medical insurance riders, for which there has been a growing

increase of in-force policies, Dai-ichi Life Vietnam contributed more than ¥15.0 billion ofmarket need in recent years.

profit to our group in fiscal 2022.

113

Panin Dai-ichi Life is a joint venture with the Indonesian financial group Panin Groupand received investments from Dai-ichi Life Insurance in 2013. Panin Dai-ichi Life hasat the end of September 2022, and is working to increase earnings from an increase in

VietnamStar Union Dai-ichi Life is a joint venture established with two major state-owned banks

OCEAN LIFE continues to aim for sustainable growth through improved well-being

Dai-ichi Life Vietnam is expected to contribute to our Groupʼs capital circulation

by training individual insurance agents who can propose and sell products according tomanagement, by gradually moving into the cash-generating phase from a rapid growthcustomer needs as well as expanding its presence with regard to urban customers andphase.

developing more digital services.

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

114

Data

Other Business (Asset Management Business)
Asset Management One

Providing products that meet diverse investor needs and promoting responsible investment
Regarding publicly offered investment trusts, Asset Management One is expanding sales of balanced funds, overseas stock funds,
and other products that contribute to medium- and long-term asset building for individuals, while for institutional investors, it isincreasing assets under management by bolstering high-value-added products and solution services. In addition, since its inception
in 2016, Asset Management One has been committed to ESG investing, and as a responsible investment management institutionis actively engaged in constructive dialogue (engagement) with portfolio companies and the exercise of its voting rights, as well assustainable investment to achieve a sustainable society.

Summary of Consolidated Group Business Results
The annualized net premium of new business increased substantially year on year because Dai-ichi Frontier Life grew its sales
signiﬁcantly due to a rise in overseas interest rates, while Dai-ichi Life remained at a low level. The Overseas Insurance Business
continued to perform well as in the previous ﬁscal year, including Dai-ichi Life Vietnam increasing its sales through the bank channel.
As a result, the Groupʼs annualized net premium from policies in-force increased compared with the end of the previous ﬁscal year.
Group adjusted proﬁt*1, a core proﬁt indicator for the Group, decreased. The adjusted proﬁt forecast has been lowered from theinitial forecast mainly due to higher hedging costs for foreign currency–denominated bonds with foreign exchange hedges at Daiichi Life, an increase in beneﬁt payments related to COVID-19, and valuation losses at Protective in the United States due to higher
overseas interest rates. Net income attributable to shareholders of parent company decreased due to a decline in Group adjusted proﬁt
and the absence of one-off factors that contributed to an increase in income in the previous ﬁscal year, such as a reversal of policy

Vertex Investment Solutions

reserve related to market value adjustment (MVA)*2 at Dai-ichi Frontier Life due to a rise in overseas interest rates.

Providing new solutions that exceed expectations and contributing to the realization of a secure andsustainable society

to increase proﬁt, such as an improvement in gains from core insurance activities due to the reclassiﬁcation of COVID-19 and a decrease in

Established in August 2022 as a wholly owned asset management subsidiary of the Company, Vertex Investment Solutions provides

In ﬁscal 2023, we expect to see rebound from one-off factors that put downward pressure on results in ﬁscal 2022, serving as factors
hedging cost burden due to a reduction in the balance of foreign currency–denominated bonds with foreign exchange hedges.
Group EEV, which represents the corporate value of economic value, increased mainly due to an increase in the value of in-force

investment management functions and products to the Dai-ichi Life Group, and promotes product development and compositionbusiness due to higher domestic interest rates. The Group value of new business decreased from the previous ﬁscal year, mainly duefrom the customerʼs perspective in the areas of asset formation/succession.

to sluggish sales volume of Dai-ichi Life products, while sales of Dai-ichi Frontier Life products were strong against a backdrop of rising

Vertex Investment Solutions will contribute to the realization of a secure future and a sustainable, prosperous society

overseas interest rates.

by providing new solutions that exceed its customersʼ expectations through the use of cutting-edge ﬁnancial technology andinvestment techniques.

Item

FY2021

FY2022

YoY change¥313.1 billion¥4,234.3 billion¥392.0 billion¥4,492.4 billion

125.2%
106.1%Net income attributable to shareholders of parent company¥409.3 billion¥192.3 billion

47.0%Group adjusted profit¥296.1 billion¥184.4 billion

62.3%

Of which, domestic insurance business¥210.6 billion¥173.9 billion

82.6%

Of which, overseas insurance business¥83.0 billion¥76.3 billion

91.9%

Other business¥2.3 billion¥(65.8 billion)-¥7,150.9 billion¥98.6 billion¥7,349.0 billion¥71.2 billion

102.8%
72.2%

Group new business annualized net premiumGroup in force business annualized net premium*3

Dai-ichi Life Realty Asset Management

Providing opportunities for quality real estate investment and contributing to improved quality of life andthe realization of a sustainable society
DL Life Partner REIT, Inc., a private-placement REIT for qualiﬁed institutional investors, has expanded its managed assets toapproximately ¥103.0 billion through a fourth private placement and the acquisition of real estate through borrowing. In addition,it has established a private fund management structure to meet the wide-ranging investment needs of investors. It will continue
to source properties from within and outside the Group, aiming to achieve sustainable growth. It also aims to create a sustainable
society by promoting a wide range of ESG initiatives, including participation in the REIT industryʼs ﬁrst “RE Action” (Renewable
Energy 100 Declaration), the acquisition of environmental certiﬁcations for investment properties, and borrowing based on the“Green Loan Framework*” in accordance with the Green Loan Principles.

Group EEV*3Group value of new business*1 Group adjusted profit is a unique indicator used by the Company that determines
funds to be paid to shareholders and constitutes the sum of adjusted profits ofeach Group company. Adjusted profit at each Group company generally indicatesprofit on a cash basis. As a holding company, the Company conducts shareholder
returns based largely on the dividends that it receives from each Group company.

*2 Market Value Adjustment (MVA) is a mechanism whereby changes in the priceof invested assets in accordance with market interest rates are reflected in theamount of surrender value when this value is received.
*3 Figures are as of the end of the fiscal year.

Drivers Affecting Group Adjusted Profit*Acquired the highest rating of “Green 1” from “JCR Green Loan Evaluation,” a third-party evaluation organization of JCR.

Domestic (84.7)

Adjusted Profit to Net Income

Overseas (20.0)(¥ in billions)*This chart shows the figures where the PLCʼs subsequent
events and the profit/loss on intragroup reinsurance with
DLRe at DFL and NFL are reflected onto each companyʼsstand-alone adjusted profit.

(-) Increase of foreign denominated policy reserves(-) Gain on sales of securities, etc.

Role of the Asset Management Business(-) Progressive spread (Increase inhedging costs (57.6))

Customers and investors

Asset formation needs(-) Decrease in gains from core
insurance activities (Increase inProtection needs
Offer insurance products

296.1 (150.5)+116.4

Offer investment
products

Domestic Insurance Business(49.5)

Overseas Insurance Business

Provide solutions aimed at improving portfolio risk and return, provide competitive investment products(e.g., mutual funds)(+) Operating income( - ) Valuation losses due to rising interest rates( - ) (Subsequent event) Losses due tobankruptcy of U.S. banks, etc.

hospitalization benefits related to
COVID-19 (94.5))

Provide investment capabilities

Asset Management
Business

Business
Partnerships(1.0)

FY2021Group
adjusted
profit(49.8)

+25.4

+0.9

+3.2

(1.4)

(+) Non-recurrent gains(Absence of reinsurance ceding cost)(+) Gains on financial derivatives( - ) Gains/Losses on sales of securities
and gains/losses on foreign exchange
DL*4
DL*4
Fundamental Capital,
profit
etc.

DFL

NFL

PLC

(＋) Underlying profit(＋) Impact of interest ratechange, etc.
TAL

DLVN

Other
Asset
overseas management

(5.4)

+23.2

184.4

(9.0)

(6.3)

FY2022
Group adjusted
profitDLRe・
HD・
OthersDFL MVA Amortization
related gains
of(losses), etc.
goodwill

192.3
FY2022
Net income

Others*4 Fundamental profit before tax. “DL Capital, etc.” includes changes in corporate tax, net capital, and non-recurrent gains (losses).

115

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

Governance

Data

Dai-ichi Life Holdings Integrated Report 2023

116

Data

Financial and Non-Financial Historical Data(¥ in millions)Fiscal 2013

Fiscal 2014

Fiscal 2015

Fiscal 2016

Fiscal 2017

Fiscal 2018

Fiscal 2019

Fiscal 2020

Fiscal 2021

Fiscal 2022

Results of Operations
6,044,955

7,252,242

7,333,947

6,456,796

7,037,827

7,184,093

7,114,099

7,827,806

8,209,708

9,519,445

Premium and other income

4,353,229

5,432,717

5,586,000

4,468,736

4,884,579

5,344,016

4,885,407

4,730,301

5,291,973

6,635,483

Investment income

1,320,066

1,444,012

1,344,852

1,626,177

1,802,626

1,583,228

1,876,634

2,719,584

2,551,112

2,280,833

5,740,205

6,845,400

6,915,780

6,031,476

6,565,833

6,751,148

6,895,718

7,274,945

7,618,811

9,108,545

Benefits and claims

2,903,587

3,380,827

3,830,941

3,618,385

3,789,907

3,839,105

4,870,794

5,001,109

5,855,703

6,443,986

Provision for policy reserves and others

1,634,864

2,271,268

1,496,360

1,016,744

1,223,870

1,309,287

164,491

971,280

316,837

98,544

Investment expenses

234,950

168,935

524,041

342,102548,957

541,541

821,971326,626

381,136

1,146,275

Operating expenses

Ordinary revenues

Ordinary expenses

517,566

559,344661,384

650,985

661,110703,573

680,154

689,057

752,160

831,345

Ordinary profit

304,750

406,842

418,166

425,320

471,994432,945

218,380

552,861

590,897

410,900

Provision for reserve for policyholder dividends

94,000112,200

97,50085,00095,00087,50082,50077,50087,50095,000Net income attributable to shareholders of parent company

77,931

142,476

178,515

231,286

363,928225,035

32,433363,777

409,353

192,301

Total assets

37,705,176

49,837,202

49,924,922

51,985,850

53,603,028

55,941,261

60,011,999

63,593,705

65,881,161

61,578,872

Total liabilities

35,757,563

46,247,274

46,991,963

48,848,583

49,853,756

52,227,668

56,235,081

58,786,576

61,472,654

58,705,757

32,574,923

41,634,712

42,922,534

43,740,238

44,597,717

47,325,761

49,520,817

49,897,294

51,407,655

52,506,098

1,947,613

3,589,927

2,932,959

3,137,266

3,749,271

3,713,592

3,776,918

4,807,129

4,408,507

2,873,114

628,538

1,029,622

1,129,262

1,300,756

1,589,623

1,708,808

1,641,506

1,893,643

1,996,301

1,970,526

1,322,731

2,528,262

1,840,084

1,906,091

2,238,159

2,101,587

2,283,198

3,056,350

2,397,969

742,700

Financial Condition

Policy reserves
Total net assets
Total shareholdersʼ equity
Net unrealized gains (losses) on securities, net of tax*1

Sales Results

Annualized net premium of new business (¥ in billions)*2
Domestic Group companies (¥ in billions)

303.4

339.1

387.2

440.7

406.4

508.7

336.0

228.8

313.1

392.0

230.5

309.6

294.8

371.9

319.4

418.9

220.4

151.2

206.7

279.0

72.8

29.5

92.4

68.8

87.0

89.8

115.5

77.5

106.3

113.0

2,560.3

3,217.0

3,396.2

3,633.4

3,671.1

3,955.8

3,969.7

4,054.6

4,234.3

4,492.4

Domestic Group companies (¥ in billions)

2,344.6

2,493.2

2,634.8

2,865.3

2,895.5

3,092.4

3,057.8

3,078.5

3,090.1

3,087.1

Overseas Group companies (¥ in billions)*3

215.6

723.8

761.3

768.1

775.6

863.4

911.9

976.0

1,144.1

1,405.3
7,349.0

Overseas Group companies (¥ in billions)*2
Annualized net premium from policies in force (¥ in billions)

Corporate Value
4,294.7

5,987.6

4,646.1

5,495.4

6,094.1

5,936.5

5,621.9

6,971.1

7,150.9

Value of new business (¥ in billions)*4

255.4

286.1

216.1

145.5

190.2

197.4

150.3

119.6

98.6

71.2

New business margin (%)*4

6.25

5.53

3.92

2.94

4.30

3.78

3.32

3.56

2.36

1.32

Group European embedded value (EEV) (¥ in billions)*4

Key Financial Indicators
Return on equity (ROE) (%)

4.3

5.1

5.5

7.6

10.6

6.0

0.9

8.5

8.9

5.3

Return on embedded value (ROEV) (%)

29.4

28.8

(21.9)

20.3

13.1

(0.6)

(2.8)

32.5

4.9

3.9

Consolidated solvency margin ratio (%)

704.1

756.9

818.2

763.8

749.2

838.3

869.7

884.1

958.5

902.6

Adjusted ROE (%)

­

­

­

8.6

8.5

7.6

9.5

8.9

8.0

5.0

Economic solvency ratio (%)*5

­

147

98

151

170

169

195

203

227

226

116.0

214.7

204.6

210.1

243.2

236.3

274.5

282.8

296.1

184.4

Group adjusted profit (¥ in billions)

Per Share Indicators*6
Earnings per share (EPS) (yen)78.58

124.94150.53196.62

310.69194.4328.53

325.61

383.15189.28Book value per share (BPS) (yen)1,962.05

3,012.46

2,472.86

2,668.61

3,217.68

3,240.72

3,344.23

4,329.08

4,302.56

2,921.75

20

28

35

43

50

58

62

62

83

86

Dividend per share (DPS) (yen)Key Non-Financial Indicators
59,51260,64761,44662,606

62,94362,93863,71964,82362,26060,997

Domestic Group company employees (people)

57,462

55,98256,50357,26257,33956,56556,691

57,22853,992

51,398Overseas Group company employees (people)

2,050

4,665

4,943

5,344

5,604

6,373

7,028

7,595

8,268

9,599

Percentage of women in managerial posts (%)*7

21.9

22.5

23.3

24.2

25.2

25.6

26.5

27.5

28.5

29.3

Number of employees with disabilities (people)*8

891

913

926

953

966

955

976

1,046

1,011

977

CO2 emissions (t-CO2)*9

175,000

168,000

178,100

171,900

166,000

155,300

138,900

125,600

98,90023,800Total paper usage (t)*10

8,116

6,509

6,559

6,967

6,475

6,474

6,092

4,794

5,425

4,774

Number of Group employees*1 The values for fiscal 2013 are the total of Dai-ichi Life, Dai-ichi Frontier Life, TAL, and Dai-ichi Life Vietnam. The values for fiscal 2014 are the total of Dai-ichi Life, Dai-ichi Frontier Life, Neo First Life, TAL, andDai-ichi Life Vietnam. The values for fiscal 2015 to fiscal 2018 are the total of Dai-ichi Life, Dai-ichi Frontier Life, Neo First Life, Protective, TAL, and Dai-ichi Life Vietnam.
The values for fiscal 2019 are the total of Dai-ichi Life, Dai-ichi Frontier Life, Neo First Life, Protective, TAL, Dai-ichi Life Vietnam, and Dai-ichi Life Cambodia.
*2 Starting with values for fiscal 2019, values for TAL were tabulated after excluding change in in-force.
*3 Calculated from fiscal 2011
*4 From fiscal 2014, the extrapolation method beyond the last liquid data point of the Japanese interest rate is changed from a method taking into account the yield curve of the Japanese swap rate to a method
using the ultimate forward rate.
Starting with figures for fiscal 2020, changes to the ultimate forward rate, etc., and corporate bond spreads in the discount rate used for insurance liability valuation by Dai-ichi Frontier Life will be reflected.
*5 From fiscal 2016, figures reflect expected rate of return on investments when evaluating insurance liabilities. For figures from fiscal 2019, measurement standards have been upgraded based on the117

Introduction・Message

Value Creation
Story

Strategies &Performance

Sustainability &Management Base

GovernanceDatadevelopment of Insurance Capital Standard (ICS) and economic value regulations in Japan. Starting with figures for fiscal 2020, changes to the ultimate forward rate, etc., and corporate bond spreads in the
discount rate used for insurance liability valuation by Dai-ichi Frontier Life will be reflected.
*6 Dai-ichi Life Holdings conducted a 1:100 share split on October 1, 2013. Adjustments are made to per share indicators prior to the share split.
*7 Total of Dai-ichi Life Holdings, Dai-ichi Life, Dai-ichi Frontier Life, and Neo First Life. Figures as of April 1 of the next fiscal year, which represent the percentage at the end of the previous fiscal year.
*8 Total of Dai-ichi Life Holdings, Dai-ichi Life, Dai-ichi Life Challenged, Dai-ichi Life Business Services, and Dai-ichi Life Information Systems. Figures as of April 1 of the next fiscal year, which represent the
number at the end of the previous fiscal year.
*9 Based on Scope 1 + 2. Figures for fiscal 2012 to fiscal 2014 are those for Dai-ichi Life. Figures for fiscal 2015 and beyond are sums of those for subsidiaries and affiliates in Japan (total of 33 companies infiscal 2021). Figures are calculated on a market basis from fiscal 2019.
*10 Figures for fiscal 2012 to fiscal 2014 are for Dai-ichi Life only. Figures for fiscal 2015 and beyond are sums of those for subsidiaries and affiliates in Japan (total of 33 companies in fiscal 2021).

Dai-ichi Life Holdings Integrated Report 2023

118

Data

Major Awards for the Groupʼs Initiatives

Participation in External Initiatives
Through joining initiatives related to sustainability within and outside Japan, the Group is promoting initiatives for realizing asustainable society

Sustainability AccountingStandards Board (SASB)

International Corporate
Governance Network(ICGN)

United Nations Global
Compact (UNGC)

Womenʼs
Empowerment
Principles (WEPs)

30% Club Japan

Principles for
Responsible
Investment (PRI)

Japan Stewardship
Initiative

Principles for Financial Action Towards
a Sustainable Society (Principles for
Financial Action for the 21st Century)

Institutional Investors
Collective Engagement
Forum (IICEF)

Access to Medicine
Foundation

Japan Impact-driven
Financing Initiative

ESG Finance Award Japan Gold Prize
in Investor Category (Minister of theEnvironment Award)

Work with Pride “PRIDE Index”
Gold Award (2022)

Climate Change–Related Initiatives

Recipient

THE NET-ZEROASSET OWNER
ALLIANCE

Task Force on Climaterelated Financial
Disclosures (TCFD)

RE100

Climate Action 100+

THE NET-ZERO ASSETOWNER ALLIANCE

Glasgow Financial
Alliance for Net Zero

Platinum Kurumin

2022 CDP Survey
A-List company

Excellent Enterprisein the 2022
ESG Web Awards

Organizer

Employer of Choicefor Gender Equality(Australia)

Award

Summary

Great Place
To Work®
Certification

Great Place To Work® evaluates job
satisfaction in the workplace in about
100 countries around the world fromperspectives including workplace culture,
employee experience, and innovation. The
company earned the certification for the
first time last year with a score 32 points
higher than the typical U.S. company
score, and renewed it again this year.

Golden Peacock
HR Excellence
Award

The Golden Peacock Awards for Corporate
Leadership and Excellent Organization are
prestigious awards with over 30 years ofhistory. Among them, the HR ExcellenceAward is bestowed upon organizations thathave achieved overall excellence in their HR
and people management practices, thus
contributing to the needs of business, theprofession, employees, industry, and thenation. This is the second consecutive yearthat the company has received the Golden
Peacock Award, following last yearʼs
Corporate Governance Award.

Taskforce on Naturerelated Financial
Disclosures (TNFD) Forum

Dialogue with Stakeholders

Protective

Great Place To Work®

Nadeshiko Brand/Semi-Nadeshiko■ Basic approach
To ensure that our stakeholders have an accurate understanding of the Groupʼs business activities, we will disclose information
regarding the Groupʼs management strategies, ﬁnances, and performance in a fair, timely, and appropriate manner, and will further
enhance our dialogue with our stakeholders.
In addition, through constructive dialogue with shareholders and investors, including the management team, we strive todeepen their understanding of the Group and to gain an appropriate understanding of their views of the Company and the market
environment. We will use the opinions and requests we receive to improve our management and further enhance our corporate
value by providing feedback widely within the company, including the management team.

Star Union
Dai-ichi Life

■ Status of dialogue with shareholders and investors (fiscal 2022)
The Company holds quarterly earnings conference calls andCEO succession in particular. We also received many questions

semiannual ﬁnancial results and business brieﬁngs online toregarding our managementʼs approach to “capital circulation

engage in dialogue with shareholders and investors in Japan

management” with an awareness of capital efﬁciency.
We report and share the opinions we receive widely within

and overseas. In particular, at the ﬁnancial results and businessbrieﬁng, the CEO and CFO responded to questions about thethe company, including feedback to management through theGroupʼs business and ﬁnancial strategies, taking into account

Board of Directors and the Executive Management Board, andthe business environment in which the Group operates.

incorporate them into management improvements.

We also had individual interviews with more than 200
domestic and foreign shareholders and investors, mainly in an

Track record of dialogue with shareholders and investors (fiscal 2022)

online format. In our dialogues with shareholders and investors,●

we discuss a wide range of topics, including corporate
governance, risk management, and sustainability matters, inaddition to dialogues on group performance. In ﬁscal 2022,
we received many questions and opinions on the Companyʼs

119

Introduction・Message

Value Creation
Story

Strategies &Performance

Institute of Directors

Number of conference calls and financial results and businessbriefings: 7● Number of individual investor briefings*: 4
Total number of participants: approx. 6,000●

Total number of IR interviews (domestic and foreign shareholders): approx. 300*Number of times held online, number of participants includes archive viewers

Sustainability &Management Base

Governance

Data

TAL

Plan For Life, Actuaries& Researchers/
Association of Financial
Advisers (AFA)

AFA Life Companyof the YearAwards 2022

The AFA Life Company of the Year Awards recognize life insurancecompanies that have provided reliable and dependable service inAustralia throughout the year, and for 2022, innovation and adaptation toa changing environment were key judging criteria. The company won top
awards in three categories and was recognized as a top company in theOverall Platinum category, which is the overall award.
Innovation – Health and Wellness
Income Protection● Trauma●Awarded the top award●

Dai-ichi Life Holdings Integrated Report 2023

120

Overview and Organization of the Insurance Holding Company

Capital Stock and Number of Shares
1. Capital stock

Corporate Profile
Trade name

Dai-ichi Life Holdings, Inc.

Date of Establishment

September 15, 1902

Head Office13-1, Yurakucho 1-chome, Chiyoda-ku, Tokyo 100-8411, Japan

Phone number

81-(0)3-3216-1222

Official website

https://www.dai-ichi-life-hd.com/en/

Main Business

The purpose of the Company shall be to engage in the following businesses:(1) Business administration of life insurance companies, non-life insurance companies,
and other companies operating as the Company's subsidiaries pursuant to theprovisions of the Insurance Business Act;
(2) Business activities incidental to the business listed in the preceding item; and(3) In addition to the business listed in the preceding two items, business activities thatare permitted to be performed by an insurance holding company under the
Insurance Business Act.

Capital stock

344.0 billion yen

Number of employees

801 persons

Management Organization

Date

Increase in capital

Capital stock after
increase

Details

April 1, 2010

210,200 million yen

210,200 million yen

Reconciliation of net assets associated withthe change in corporate structure to a publiccompany from a mutual company

April 2, 2012

7 million yen

210,207 million yen

Exercise of stock options

April 1, 2013

8 million yen

210,215 million yen

Exercise of stock options

June 21, 2013

9 million yen

210,224 million yen

Exercise of stock options

June 25, 2014

37 million yen

210,262 million yen

Exercise of stock options

July 23, 2014

124,178 million yen

334,440 million yen

August 19, 2014

8,663 million yen

343,104 million yen

April 1, 2015

42 million yen

343,146 million yen

July 24, 2018

180 million yen

343,326 million yen

July 19, 2019

190 million yen

343,517 million yen

July 21, 2020

214 million yen

343,732 million yen

July 20, 2021

194 million yen

343,926 million yen

December 2, 2022

147 million yen

344,074 million yen

Issuance of new shares by way of public
offering
Third-party allotment associated with thesecondary offering through over-allotment
Exercise of stock options
Third-party allotment associated with thestock remuneration scheme using restricted
stocksThird-party allotment associated with thestock remuneration scheme using restricted
stocksThird-party allotment associated with thestock remuneration scheme using restricted
stocksThird-party allotment associated with thestock remuneration scheme using restricted
stocksThird-party allotment associated with thestock remuneration scheme using restricted
stocks

2. Number of shares and shareholders(As of March 31, 2023)
Number of shares authorized to beissued4,000,000 thousand shares

Number of issued shares

989,888 thousand shares

Number of shareholders

725,915 persons(Note) Numbers of shares less than one thousand are truncated.

3. Type of issued shares(As of March 31, 2023)

Type

Number of issued shares

Details

Common stock

989,888 thousand shares―(Note) Numbers of shares less than one thousand are truncated.

121 Dai-ichi Life Holdings

Integrated Report1224. Major Shareholders (Top 10)(As of March 31, 2023)

Name of shareholders

Ownership in the Company

Overview of the Insurance Holding Company and its Subsidiaries andAffiliated Companies

Shares held

Percentage

thousands of shares%

The Master Trust Bank of Japan, Ltd. (Trust
Account)

158,136

16.02

Custody Bank of Japan, Ltd. (Trust Account)

62,773

6.35

Main businesses operated by the Company and its 125 subsidiaries and 30 affiliated companies, and the positioning of
the group companies with respect to each of these businesses, are described as follows.

Mizuho Bank, Ltd.

28,0002.83<Diagram of the Company and its Subsidiaries and Affiliated Companies>

SMP PARTNERS (CAYMAN) LIMITED

24,5002,48

Shinsei Trust & Banking Co., Ltd. ECM MF Trust
Account 8299002

17,4501.76

STATE STREET BANK WEST CLIENT –TREATY 505234

16,887

1.71

CGML PB CLIENT ACCOUNT/COLLATERAL

16,167

1,63

SMBC Nikko Securities Inc.

15,163

1,53

JPMorgan Securities Japan Co., Ltd.

13,233

1.34

J.P. MORGAN SECURITIES PLC FOR AND ON
BEHALF OF ITS CLIENTS JPMSP RE CLIENTASSETS-SEGR ACCT

12,865

1,30

Main Businesses and Organization(Notes) 1. Numbers of shares less than one thousand are truncated.
2. Percentage figures of ownership are calculated after deducting the number of treasury stock from the number of issued shares, andfigures less than the second decimal place are truncated.

5. Independent Auditor
KPMG AZSA LLC(Notes) 1. Company names of principal subsidiaries and affiliated companies are shown.
2. Company names with "＊" are consolidated subsidiaries and "○" are affiliated companies under the equity method as of March 31,
2023.

123 Dai-ichi Life Holdings

Integrated Report124List of Group Companies

Company Name

Date of
Establishment

Location

CapitalPrincipal Business(Note 1)

Percentage ofPercentage of voting rights ofsubsidiaries,
voting rights of
etc. held bysubsidiaries,Group
etc. held by theCompany (%) companies (%)(Note 2)

The Dai-ichi Frontier Life Insurance Co., Ltd.

The Neo First Life Insurance Company,
LimitedApril 1,
2016
December 1,
2006April 23,
1999

Chiyoda-ku, Tokyo

Minato-ku, Tokyo

Shinagawa-ku, Tokyo

60.0
billionJPY

Domestic insurance
business

100.0%

117.5
billionJPY

Domestic insurance
business

100.0%

47.5
billionJPY

Domestic insurance
business

100.0%

Domestic insurance
business

100.0%

0.0%

ipet Holdings, Inc.

October 1,
2020

Koto-ku, Tokyo

ipet Insurance Co., Ltd.

May 11,
2004

Koto-ku, Tokyo

4.6
billionJPY

Domestic insurance
business

0.0%

100.0%

Protective Life Corporation

July 24,
1907

Birmingham, U.S.A.

10
USD

Overseas insurance
business

0.0%

100.0%TAL Dai-ichi Life Australia Pty Ltd

March 25,2011

Sydney, Australia

3,055
million
AUD

Overseas insurance
business

0.0%

100.0%TAL Life Limited

October 11,
1990

Sydney, Australia

654
million
AUD

Overseas insurance
business

0.0%

100.0%TAL Life Insurance Services Limited

August 4,
1986

Sydney, Australia

856
million
AUD

Overseas insurance
business

0.0%

100.0%

Partners Group Holdings Limited

August 23,
2010

Oakland,
New Zealand486
million
NZD

Overseas insurance
business

0.0%

100.0%

Partners Life Limited

August 23,
2010

Oakland,
New Zealand

519
million
NZD

Overseas insurance
business

0.0%

100.0%

Dai-ichi Life Insurance Company of Vietnam,
LimitedJanuary 18,
2007

Ho Chi Minh City,
Vietnam

9,797.5billion
VND

Overseas insurance
business

100.0%

0.0%

Dai-ichi Life Insurance (Cambodia) PLC.

March 14,2018

Phnom Penh,
Cambodia33
million
USD

Overseas insurance
business

0.0%

100.0%

Dai-ichi Life Insurance Myanmar Ltd.

May 17,2019

Yangon, Myanmar

49
million
USD

Overseas insurance
business

0.0%

100.0%

Dai-ichi Life Reinsurance Bermuda Ltd.

September 25,
2020

Hamilton, Bermuda

135
million
USD

Overseas insurance
business

100.0%

0.0%

Dai-ichi Life International Holdings LLC

June 22,2020

Chiyoda-ku, Tokyo5
millionJPY

Other business100.0%

0.0%

Vertex Investment Solutions Co., Ltd.

August 1,
2022

Chiyoda-ku, Tokyo

15
billionJPY

Other business100.0%

0.0%

125 Dai-ichi Life Holdings

CapitalPrincipal Business(Note 1)

Navi Mumbai, India

3,389
million
INR

Overseas insurance
business

0.0%

45.9%

PT Panin Internasional

July 24,
1998

Jakarta, Indonesia

1,022.5billion
IDR

Overseas insurance
business

0.0%

36.8%

PT Panin Dai-ichi Life

July 19,1974

Jakarta, Indonesia

1,067.3
billion
IDR

Overseas insurance
business

5.0%

95.0%

OCEAN LIFE INSURANCE PUBLICCOMPANY LIMITED

January 11,
1949

Bangkok, Thailand

2.360
billion
THB

Overseas insurance
business

0.0%

24.0%

Corporate-Pension Business Service Co., Ltd.

October 1,
2001

Osaka-shi, Osaka

6.0
billionJPY

Other business

0.0%

50.0%

Asset Management One Co., Ltd.

July 1,
1985

Chiyoda-ku, Tokyo

2.0
billionJPY

Other business

49.0%

0.0%

Japan Excellent Asset Management Co., Ltd.

April 14,2005

Minato-ku, Tokyo400
millionJPY

Other business

0.0%

36.0%

0.0%

0.1
billion
JPY

Location

September 25,
2007

0.0%

0.0%

Date of
Establishment(Affiliated Company Under the Equity Method)Star Union Dai-ichi Life Insurance Company
Limited(Consolidated Subsidiary)
The Dai-ichi Life Insurance Company, Limited

Company Name

Percentage ofPercentage of voting rights ofsubsidiaries,
voting rights of
etc. held bysubsidiaries,Group
etc. held by theCompany (%) companies (%)(Note 2)

(Notes) 1. "Principal Business" is categorized with the three reportable segments of the Company.
2. "Percentage of voting rights of subsidiaries, etc. held by Group companies" represent percentages including the those of indirect
voting rights, which in turn include the percentages of "voting rights held by any persons who are found to exercise their voting rights
in the same manner as the intent of the subject person due to their close ties with the subject person in terms of contribution,
personnel affairs, funds, technology, transactions, etc. and those held by any persons who have given their consent to exercising
their voting rights in the same manner as the intent of the subject person."

Integrated Report126Main Businesses of the Insurance Holding Company and its
Subsidiaries and Affiliated Companies

Consolidated Balance Sheet(Unit: million(Unit: million yen)

US dollars)

As of March 31,

Key Management Indicators
Fiscal Year Ended March 31,
2019
Ordinary revenues (million yen)

2020

2021

2022

2023

7,184,093

7,114,099

7,827,806

8,209,708

9,519,445

Ordinary profit (million yen)

432,945

218,380

552,861

590,897

410,900

Net income attributable to shareholdersof parent company (million yen)

225,035

32,433363,777

409,353

192,301

Comprehensive income (million yen)

72,613

167,564

1,143,981(130,395)(1,330,832)

As of March 31,
2019

2020

2021

2022

2023

Total net assets (million yen)

3,713,592

3,776,918

4,807,129

4,408,507

2,873,114

Total assets (million yen)

55,941,261

60,011,999

63,593,705

65,881,161

61,578,872

869.7

884.1

958.5

902.6

704.1

Consolidated solvency margin ratio (%)

Outline of business
Ordinary revenues for the fiscal year ended March 31, 2023 increased by 16.0% compared to the previous fiscal year to¥9,519.4 billion, consisting of ¥6,635.4 billion (25.4% increase) in premium and other income, ¥2,280.8 billion (10.6%
decrease) in investment income, and ¥603.1 billion (64.5% increase) in other ordinary revenues. Meanwhile, ordinary
expenses for the fiscal year ended March 31, 2023 increased by 19.6% compared to the previous fiscal year to ¥9,108.5
billion, consisting of ¥6,443.9 billion (10.0% increase) in benefits and claims, ¥98.5 billion (68.9% decrease) in provision
for policy reserves and others, ¥1,146.2 billion (200.8% increase) in investment expenses, ¥831.3 billion (10.5%
increase) in operating expenses, and ¥588.3 billion (88.0% increase) in other ordinary expenses.
As a result, ordinary profit for the fiscal year ended March 31, 2023 decreased by 30.5% compared to the previous fiscal
year to ¥410.9 billion. Net income attributable to shareholders of parent company, which is ordinary profit after
extraordinary gains and losses, provision for reserve for policyholder dividends and total of corporate income taxes,
decreased by 53.0% to ¥192.3 billion. This was mainly due to an increase of COVID-19 related payments at Dai-ichi Lifeand valuation losses caused by rising interest rates at Protective Life Corporation.
Segment results were as follows:(1) Domestic Insurance Business
Ordinary revenues for the domestic insurance business increased compared to the previous fiscal year by ¥1,495.9
billion, or 21.9%, to ¥8,341.0 billion mainly due to an increase in premium and other income at Dai-ichi Frontier Life in linewith an increase in sales volume of foreign currency-denominated products resulting from the rising overseas interest rates,etc. Segment net income decreased compared to the previous fiscal year by ¥149.7 billion, or 30.3%, to ¥344.1 billion
mainly due to an increase in COVID-19 related payments and losses on sales of securities at Dai-ichi Life while benefits
and claims decreased due to an absence of ceding reinsurance commissions..
(2) Overseas Insurance Business
Ordinary revenues for the overseas insurance business increased compared to the previous fiscal year by ¥383.9
billion, or 17.1%, to ¥2,626.8 billion mainly due to an increase in reversal for policy reserve at Protective Life Corporation
and an increase in premium and other income at TAL due to the completion of its acquisition of Westpac Life Insurance
Services Limited (TAL Life Insurance Services Limited). Segment net income decreased compared to the previous fiscal
year by ¥66.1 billion, or 70.1%, to ¥28.1 billion mainly caused by valuation losses due to rising interest rates at Protective
Life Corporation.
(3) Other Business
Ordinary revenues for other business increased compared to the previous fiscal year by ¥78.0 billion, or 36.1%, to¥294.3 billion mainly due to an increase in dividend income from group companies. Segment net income increased
compared to the previous fiscal year by ¥71.4 billion, or 36.1%, to ¥268.9 billion.

127 Dai-ichi Life Holdings

2022

2023

2,183,874
479,900
255,902
1,106,918
51,504,749
3,978,577
1,159,741
808,368
332,376
4,499
551
13,944
502,795
124,331
56,245322,218
1,924,898
2,748,965
9,378
45,745(19,505)(779)
65,881,161

1,619,087
966,900
246,105911,246
46,711,704
4,349,867
1,239,953
883,225
330,802
3,580
6,352
15,992
761,682
129,394
119,545
512,742
1,659,438
2,834,798
247,891
48,987(17,863)(927)
61,578,872

12,125
7,241
1,843
6,824
349,82132,575
9,285
6,614
2,477
26
47
119
5,704
969
895
3,839
12,427
21,229
1,856
366
(133)
(6)
461,161

52,745,988
925,110
51,407,655
413,222895,123－
870,383
5,906,787
3,115,017
2,791,770
392,52253,946,359
1,016,857
52,506,098
423,403597,703
43,062906,6122,373,148
432,210
1,940,937
367,808

404,001
7,615
393,215
3,170
4,476
322
6,789
17,772
3,236
14,535
2,754

929

794

5

800
287,358
287,358
256,364
70,65245,74561,472,654

800
305,588
305,588
44,69470,19748,98758,705,757

5
2,288
2,288
334
525
366
439,644(NET ASSETS)
Capital stock
Capital surplus
Retained earnings
Treasury stock

343,926
330,259
1,334,834(12,718)

344,074
330,4071,309,963(13,918)

2,576
2,474
9,810
(104)

Total shareholders' equity
Net unrealized gains (losses) on securities, net of tax
Deferred hedge gains (losses)
Reserve for land revaluation
Foreign currency translation adjustments
Accumulated remeasurements of defined benefit plans
Total accumulated other comprehensive income
Subscription rights to shares
Non-controlling interests
Total net assets
Total liabilities and net assets

1,996,301
2,397,969(15,532)
16,643
4,232
8,197
2,411,510
694－
4,408,507
65,881,161

1,970,526
742,700(38,260)
30,369144,515
22,778902,102483
12,873,114
61,578,872

14,757
5,562
(286)
227
1,082
170
6,755
3
0
21,516461,161(ASSETS)Cash and deposits
Call loans
Monetary claims bought
Money held in trust
Securities
Loans
Tangible fixed assets
Land
Buildings
Leased assets
Construction in progress
Other tangible fixed assets
Intangible fixed assets
Software
Goodwill
Other intangible fixed assets
Reinsurance receivable
Other assets
Deferred tax assets
Customers' liabilities for acceptances and guarantees
Reserve for possible loan losses
Reserve for possible investment losses
Total assets(LIABILITIES)Policy reserves and others
Reserves for outstanding claims
Policy reserves
Reserve for policyholder dividends
Reinsurance payable
Short-term bonds payable
Bonds payable
Other liabilities
Payables under repurchase agreements
Other liabilities
Net defined benefit liabilities
Reserve for retirement benefits of directors,
executive officers and corporate auditors
Reserve for possible reimbursement of prescribed claims
Reserves under the special laws
Reserve for price fluctuations
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Acceptances and guarantees
Total liabilities

2023

Integrated Report128Consolidated Statement of Earnings

Consolidated Statement of Comprehensive Income(Unit: million(Unit: million yen)

(Unit: million

US dollars)(Unit: million yen)

Year ended March 31,
2022

2023

ORDINARY REVENUES
Premium and other income
Investment income
Interest and dividends
Gains on investments in trading securities
Gains on sale of securities
Gains on redemption of securities
Derivative transaction gains
Foreign exchange gains
Reversal of reserve for possible loan losses
Other investment income
Gains on investments in separate accounts
Other ordinary revenues

8,209,708
5,291,973
2,551,112
1,386,792
206,378
393,503
21,230－453,064
11,3402,718
76,084
366,622

9,519,445
6,635,483
2,280,833
1,431,356－
571,788
19,182
27,103
227,065
100
4,236－
603,127

71,29049,692
17,081
10,719
－
4,282
143
202
1,700
0
31
－
4,516

ORDINARY EXPENSES
Benefits and claims
ClaimsAnnuities
Benefits
Surrender values
Other refunds
Provision for policy reserves and others
Provision for reserves for outstanding claims
Provision for policy reserves
Provision for interest on policyholder dividends
Investment expenses
Interest expenses
Losses on money held in trust
Losses on investments in trading securities
Losses on sale of securities
Losses on valuation of securities
Losses on redemption of securities
Derivative transaction losses
Provision for reserve for possible investment losses
Write-down of loans
Depreciation of real estate for rent and others
Other investment expenses
Losses on investments in separate accounts
Operating expenses
Other ordinary expenses

7,618,811
5,855,703
1,397,477
778,494
653,894
1,363,354
1,662,483
316,837
48,203
260,369
8,264
381,136
26,704
1,572
234,564
7,817
3,545
40,176247
459
13,45852,590－752,160
312,973

9,108,545
6,443,986
1,571,782
866,271862,291
1,989,215
1,154,425
98,544
90,239－8,305
1,146,275
33,0002,303
392,938
516,578
21,750
5,934
－
486
1,513
13,68272,72585,361
831,345588,392

68,21348,258
11,771
6,487
6,457
14,897
8,645
737
675
－
62
8,584
247
17
2,942
3,868
162
44
－
3
11
102
544
639
6,225
4,406

Ordinary profit

590,897

410,900

3,077

EXTRAORDINARY GAINS
Gains on disposal of fixed assets
Other extraordinary gains

10,766
10,404
362

4,584
4,550
34

34
34
0

EXTRAORDINARY LOSSES
Losses on disposal of fixed assets
Impairment losses on fixed assets
Provision for reserve for price fluctuations
Other extraordinary losses

39,792
12,9663,850
22,90372

39,805
5,562
15,93918,202
101

298
41
119
136
0

Provision for reserve for policyholder dividends
Income before income taxes
Corporate income taxes-current
Corporate income taxes-deferred
Total of corporate income taxes
Net Income
Net income attributable to non-controlling interests
Net income attributable to shareholders of parent company

87,500474,371
136,131(71,113)65,018409,353－
409,353

95,000280,679
41,93746,44088,377
192,3010
192,301

711
2,101
314
347
661
1,440
0
1,440

129 Dai-ichi Life Holdings－

US dollars)Year ended March 31,
2023

2022

2023

2023

Net income

409,353

192,301

1,440

Other comprehensive income
Net unrealized gains (losses) on securities, net of tax(653,967)(1,649,661)(12,354)

Deferred hedge gains (losses)
Reserve for land revaluation
Foreign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of subsidiaries andaffiliates accounted for under the equity method(11,381)(25)
110,026
18,185(22,034)－
137,354
14,575

(165)
－
1,028
109

(2,586)(3,368)(25)

Total other comprehensive income(539,749)(1,523,134)(11,406)(130,395)(1,330,832)(9,966)(130,395)－(1,330,832)
0(9,966)0Comprehensive income(Details)
Attributable to shareholders of parent company
Attributable to non-controlling interests

Integrated Report130Consolidated Statement of Changes in Net Assets

Consolidated Statement of Changes in Net Assets (Continued)

Year ended March 31, 2022

(Unit: million yen)

Year ended March 31, 2023

(Unit: million yen)

Shareholders' equity

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Capitalstock
343,732

Capitalsurplus330,065194

194

Retainedearnings
1,375,805

Shareholders' equity
Treasurystock(155,959)(68,833)
409,353(104)(342,874)
342,979

194
343,926

194
330,259(199,999)
365
342,874(342,979)(38,695)
182(40,971)
1,334,834

143,241(12,718)

Total shareholders'equity1,893,643
389(68,833)
409,353(199,999)
261－－(38,695)
182
102,658
1,996,301

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Capitalstock
343,926

Capitalsurplus330,259

147

147

Retainedearnings
1,334,834

Treasurystock(12,718)(120,000)
405
118,394295(85,030)
192,301(120,000)
262－－(13,726)
122(1,199)(13,918)(25,775)
1,970,526(85,030)
192,301(143)(118,394)
118,538147
344,074147
330,407(118,538)(13,726)
122(24,870)
1,309,963(Unit: million yen)

(Unit: million yen)

Accumulated other comprehensive income

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Net unrealized
gains (losses) on
securities, netof tax3,056,350(658,381)(658,381)
2,397,969

Accumulated other comprehensive income

Deferred hedge
gains (losses)

Reserve for land
revaluation

Foreign currencytranslation
adjustments(2,916)(22,026)(108,830)(12,615)(12,615)(15,532)

38,66938,66916,643113,062
113,062
4,232

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Net unrealized
gains (losses) on
securities, netof tax2,397,969(1,655,268)(1,655,268)
742,700

Deferred hedge
gains (losses)

Reserve for land
revaluation

Foreign currencytranslation
adjustments(15,532)

16,643

4,232

Accumulated
remeasurementsof defined benefit
plans
8,197

(22,728)(22,728)(38,260)

13,726
13,72630,369140,282
140,282
144,515

14,58014,58022,778(Unit: million yen)

(Unit: million yen)

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

131 Dai-ichi Life Holdings

Accumulated othercomprehensive income
Total accumulated
Accumulatedotherremeasurements
comprehensiveof defined benefit
incomeplans(10,012)2,912,564

18,21018,2108,197(501,053)(501,053)
2,411,510

Subscription
rights to shares

920

(225)
(225)
694

Total shareholders'equity1,996,301

Noncontrolling interests

Total net
assets－4,807,129

－
－
－

389
(68,833)
409,353(199,999)
261－－(38,695)
182(501,279)(398,621)
4,408,507

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Accumulated othercomprehensive
incomeTotal accumulated
othercomprehensive
income2,411,510(1,509,407)(1,509,407)
902,102

Subscription
rights to shares

694

(211)
(211)
483

Noncontrolling interests

Total net
assets－4,408,507

1
1
1

295
(85,030)
192,301(120,000)
262－－(13,726)
122(1,509,617)(1,535,392)
2,873,114

Integrated Report132Consolidated Statement of Changes in Net Assets (Continued)
Year ended March 31, 2023

Consolidated Statement of Cash Flows(Unit: million(Unit: million US dollars)(Unit: million yen)

Shareholders' equity

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Capital
stock
2,575
1

Capitalsurplus2,473

Retainedearnings
9,996

Treasury
stock
(95)

1

(898)
3
886

2
(636)
1,440
(898)
1
－
－
(102)
0

(8)
(104)

(193)
14,757

(636)
1,440
(1)
(886)
887

1
2,576

1
2,474

(887)
(102)
0
(186)
9,810

Total shareholders'equity14,950(Unit: million US dollars)
Accumulated other comprehensive income

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Net unrealized
gains (losses) on
securities, netof tax17,958(12,396)(12,396)
5,562

Deferred hedge
gains (losses)

Reserve for land
revaluation

Foreign currencytranslation
adjustments

(116)

124

31

Accumulated
remeasurementsof defined benefit
plans
61

(170)
(170)
(286)

102
102
227

1,050
1,050
1,082

109
109
170

(Unit: million US dollars)

Balance at the beginning of the year
Changes for the year
Issuance of new shares
Dividends
Net income attributable to shareholders of parent company
Purchase of treasury stock
Disposal of treasury stock
Cancellation of treasury stock
Transfer from retained earnings to capital surplus
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Accumulated othercomprehensive
incomeTotal accumulated
othercomprehensive
income18,059(11,303)(11,303)
6,755

Subscription
rights to shares

5

(1)
(1)
3

Noncontrolling interests

－

0
0
0

Total net
assets33,015
2
(636)
1,440
(898)
1
－
－
(102)
0
(11,305)(11,498)
21,516

CASH FLOWS FROM OPERATING ACTIVITIESIncome before income taxes
Depreciation of real estate for rent and others
Depreciation
Impairment losses on fixed assets
Amortization of goodwill
Increase (decrease) in reserves for outstanding claims
Increase (decrease) in policy reserves
Provision for interest on policyholder dividends
Provision for (reversal of) reserve for policyholder dividends
Increase (decrease) in reserve for possible loan losses
Increase (decrease) in reserve for possible investment losses
Write-down of loans
Increase (decrease) in net defined benefit liabilities
Increase (decrease) in reserve for retirement benefits of directors,
executive officers and corporate auditors
Increase (decrease) in reserve for price fluctuations
Interest and dividends
Securities related losses (gains)
Interest expenses
Foreign exchange losses (gains)
Losses (gains) on disposal of fixed assets
Equity in losses (income) of affiliates
Decrease (increase) in reinsurance receivable
Decrease (increase) in other assets unrelated to investing andfinancing activities
Increase (decrease) in reinsurance payable
Increase (decrease) in other liabilities unrelated to investing andfinancing activities
Others, net
SubtotalInterest and dividends received
Interest paid

2022

2023

2023

474,371
13,45871,352
3,850
5,154
117,139
293,034
8,264
87,500(11,595)
152
459(2,420)280,679
13,68286,51015,9397,030
47,472(722,309)
8,305
95,000(3,643)147
1,513(6,004)

2,101
102
647
119
52
355
(5,409)
62
711
(27)
1
11
(44)

(69)
22,903(1,386,792)(451,269)
26,704(453,064)
2,191(5,529)(78,519)(134)
18,202(1,431,356)
431,593
33,000(227,065)
498(6,184)
558,710(1)
136(10,719)3,232
247(1,700)
3
(46)
4,184

(251,517)(12,076)(90)

76,163(307,989)(2,306)(25,677)
87,547(1,376,207)
1,554,969(32,077)

50,44835,088(1,032,942)
1,621,166(36,066)

377
262(7,735)
12,140(270)

Policyholder dividends paid

(83,541)(93,123)(697)

Others, net(383,791)(436,527)(3,269)Corporate income taxes (paid) refund(141,428)(154,975)(1,160)(462,076)(132,468)(992)(19,326)(47,029)
40,290(69,896)
92,300(10,457,617)
10,932,077(940,561)
863,640
672,886
1,066,764

4,460(25,989)
29,995(92,105)
285,464(10,719,051)
14,073,919(1,000,871)
842,473(2,764,354)
633,940

33
(194)
224
(689)
2,137
(80,274)
105,398(7,495)
6,309(20,702)
4,747

604,688(99,465)
31,910(49,547)694

501,472(117,860)
56,547(43,821)
－

3,755
(882)
423
(328)
－

－

(218,369)(1,635)

12,919963,276－
310,437－
2,324

Net cash flows provided by (used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIESNet decrease (increase) in cash and deposits
Purchases of monetary claims bought
Proceeds from sale and redemption of monetary claims bought
Purchases of money held in trust
Proceeds from decrease in money held in trust
Purchases of securities
Proceeds from sale and redemption of securities
Origination of loans
Proceeds from collection of loans
Net increase (decrease) in short-term investing
Total of net cash provided by (used in) investment transactions
Total of net cash provided by (used in) operating activities andinvestment transactions
Acquisition of tangible fixed assets
Proceeds from sale of tangible fixed assets
Acquisition of intangible fixed assets
Proceeds from sale of intangible fixed assets
Acquisitions of stock of subsidiaries resulting in change in scope of
consolidation
Proceeds from acquisitions of stock of subsidiaries resulting inchange in scope of consolidation
Net cash flows provided by (used in) investing activities

133 Dai-ichi Life Holdings

US dollars)Year ended March 31,

Integrated Report134Consolidated Statement of Cash Flows (Continued)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF AND FOR THE YEAR ENDED MARCH 31, 2023
(Unit: million(Unit: million yen)

US dollars)

Ⅰ. BASIS FOR PRESENTATION

Year ended March 31,
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings
Repayment of borrowings
Proceeds from issuing bonds
Redemption of bonds
Proceeds from issuing common stock

2022

2023

330,130(298,308)
79,453(129,858)－

103,673(205,632)
－
－
147

776
(1,539)－－
1

Repayment of financial lease obligations(3,302)(3,147)(23)

Net increase (decrease) in short-term financing

109,976(13,599)(101)

Purchase of treasury stock(199,999)(120,000)(898)(68,678)(84,814)

(635)

(120)

(2,075)(15)

0(180,707)
33,341
353,833
2,262,910
2,616,743

0(325,447)
48,019(99,458)
2,616,743
2,517,285

0(2,437)359(744)
19,596
18,851

Cash dividends paid
Acquisitions of stock of subsidiaries that do not result in change inscope of consolidation
Others, net
Net cash flows provided by (used in) financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year

The accompanying consolidated financial statements have been prepared from the accounts maintained by Dai-ichi Life
Holdings, Inc. (the “Company”) and its consolidated subsidiaries in accordance with the provisions set forth in the Financial
Instruments and Exchange Act, and in conformity with accounting principles generally accepted in Japan (“Japanese GAAP”)
which are different in certain respects from the application and disclosure requirements of International Financial ReportingStandards.
Certain items presented in the consolidated financial statements are reclassified for the convenience of readers outside Japan.
The notes to the consolidated financial statements include information which is not required under Japanese GAAP but ispresented herein as additional information.
The amounts indicated in millions of yen are rounded down by truncating the figures below one million. Totals may not add up
exactly because of such truncation. Amounts in U.S. dollars are included solely for the convenience of readers outside Japan.
The rate of ¥133.53=US$1.00, the foreign exchange rate on March 31, 2023, has been used for translation of the truncatedfigures in Japanese yen. The inclusion of such amounts is not intended to imply that Japanese yen has been or could be readily
converted, realized or settled into U.S. dollars at that rate or any other rate.

2023

Ⅱ. PRINCIPLES OF CONSOLIDATION
1.

Scope of Consolidation(1) The number of consolidated subsidiaries as of March 31, 2023: 87
The consolidated financial statements include the accounts of the Company and its consolidated subsidiaries (collectively,“the Group”), including The Dai-ichi Life Insurance Company, Limited (“DL”), The Dai-ichi Frontier Life Insurance Co., Ltd.
(“DFLI”), The Neo First Life Insurance Company, Limited (“Neo First Life”), ipet Holdings, Inc. (“ipet”), Dai-ichi Life
Insurance Company of Vietnam, Limited (“DLVN”), TAL Dai-ichi Life Australia Pty Ltd (“TDLA”), Protective Life Corporation(“PLC”), Dai-ichi Life Insurance (Cambodia) PLC. (“DLKH”), Dai-ichi Life Insurance Myanmar Ltd.(“DLMM”), Dai-ichi Life
Reinsurance Bermuda Ltd. (“DLRe”), Partners Group Holdings Limited (“PNZ”), Dai-ichi Life International Holdings LLC(“DLIHD”)and Vertex Investment Solutions Co., Ltd (“VTX”).
Effective the fiscal year ended March 31, 2023, three companies, which are ipet Holdings, Inc. and its two affiliated companies,
and eight companies, which are Partners Group Holdings Limited and its seven affiliated companies, were included in the scopeof consolidation as they had become subsidiaries of the Company.
Effective the fiscal year ended March 31, 2023, Vertex Investment Solutions Co., Ltd., which was established in the fiscal year
ended March 31, 2023, was included in the scope of consolidation.
Effective the fiscal year ended March 31, 2023, two affiliated companies of TDLA were included in the scope of consolidation
as they had become subsidiaries of the Company.
Effective the fiscal year ended March 31, 2023, four affiliated companies of Protective Life Corporation were included in thescope of consolidation as they had become subsidiaries of the Company.
Effective the fiscal year ended March 31, 2023, six affiliated companies of TDLA were excluded from the scope of
consolidation.
(2) The number of non-consolidated subsidiaries as of March 31, 2023: 38
The main subsidiaries that are not consolidated for the purposes of financial reporting are The Dai-ichi Life Information
Systems Co., Ltd., THE DAI-ICHI BUILDING CO., LTD. and First U Anonymous Association.
The thirty-eight non-consolidated subsidiaries as of March 31, 2023 had, individually and in the aggregate, a minimal impact on
the consolidated financial statements in terms of total assets, sales, net income (loss) (amount corresponding to equity interest),
retained earnings (amount corresponding to equity interest), cash flows, and others.

2.

Application of the Equity Method
The number of non-consolidated subsidiaries under the equity method as of March 31, 2023 was 0.
The number of affiliated companies under the equity method as of March 31, 2023 was 23. The affiliated companies included
Asset Management One Co., Ltd., Corporate-pension Business Service Co., Ltd., Japan Excellent Asset Management Co., Ltd.,OCEAN LIFE INSURANCE PUBLIC COMPANY LIMITED, Star Union Dai-ichi Life Insurance Company Limited and PT Panin
Internasional.
Effective the fiscal year ended March 31, 2023, one affiliated company of Asset Management One Co., Ltd. was included in thescope of the equity method as it had become an affiliated company of the Company.
The non-consolidated subsidiaries (The Dai-ichi Life Information Systems Co., Ltd., THE DAI-ICHI BUILDING CO.,LTD. andFirst U Anonymous Association and others), as well as affiliated companies (Mizuho-DL Financial Technology Co., Ltd.,NIHONBUSSAN Corporation and others) were not accounted for under the equity method. These companies had, individuallyand in the aggregate, a minimal impact on the consolidated financial statements, in terms of the net income (loss) (amountcorresponding to equity interest), retained earnings (amount corresponding to equity interest) and others.

135 Dai-ichi Life Holdings

Integrated Report

136

3.

Year-end Dates of Consolidated Subsidiaries
Among the consolidated subsidiaries, the closing dates of consolidated overseas subsidiaries are December 31 or March 31.
In preparing the consolidated financial statements, the financial statements as of these dates are used, and necessary
adjustments are made when significant transactions take place between these dates and the account closing date of theconsolidated financial statements.

4.

Summary of Significant Accounting Policies(1) Valuation Methods of Securities
Securities held by the Company and its consolidated subsidiaries including cash and deposits and monetary claims bought
which are equivalent to marketable securities, and marketable securities managed as trust assets in money held in trust, arecarried as explained below:
The amortization of premiums and accretion of discounts is calculated by the straight-line method.
a) Trading Securities
Trading securities are carried at fair value with cost determined by the moving average method.
b) Held-to-maturity Bonds
Held-to-maturity bonds are stated at amortized cost determined by the moving average method.
c) Policy-reserve-matching Bonds (in accordance with the Industry Audit Committee Report No.21 "Temporary Treatment of
Accounting and Auditing Concerning Policy-reserve-matching Bonds in the Insurance Industry" issued by the JapaneseInstitute of Certified Public Accountants (JICPA))
Policy-reserve-matching bonds are stated at amortized cost determined by the moving average method.
d) Stocks of Non-consolidated Subsidiaries and Affiliated Companies Not Accounted for under the Equity Method
Stocks of non-consolidated subsidiaries and affiliated companies not accounted for under the equity method are stated atcost determined by the moving average method.
e) Available-for-sale Securitiesi) Available-for-sale Securities other than stocks and other securities without market prices
Available-for-sale securities other than stocks and other securities without market prices are valued at fair value at theend of the fiscal year, with cost determined by the moving average method.
ii) Stocks and other securities without market prices
Stocks and other securities without market prices are valued at cost determined by the moving average method.
Net unrealized gains or losses on these available-for-sale securities are presented as a separate component of net assets
and not in the consolidated statement of earnings.

c) Depreciation of Leased Assets
Depreciation of leased assets with regard to finance leases whose ownership does not transfer to the lessees iscomputed under the straight-line method assuming zero salvage value and using the lease period as the useful life.
(4) Reserve for Possible Loan Losses
The reserve for possible loan losses of consolidated subsidiaries that operate a life insurance business in Japan is
calculated based on the internal rules for self-assessment, write-offs, and reserves on assets.
For loans to and claims on obligors that have already experienced bankruptcy, reorganization, or other formal legal failure(hereafter, "bankrupt obligors") and loans to and claims on obligors that have suffered substantial business failure (hereafter,"substantially bankrupt obligors"), the reserve is calculated by deducting the estimated recoverable amount of the collateral or
guarantees from the book value of the loans and claims after the direct write-off described below.
For loans to and claims on obligors that have not yet suffered business failure but are considered highly likely to fail(hereafter, "obligors at risk of bankruptcy"), the reserve is calculated, taking into account a) the recoverable amount coveredby the collateral or guarantees and b) an overall assessment of the obligor's ability to repay.
For other loans and claims, the reserve is calculated by multiplying the actual rate or other appropriate rate of losses frombad debts during a certain period in the past by the amount of the loans and claims.
For all loans and claims, the relevant department in each subsidiary performs an asset quality assessment based on theinternal rules for self-assessment, and an independent audit department audits the result of the assessment. The above
reserves are established based on the result of this assessment.
For loans and claims to bankrupt and substantially bankrupt obligors, the unrecoverable amount is calculated by deducting
the amount deemed recoverable from collateral and guarantees from the amount of the loans and claims and is directly written
off from the amount of the loans and claims. The amounts written off during the fiscal years ended March 31, 2022 and 2023
were ¥1 million and ¥1 million (US$0 million), respectively.
For certain consolidated overseas subsidiaries, reserve for their estimate of contractual cash flows not expected to becollected is recognized for relevant claims on the date of the asset's acquisition.
(5) Reserve for Possible Investment Losses
In order to provide for future investment losses, a reserve for possible investment losses is established for stocks and othersecurities without market prices and ownership stakes in partnerships, etc. It is calculated based on the internal rules for
self-assessment, write-offs, and reserves on assets.
(6) Reserve for Retirement Benefits of Directors, Executive Officers and Corporate Auditors
For the reserve for retirement benefits of directors, executive officers and corporate auditors, an estimated amount for
future payment in accordance with the internal policies of certain consolidated subsidiaries is provided.
(7) Reserve for Possible Reimbursement of Prescribed Claims
To prepare for the reimbursement of claims for which prescription periods had expired, an estimated amount for reserve forpossible reimbursement of prescribed claims based on past reimbursement experience is provided.

Securities held by certain consolidated overseas subsidiaries are stated at cost determined by the first-in first-out.
(2) Valuation Method of Derivative Transactions
Derivative transactions are reported at fair value.
(3) Depreciation of Depreciable Assetsa) Depreciation of Tangible Fixed Assets Excluding Leased Assets
Depreciation of tangible fixed assets excluding leased assets of the Company and its domestic consolidated
subsidiaries is calculated by the declining balance method (the depreciation of buildings (other than facilities attached tobuildings and structures that were acquired on or before March 31, 2016) is calculated by the straight-line method).
Estimated useful lives of major assets are as follows:
Buildings
two to sixty years
Other tangible fixed assets
two to twenty years
Other tangible fixed assets that were acquired for ¥100,000 or more but less than ¥200,000 are depreciated at equalamounts over three years.
With respect to tangible fixed assets that were acquired on or before March 31, 2007 and that were fully depreciated totheir original depreciable limit, effective the fiscal year ended March 31, 2008, the remaining values are depreciated at
equal amounts over five years from the following fiscal year of the year in which they reached the original depreciable limit.
Depreciation of tangible fixed assets owned by consolidated overseas subsidiaries is primarily calculated by thestraight-line method.
b) Amortization of Intangible Fixed Assets Excluding Leased Assets
The Company and its consolidated subsidiaries use the straight-line method for amortization of intangible fixed assets
excluding leased assets.
Intangible fixed assets acquired through the business combination of consolidated overseas subsidiaries are amortizedover a period during which their effect is estimated, in proportion to the manner in which their effect is realized.
Software for internal use is amortized by the straight-line method based on the estimated useful lives of two to ten years.

137 Dai-ichi Life Holdings(8) Net Defined Benefit Liabilities
For the net defined benefit liabilities, the amount is provided by deducting the pension assets from the projected benefit
obligations based on the estimated amounts as of March 31, 2023. The accounting treatment for retirement benefits is asfollows.
a) Allocation of Estimated Retirement Benefits
In calculating the projected benefit obligations, the benefit formula basis is adopted to allocate estimated retirement
benefit for the fiscal year ended March 31, 2023.
b) Amortization of Actuarial Differences and Past Service Cost
Past service cost is amortized under the straight-line method over a certain period (seven years) within the enployees'
average remaining service period as of the time of its occurrence.
Actuarial differences are amortized under the straight-line method over a certain period (seven years) within theemployees' average remaining service period, starting from the following year. Certain consolidated overseas subsidiaries
apply corridor approach.
Certain consolidated overseas subsidiaries applied the simplified method in calculating their projected benefit obligations.
(9) Reserve for Price Fluctuations
A reserve for price fluctuations is calculated based on the book value of stocks and other securities at the end of the year inaccordance with the provisions of Article 115 of the Insurance Business Act.
(10) Translation of Assets and Liabilities Denominated in Foreign Currencies into Yen
The Company and its domestic consolidated subsidiaries translate foreign currency-denominated assets and liabilities(excluding stocks of its non-consolidated subsidiaries and affiliated companies which are not accounted for under the equity
method) into yen at the prevailing exchange rates at the end of the year. Stocks of non-consolidated subsidiaries and affiliatedcompanies which are not accounted for under the equity method are translated into yen at the exchange rates on the dates ofIntegrated Report138acquisition. Assets, liabilities, revenues, and expenses of the Company's consolidated overseas subsidiaries are translated
into yen at the exchange rates at the end of their fiscal year.
Translation adjustments associated with the consolidated overseas subsidiaries are included in foreign currency translation
adjustments in the net assets section of the consolidated balance sheet.
For certain consolidated subsidiaries of the Company, changes in fair value of bonds included in foreign
currency-denominated available-for-sale securities related to foreign currency-denominated insurance contracts are divided
into two: changes in fair value due to changes in market prices in their original currencies are accounted for as "net unrealized
gains (losses) on securities", and the remaining changes are reported in "foreign exchange gains (losses)".
(11) Hedge Accountinga) Methods for Hedge Accounting
As for certain domestic consolidated subsidiaries, hedging transactions are accounted for in accordance with the"Accounting Standards for Financial Instruments" (ASBJ Statement No. 10 issued on March 10, 2008). Primarily, i) special
hedge accounting and the deferral hedge method for interest rate swaps are used for cash flow hedges of certain loans,government and corporate bonds, loans payable and bonds payable; ii) the currency allotment method and the deferral
hedge method using foreign currency swaps, foreign currency forward contracts and foreign currency-denominatedmonetary claims are used for cash flow hedges against exchange rate fluctuations in certain foreign currency-denominatedbonds, certain loans, certain loans payable and bonds payable and certain foreign currency-denominated stocks(forecasted transaction) and term deposits; iii) the fair value hedge method using currency options and foreign currency
forward contracts is used for hedges against exchange rate fluctuations in the value of certain foreign
currency-denominated bonds; iv) the deferral hedge method for bond over-the-counter options is used for hedges againstinterest-rate fluctuations in certain foreign currency-denominated bonds; v) the deferral hedge method and fair value hedge
method using equity options and equity forward contracts are used for hedges against price fluctuations in the value ofcertain domestic stocks and foreign currency-denominated stocks (forecasted transaction), and vi) the deferral hedge
method using interest rate swaps is used for hedges against interest rate fluctuations in certain insurance liabilities, underthe "Accounting and Auditing Treatment of Application of Accounting Standard for Financial Instruments to Insurance
Operators" (Industry Audit Committee Report No. 26 issued by JICPA).

Hedging instruments: Interest rate swaps
Hedged items: Loans
Type of hedging transactions: Transactions that fix cash flow(12) Amortization of Goodwill
Goodwill is amortized over an effective period up to 20 years under the straight-line method. The entire amount isexpensed as incurred if the amount is immaterial.
(13) Scope of Cash and Cash Equivalents
Cash and cash equivalents in the consolidated statement of cash flows consist of cash on hand, demand deposits andshort-term investments with a maturity of three months or less from the date of acquisition, which are readily convertible into
cash and have an insignificant risk of changes in value.
(14) Calculation of National and Local Consumption Tax
The Company and its domestic consolidated subsidiaries account for national and local consumption tax mainly by the
tax-exclusion method. Deferred consumption tax included in non-recoverable consumption tax on certain assets is capitalized
as other assets and amortized equally over five years in accordance with the Order for Enforcement of the Corporation Tax
Act, and such taxes other than deferred consumption tax are recognized as an expense when incurred.
(15) Policy Reserves
Policy reserves of consolidated subsidiaries that operate a life insurance business in Japan are established in accordancewith the methods stated in the statement of calculation procedures for policy reserves (Article 4, Paragraph 2, Item 4 of the
Insurance Business Act) pursuant to Article 116, Paragraph 1 of the Insurance Business Act, for insurance contracts underwhich the insurer's liability has started as of the end of the fiscal year, in preparation for the performance of future obligations
under the insurance contracts. Concretely, policy reserves are calculated based on the future cash flows estimated using theassumptions, such as future mortality rates (assumed mortality rates), return on investment (assumed interest rates) andoperating expense ratios (assumed operating expense ratios).
Of policy reserves, insurance premium reserves are calculated by the following methods.

b) Hedging Instruments and Hedged Items
Hedging instruments
Interest rate swaps

Hedged items
Loans, government and corporate bonds, loans payable, bonds
payable, insurance liabilities

Foreign currency swaps

Foreign currency-denominated bonds, foreign currency-denominatedloans, foreign currency-denominated loans payable,
foreign currency-denominated bonds payable

Foreign currency forward contracts

Foreign currency-denominated bonds, foreign currency-denominatedterm deposits, foreign currency-denominated stocks(forecasted transaction)

Foreign currency-denominated monetary Foreign currency-denominated stocks (forecasted transaction)
claimsCurrency options

Foreign currency-denominated bonds

Bond over-the-counter options

Foreign currency-denominated bonds

Equity options

Domestic stocks, foreign currency-denominated stocks(forecasted transaction)

Equity forward contracts

Domestic stocksc) Hedging Policies
Certain domestic consolidated subsidiaries conduct hedging transactions with regard to certain market risk, foreign
currency risk and interest rate risk of underlying assets to be hedged, in accordance with the internal investment policy andprocedure guidelines.
d) Assessment of Hedge EffectivenessHedge effectiveness is assessed primarily by a comparison of fluctuations in cash flows or fair value of hedged items tothose of hedging instruments.
(Hedging relationships to which the "Treatment of Hedge Accounting for Financial Instruments that Reference LIBOR" isapplied)Among the above hedging relationships, the exceptional treatment prescribed in the "Treatment of Hedge Accounting for
Financial Instruments that Reference LIBOR" (PITF No. 40 revised on March 17, 2022) is applied to all hedging
relationships included in the scope of the application of the said Treatment. The details of hedging relationships to which
the Treatment is applied are as follows:
Hedge accounting method: Special hedge accounting for interest rate swaps

139 Dai-ichi Life Holdingsa) Reserves for policies subject to the standard policy reserve rules are calculated based on the methods stipulated by theCommissioner of Financial Services Agency (Notification of the Minister of Finance No. 48, 1996).
b) Reserves for other policies are established based on the net level premium method.
If, through an estimation of future income based on most recent actual figures, the policy reserves set aside are found likely
to be insufficient to cover the performance of future obligations, additional policy reserves need to be set aside in accordancewith Article 69, Paragraph 5 of the Ordinance for Enforcement of the Insurance Business Act. Policy reserves include
additional policy reserves for some whole life insurance policies in accordance with Article 69, Paragraph 5 of the Ordinancefor Enforcement of the Insurance Business Act.
Contingency reserves included in policy reserves are set aside in accordance with Article 69, Paragraph 1, Item 3 of theOrdinance for Enforcement of the Insurance Business Act to cover risks that may accrue in the future in order to ensure theperformance of future obligations under insurance contracts.
Policy reserves of consolidated subsidiaries that operate a life insurance business in the U.S. are set aside in accordancewith US GAAP in amounts calculated by estimated future cash flows based on actuarial assumptions determined at times
such as when the contracts are concluded, including future investment yields, mortality and lapse rates. If the policy reserves
set aside are found likely to be insufficient to cover the performance of future obligations due to a significant difference
between the estimation and the most recent actual figures, additional policy reserves need to be set aside by way ofamendment to the assumptions.
Policy reserves of other overseas subsidiaries are calculated based on the each country's accounting standard.
(16) Reserves for Outstanding ClaimsWith respect to reserves for incurred but not reported cases for individual insurance policies (referring to claims for which
the occurrence of the insured events have not been reported but the Company finds that insured events have alreadyoccurred; hereinafter the same) provided by certain consolidated subsidiaries that operate a life insurance business in Japan,
the scope of payment of hospitalization benefits was changed in the fiscal year ended March 31, 2023 with respect to thosediagnosed as COVID-19 and were under the care of a doctor and the like at an accommodation facility or at home ("deemedhospitalization"). As a result of this change, an appropriate amount of reserves cannot be obtained with the calculation method
set forth in the main rules in Article 1, Paragraph 1 of the Notification of the Minister of Finance No.234, 1998 ("IBNR
Notification"). The Group therefore records the amount that was calculated using the following method, pursuant to provisions
in the proviso of Article 1, Paragraph 1 of IBNR Notification (the "Proviso").
(Overview of the calculation method)
The Group first deducts an amount pertaining to deemed hospitalization of policy holders other than those with high risk ofseverity ("4 categories") from a required amount of reserves for incurred but not reported cases and the amount of claim
payments for all the fiscal years, as set forth in the main rules in Article 1, Paragraph 1 of IBNR Notification, and thencalculates in the same manner as in the main rules in Article 1, Paragraph 1 of IBNR Notification.
An amount pertaining to deemed hospitalization of the 4 categories, which was used to estimate an amount pertaining toIntegrated Report140deemed hospitalization of those other than the 4 categories diagnosed prior to September 25, 2022, was estimated by eitherof the following methods: multiplying the ratio of the accumulated payments to the 4 categories diagnosed on or after
September 26, 2022 and the accumulated payments for deemed hospitalization of those aged 65 years old or higher, one of
the 4 categories, with an amount pertaining to deemed hospitalization of those aged 65 years old or higher diagnosed prior to
September 25, 2022; or obtaining a ratio accounted for by the number of deemed hospitalization of the 4 categories paid by
the Company to the number of new cases of infection nationwide on or after September 26, 2022, which is to be divided by aratio accounted for by the number of deemed hospitalization paid by the Company to the number of new cases of infection
nationwide prior to September 25, 2022, and then multiplying the obtained ratio by the amount of deemed hospitalization to
those diagnosed prior to September 25, 2022.
(17) Premium and Other Income and Benefits and Claims for Consolidated Subsidiaries That Operate a Life Insurance
Business in Japana) Premium and other income (excluding reinsurance income)Premium and other income (excluding reinsurance income) is recorded for insurance contracts for which insurance
premium has been received and under which the insurer's liability has commenced by the relevant amounts received.
Of premium and other income (excluding reinsurance income), the portion corresponding to the period that has yet topass as of the end of the fiscal year is set aside as policy reserves in accordance with Article 69, Paragraph 1, Item 2 of theOrdinance for Enforcement of the Insurance Business Act.
b) Reinsurance Income
Reinsurance income is recorded as amounts equivalent to the portion reinsured under reinsurance contracts out of theamounts paid as claims, etc. under direct insurance contracts at the time when those claims, etc. are paid.
For certain transactions of modified coinsurance that do not involve cash settlements, amounts received under thereinsurance contracts as part of amounts equivalent to acquisition costs related to direct insurance contracts are recorded
as reinsurance income while the same amounts are recorded as unamortized ceded premium commissions in reinsurance
receivable and are amortized over the period of the reinsurance contracts.
c) Benefits and Claims (excluding ceding reinsurance commissions)Benefits and claims (excluding ceding reinsurance commissions) are recorded for contracts for which amounts
calculated under policy conditions have been paid in the occurrence of insured events under the policy conditions by therelevant amounts paid.
In accordance with Article 117 of the Insurance Business Act, reserves for outstanding claims are set aside for claims,
etc. for which the Company has a payment due but has not paid, or for which the occurrence of the insured events have notbeen reported but the Company finds that insured events have already occurred, as of the end of the fiscal year.
d) Ceding reinsurance commissions
Ceding reinsurance commissions are recorded in agreed amounts in accordance with reinsurance contracts at the timeeither when insurance premiums under direct insurance contracts are received, or when the reinsurance contracts areentered into.
Part of policy reserves and reserves for outstanding claims corresponding to insurance contracts which have been
reinsured is not set aside in accordance with Article 71, Paragraph 1 and Article 73, Paragraph 3 of the Ordinance for
Enforcement of the Insurance Business Act.
Premium and other income, and benefits and claims, of consolidated overseas subsidiaries are recorded based on theeach country's accounting standard, such as US GAAP.
(18) Significant Accounting Estimatesa) Evaluation of goodwilli) Amounts recognized on the consolidated financial statements in the fiscal year ended March 31, 2023
Goodwill presented on the consolidated balance sheets as of March 31, 2022 and 2023 were ¥24,152 million and¥55,535 million (US$415 million) arising from the acquisition of PLC and the acquisition business of PLC's acquisition
segment, and goodwill of ¥32,093 million and ¥27,803 million (US$208 million) arising from the acquisition of TDLA,
goodwill of ¥－million and ¥20,482 million (US$153 million) arising from the acquisition of PNZ and goodwill of ¥－millionand ¥15,724 million (US$117 million) arising from the acquisition of ipet.
ii) Information on the contents of significant accounting estimates related to identified items
Goodwill arising from acquisitions of Protective Life and TDLA is recorded on the consolidated financial statements ofthese consolidated subsidiaries and is subject to judgment on recording impairment losses on goodwill to be examined byeach subsidiary in accordance with the local accounting standards of each subsidiary.
PLC periodically assesses whether or not to record an impairment loss on goodwill.
First, PLC evaluates qualitative factors, which is an examination on whether or not there is any impairment indicator toconsider whether or not there is a 50 percent or greater probability that book value exceeds fair value of each reporting unitthat has goodwill. In accordance with the accounting standards, PLC has omitted the test for an impairment indicator andproceeded to the quantitative impairment test described below for all or a part of reporting units. Whether or not there is any
impairment indicator is comprehensively examined in consideration of the presence of deterioration in economic andmarket environments surrounding PLC and its reporting units, the presence of factors that have a negative impact on future
profits or cash flows, the presence of deterioration in overall business performance, and other events specific to PLC and its
reporting units.
Next, if it is concluded that there is an impairment indicator of goodwill or it is selected not to conduct the test for

141 Dai-ichi Life Holdings

impairment indicator, a comparison of the book value of the reporting units that include goodwill to its fair value (thequantitative impairment test) is performed. The key assumptions used in the calculation of fair value (e.g., business income
and expense projections and discount rates) are subject to the uncertainty of estimation.
If there is any impairment indicator that is attributable to the deterioration of circumstances or the occurrence of events, or if
the key assumptions used in the comparison of book value to fair value (the quantitative impairment test) change,
impairment losses on goodwill may be recorded in the following fiscal year.
TDLA determines whether or not to record an impairment loss on goodwill by comparing book value with recoverable
amount in each cash generating unit to which goodwill is allocated (the quantitative impairment test). Recoverable amountis calculated based on embedded values, etc. For calculating the embedded values, underlying actuarial assumptions areused such as discount rates, mortality, morbidity, discontinuances and others. If recoverable amount reduces due to the
update of underlying actuarial assumptions, impairment losses on goodwill may be recorded in the following fiscal year.
The Company judges whether or not to record an impairment loss on goodwill in accordance with the accounting
standards in Japan, considering the results of the judgments made by each subsidiary.
Goodwill arising from acquisitions of PNZ and ipet is recorded on the consolidated financial statements of the Company andis subject to judgment on recording impairment losses on goodwill to be examined by the Company in accordance with theaccounting standards in Japan.
First, the Company examines whether or not there is any impairment indicator in an asset group that includes goodwill.
Whether or not there is any impairment indicator is comprehensively examined in consideration of the presence ofdeterioration in economic and market environments surrounding PNZ and ipet, the presence of factors that have a negative
impact on future profits or cash flows, the presence of deterioration in overall business performance, the presence of asignificant drop in substantive value, and other events specific to each asset group.
Next, if it is concluded that there is an impairment indicator of goodwill, the Company estimates future cash flows, etc.
expected to be generated from the asset group that includes goodwill, and compares the total of cash flows with the bookvalue. If the amount of future cash flows is less than the book value, the Company records an impairment loss. Then, theCompany calculates a recoverable amount of the asset group that includes goodwill, for which an impairment loss isrecorded, to conduct comparison with the book value. The key assumptions used in the calculation of the recoverable
amount (e.g., business income and expense projections, discount rates and actuarial assumptions) are subject to theuncertainty of estimation.
If there is any impairment indicator that is attributable to the deterioration of circumstances or the occurrence of events,
impairment losses on goodwill may be recorded in the following fiscal year.
No impairment losses on goodwill are recorded in the fiscal year ended March 31, 2023.
b) Evaluation of value of in-force insurance contractsi) Amounts recognized on the consolidated financial statements in the fiscal year ended March 31, 2023
Other intangible fixed assets presented in the Company's consolidated balance sheet includes assets regarding thepresent value of in-force insurance contracts, namely Value of Business Acquired (“VOBA”) or Value In-force (“VIF”).
The balance of VOBA as of March 31, 2022 and 2023 were ¥207,570 million and ¥308,608 million (US$2,311 million)
derived from the acquisition of PLC and the acquisition business of PLC's acquisition segment, and the balance of VIF as ofMarch 31, 2022 and 2023 were ¥23,259 million and ¥20,188 million (US$151 million) derived from the acquisitions of TDLA,
the balance of VIF as of March 31, 2022 and 2023 were ¥－million and ¥35,793 million (US$268 million) derived from theacquisitions of PNZ, and the balance of VIF as of March 31, 2022 and 2023 were ¥－million and ¥24,077 million (US$180
million) derived from the acquisitions of ipet respectively.
ii) Information on the contents of significant accounting estimates related to identified items
The value of in-force insurance contracts arising from acquisitions and acquisition business is calculated as the present
value of future profits to be earned from future cash flows arising from in-force insurance contracts and investment typeinsurance contracts at the acquisition date, and is recorded on the consolidated financial statements of these consolidated
subsidiaries while the value of in-force insurance contracts is amortized over a period during which its effect is estimated, in
proportion to the manner in which its effect is realized.
The VOBA of PLC is amortized based on future gross premiums, estimated gross margins, contractual terms and/or
others.
With regards to the VOBA arising from investment type insurance contracts, PLC regularly reviews actuarial
assumptions, such as interest rates, mortality lapse and others, updates them if necessary, and accordingly increases ordecreases amortization amount of the VOBA. Where increase or decrease in estimated gross margins is expected due tothe change in lapse, the update of actuarial assumptions may result in acceleration of amortization in the following fiscal
year.
PLC assesses whether the VOBA arising from traditional insurance contracts is impaired concurrently with performing
liability adequacy test of relevant policy reserves in addition to the predetermined amortization. The VOBA arising fromtraditional insurance contracts may result in impairment losses in the following fiscal year prior to providing additional policy
reserves where the estimated future cash flows based on the underlying actuarial assumptions determined upon conclusionof contract, such as interest rate, mortality rate, and discontinuances and others differ significantly from actual and it isrecognized that there is a risk of disabling to fulfill future obligations. No impairment losses on the VOBA are recorded in thefiscal year ended March 31, 2023.
TDLA assesses the VIF arising from the acquisition of TDLA as to whether there is any impairment indicator of the VIF at
the same time as goodwill impairment test is performed because impairment of goodwill indicates impairment of the VIF. No
impairment losses are recognized in the fiscal year ended March 31, 2023 as the TDLA determined that there was no
indication that the VIF is impaired based on the result of the quantitative impairment test on goodwill.
The Company assesses the VIF arising from the acquisitions of PNZ and ipet as to whether there is any impairment

Integrated Report142indicator of the VIF at the same time as goodwill impairment test is performed. For the fiscal year ended March 31, 2023,
the Company determined that there was no indication that the VIF is impaired, as with the result of the goodwill impairment
test.
(19) Policy Acquisition Costs
The costs of acquiring and renewing policies, which include agent commissions and certain other costs directly related tothe acquisition of policies, are expensed when incurred as the Insurance Business Act in Japan does not permit insurancecompanies to defer and amortize these costs.
(20) Changes in Accounting Policies
Effective the fiscal year ended March 31, 2023, the Company and its domestic consolidated subsidiaries haveapplied "Implementation Guidance on Accounting Standard for Fair Value Measurement" (ASBJ Guidance No. 31 revised onJune 17, 2021,).
In accordance with the transitional treatment set forth in Item 27-2 of "Implementation Guidance on Accounting Standard for
Fair Value Measurement", the Company and its domestic consolidated subsidiaries have applied new accounting policies
since the beginning of the fiscal year ended March 31, 2023.
(21) Accounting Standard and Guidance Not Yet Adopteda)Financial Services - Insurance (Topic 944) (ASU No. 2018-12 issued on August 15, 2018, ASU No. 2019-09 issued on
November 15, 2019, and ASU No. 2020-11 issued on November 5, 2020)i) Outline
The amendments in this Update are mainly designed to make improvements of the accounting treatment of the liability
for future policy benefits, the measurement of benefits with market risks at fair value, and the amortization methods ofdeferred acquisition costs of insurance contracts.
Privately owned companies that have adopted US GAAP will apply the amendments in this Update from the end of the
fiscal year beginning on or after December 16, 2024 (early adoption is permitted).
ii) Scheduled date for adoption
Certain consolidated overseas subsidiaries have adopted US GAAP, and the amendments in this Update will be applied
from the end of the fiscal year ending on December 31, 2025.
A consolidated subsidiary in Bermuda has early applied the amendments in this Update from the fiscal year ended on
December 31, 2022.
iii) Impact of applying the standard and guidance
The impact of applying the standard and guidance is currently under assessment.
The early adoption of the standard and guidance by the consolidated subsidiary in Bermuda has only a minimal impact
to the consolidated financial statements.
b) Insurance Contracts (AASB 17) (NZ IFRS17)i) Outline
This accounting standard prescribes the recognition, measurement, presentation, etc., of insurance contracts.
Companies that have adopted Australian Accounting Standards ("AAS") issued by the Australian Accounting Standards
Board and New Zealand IFRS ("NZ IFRS") issued by New Zealand Accounting Standards Board will apply this accounting
standard from the fiscal year beginning on or after January 1, 2023.
ii) Scheduled date for adoption
Certain overseas consolidated subsidiaries have adopted AAS and NZ IFRS, and this accounting standard will beapplied from the fiscal year beginning on April 1, 2023.
iii) Impact of applying the standard and guidance
The impact of applying the standard and guidance is currently under assessment.

143 Dai-ichi Life Holdings(Additional information)
Incentive Programs for Employees
The Company conducts transactions by granting its stocks to its employees using trust scheme ("the Stock Granting Trust(J-ESOP)") to incentivize its employees to improve stock prices and financial results.
a) Overview of the transactions
J-ESOP is a program to grant stocks of the Company to the employees who fulfill requirements under the Stock Granting
Regulations of the Company and its group companies. The Company vests points to each managerial level employee
based on her/his contribution, and vests stocks based on total points at retirement. Such stocks, including stocks to be
granted in the future, are purchased by money held in the J-ESOP trust, managed separately from book of the Company.
b) While adopting "Practical Solution on Transactions of Delivering the Company's Own Stock to Employees etc. throughTrusts." (ASBJ PITF No. 30), the Company applies the same accounting treatment as before.
c) Information related to the stocks of the Company which the trusts holdi) Book value of the stocks of the Company within the trust as of March 31, 2022 and 2023 were ¥5,895 million and ¥
5,838 million (US$43 million), respectively. These stocks were recorded as the treasury stock in the total
shareholders' equity.
ii) The number of stocks within the trust as of March 31, 2022 and 2023 were 3,899 thousand shares and 3,862 thousand
shares, and the average number of stocks within the trust for the fiscal years ended March 31, 2022 and 2023 were
3,903 thousand shares and 3,865 thousand shares, respectively. The number of shares at the year-end and theaverage number of stocks were included in the treasury stock, which is deducted when calculating per-share
information.

Integrated Report

144

4.

Ⅲ. NOTES TO THE CONSOLIDATED BALANCE SHEET
1.

Assets Pledged as Collateral / Secured Liabilities
The amounts of securities and deposits pledged as collateral were as follows:2022

As of March 31,2023(Unit: million yen)
Securities
Deposits
Total

3,683,194
13,255
3,696,450

683,609
8,589
692,198

2023(Unit: million
US dollars)
5,119
64
5,183

The amounts of stocks of and stakes in non-consolidated subsidiaries and affiliated companies of the Company held were as
follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Stocks116,821114,519
857
Capital189,350
197,585
1,479
Total
306,172
312,104
2,337

5.
The amounts of secured liabilities were as follows:2022

As of March 31,2023(Unit: million yen)
Payables under repurchase agreements
Cash collateral for securities lending transactions
Total

3,115,017
260,531
3,375,548

432,210150,117582,328

2023(Unit: million
US dollars)
3,236
1,124
4,361

The amount of "Securities" pledged as collateral under repurchase agreements and for securities lending transactions withcash collateral as of March 31, 2022 and 2023 were ¥3,217,022 million and ¥576,344 million (US$4,316 million), respectively.

2.

Securities Lending
Securities lent under lending agreements are included in the consolidated balance sheet. The total balance of securities lent asof March 31, 2022 and 2023 were ¥5,198,144 million and ¥2,928,052 million (US$21,928 million), respectively.

3.

Risk Management Policy of Policy-reserve-matching Bonds
Certain domestic consolidated subsidiaries categorize their insurance products into sub-groups by the attributes of eachproduct and, in order to manage risks properly, formulate their policies on investments and resource allocation based on thebalance of the sub-groups. Moreover, they periodically check that the duration gap between policy-reserve-matching bonds andpolicy reserves stays within a certain range.

Stocks of Subsidiaries and Affiliated Companies

Risk-managed claims

As of March 31, 2023, the amounts of claims against bankrupt and quasi-bankrupt obligors, claims with collection risk, claims
that are overdue for three months or more, and claims with repayment relaxation, which were included in claims, were as follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Claims against bankrupt and quasi-bankrupt obligors (*1)
79870Claims with collection risk (*2)
7,273
2,552
19
Claims that are overdue for three months or more (*3)–––
Claims with repayment relaxation (*4)
1,108
–
–
Total
8,460
2,639
19
(*1) Claims against bankrupt and quasi-bankrupt obligors are claims to borrowers who are subject to bankruptcy, corporate reorganization or rehabilitation or other similar
proceedings and other borrowers in serious financial difficulties.
(*2) Claims with collection risk are claims to obligors (other than bankrupt and quasi-bankrupt obligors) with deteriorated financial condition and results of operations from which it isunlikely that the principal and interest on the claims will be recovered.
(*3) Claims that are overdue for three months or more are loans for which payment of principal or interest is delayed for three months or more from the day following the contracted
payment date. This category excludes claims against bankrupt and quasi-bankrupt obligors and claims with collection risk.
(*4) Claims with repayment relaxation are loans for which certain concessions favorable to the debtor, such as interest rate reduction and exemption, interest payment deferment,
principal repayment deferment, debt waiver, etc., for the purpose of rebuilding or supporting the debtor. This category excludes claims against bankrupt and quasi-bankrupt
obligors, claims with collection risk and claims that are overdue for three months or more.
As a result of the direct write-off of claims, the decrease in claims against bankrupt and quasi-bankrupt obligors as of March 31, 2022 and 2023 were ¥1 million and ¥1

The sub-groups of insurance products of DL are:
Years ended March 31, 2022 and 2023
i) individual life insurance and annuities (with the exception of certain types),ii) non-participating single premium whole life insurance (without duty of medical disclosure),iii) financial insurance and annuities, and annuitiesiv) group annuities (defined contribution corporate pension insurance; defined contribution corporate pension
insurance II and certain corporate pension insurances of which the type can be changed to defined contribution
corporate pension insurance II), andv) group annuities 2 (defined benefit corporate pension insurance, employees' pension fund insurance II,
new corporate pension insurance II)
The sub-groups of insurance products of DFLI are:
Years ended March 31, 2022 and 2023
i) individual life insurance and annuities (yen-denominated), andii) individual life insurance and annuities (U.S. dollar-denominated),
with the exception of certain types and contracts.

million (US$0 million).
(*5) Claims against normal obligors who don't have any specific problems with financial conditions and operations, are all other claims excluding claims mentioned in above. The
amounts of Claims against normal obligors as of March 31, 2022 and 2023 were ¥9,284,129 million and ¥7,355,064 million (US$55,081 million), respectively.

6.

Commitment LineAs of March 31, 2022 and 2023, there were unused commitment line agreements under which the Company and its
consolidated subsidiaries were the lenders of ¥157,611 million and ¥174,785 million (US$1,308 million), respectively.

7.

Accumulated Depreciation of Tangible Fixed Assets
The amounts of accumulated depreciation of tangible fixed assets as of March 31, 2022 and 2023 were ¥632,076 million and¥620,391 million (US$4,646 million), respectively.

8.

Assets and Liabilities Held in Separate Accounts
The total amounts of assets held in separate accounts defined in Article 118, Paragraph 1 of the Insurance Business Act as ofMarch 31, 2022 and 2023 were ¥2,690,773 million and ¥2,338,524 million (US$17,513 million), respectively. Separate accountliabilities were the same amount as the separate account assets.

(Additional Information)
Given the reduction of assumed interest rate for certain group annuities in DL, effective the fiscal year ended March
31, 2023, DL has divided the existing sub-group of group annuities and set a new sub-group in order to conduct
investment management according to characteristics of risk and return.
There is no impact of this change on the consolidated financial statements.

145 Dai-ichi Life Holdings

Integrated Report

146

9.

Due in one
year or less

Changes in Reserve for Policyholder Dividends
Changes in reserve for policyholder dividends were as follows:
2022

Year ended March 31,2023(Unit: million yen)
Balance at the beginning of the year
Dividends paid during the year
Interest accrual during the year
Provision for reserve for policyholder dividends
Balance at the end of the year10.

400,999
83,541
8,264
87,500413,222413,222
93,1238,305
95,000423,403

Bonds payable

2023(Unit: million
US dollars)
3,094
697
62
711
3,170

Bonds payable

11.

Bonds Payable
As of March 31, 2022 and 2023, bonds payable included foreign currency-denominated subordinated bonds of ¥748,398
million and ¥759,127 million (US$5,685 million), respectively, whose repayment is subordinated to other obligations.
Details of bonds payable were as follows:

IssuerDescription

Issuance
date

From 1st to 4th series From March 19,
Theperpetual subordinated 2019 To December
Company
23, 2021
bond
Foreign currency (USFrom October 28,
dollar) denominated2014 To July
perpetual
20, 2016
subordinated bonds

DL

Foreign currency (US From October 6,
dollar) denominated 2009 to September
20, 2019
bonds

Balance as of
Balance as ofApril 1, 2022
March 31, 2023
(Unit: million yen)

310,000

310,000

Interest
rate (%)

From 0.90
to1.22

Collateral

None

Foreign currency (USdollar) denominatedsubordinated
bonds

(*)

PNZ

Total
Note: 1.
2.
3.
4.

147 Dai-ichi Life Holdings

Foreign currency(Australian
dollar) denominatedsubordinatedbonds–

From August
10, 2017 to May
1, 2018

Perpetual－

368,715[3,500 mil US$]

121,985[1,060 mil US$]368,715[3,500 mil US$]140,409[1,058 mil US$]

From 4.00
to 5.10

From 3.40
to 8.45

None

Perpetual

None

From
September
30, 2028 to
October 15,
2039–

69,683[605 mil US$]43,062[324 mil US$]

From 4.65
to 4.80

None

80,412[605 mil US$]

From 3.55
to 5.35

None

From January
3, 2023 toJanuary 25,
2023
From May 1,
2038 to August
10, 2052

December23, 2021–

7,075[80 mil Au$]

7.22

None

December23, 2026–

870,383

949,674–––

Due after four years
through five years

7,170

－

–
Due after four years
through five years

53–

Subordinated Debt and Other Liabilities
As of March 31, 2022 and 2023, other liabilities included subordinated debt of ¥325,000 million and ¥245,000 million(US$1,834 million), respectively, whose repayment is subordinated to other obligations.
Details of borrowings and lease obligations were as follows:

Category

Balance as ofApril 1, 2022

Balance as ofMarch 31,2023

Averageinterest rate(%)

Maturity

Balance as ofApril 1, 2022

(Unit: million yen)
Short-term borrowings
Current portions of long-termborrowings
Current portions of leaseobligations
Long-term borrowings(excluding current portion)(Unit: million US dollars)

–

–

–

258

–

21,906

8,074

3.3

–

178

60

3,044

2,735

–

–

24

20

691,451

649,684

1.6

5,649

4,865

5,407

4,301

–

44

32

3,115,017

432,2101.0–

25,451

3,236

3,868,457

1,097,007––

31,6078,215

Lease obligations(excluding current portion)
Other interest-bearing liabilities
Payables under repurchaseagreements (current portion)
Total

Balance as ofMarch 31,2023

31,630

May 2024~
perpetual
January 2024
~ February
2037

Note: 1. Those borrowings, lease obligations and payables under repurchase agreements above are included in the "other liabilities" on the consolidated balance sheet.
2. The average interest rate represents the weighted-average rate applicable to the balance as of March 31, 2023. As for lease obligations, the average interest rate of isnot presented above because interests of certain lease obligations are included in the total amount of lease payments.
3. The following table shows the maturities of long-term borrowings (excluding the current portion or those without maturities) and lease obligations (excluding the current
portion) for the 5 years subsequent to March 31, 2023:

Due after one year
through two years

PLC
From 1st to 8th series
From December
foreign currency (US13, 2022 To
dollar) commercial
December 28,2022
paper

Maturitydate－

Due after one year Due after two years Due after three years
through two years through three years
through four years(Unit: million US dollars)

322

Revaluation of Land
Based on the "Act on Revaluation of Land" (Act No. 34, March 31, 1998), land for business use was revalued. The difference
between the fair value and book value resulting from the revaluation, net of related deferred taxes, is recorded as a reserve forland revaluation as a separate component of net assets and the related deferred tax liability is recorded as deferred tax liabilities
for land revaluation.
• Date of revaluation: March 31, 2001
• Method stipulated in Article 3, Paragraph 3 of the Act on Revaluation of Land:
The fair value was determined based on the appraisal value publicly announced for tax assessment purposes with certain
reasonable adjustments in accordance with Article 2-1 and 2-4 of the Order for Enforcement of the Act on Revaluation of Land
(Publicly Issue Cabinet Order No. 119, March 31, 1998).

－

43,062Due in one
year or less12.

Due after one year Due after two years Due after three years
through two years through three years
through four years(Unit: million yen)

Long-term borrowings
Lease obligations

16,0082,201
Due after one year
through two years

13.

Due after two years
Due after three years
through three years
through four years(Unit: million yen)
37,339779

329,812267

Due after two years
Due after three years
through three years
through four years(Unit: million US dollars)

Due after four years
through five years
2378
Due after four years
through five years

Long-term borrowings

119

279

2,469

0

Lease obligations

16

5

1

0

Securities Borrowing
Securities borrowed under borrowing agreements and securities received as collateral of reinsurance transactions can be soldor pledged as collateral. As of March 31, 2022 and 2023, the market value of the securities which were not sold or pledged ascollateral was ¥141,423 million and ¥178,669 million (US$1,338 million), respectively. None of the securities were pledged ascollateral as of March 31, 2022 and 2023, respectively.

14.

Organizational Change Surplus
As of March 31, 2022 and 2023, the amounts of organizational change surplus stipulated in Article 91 of the Insurance
Business Act were ¥117,776 million and ¥117,776 million (US$882 million), respectively.

The above (*1) represents the total of bonds issued by the following consolidated overseas subsidiaries: PLC and Protective Life Insurance company.
Figures in [ ] are the amounts denominated in foreign currency.
From 1st to 8th series foreign currency (US dollar) commercial paper of ¥43,062 million yen (US$322 million) are due in one year or less.
The following table shows the maturities of long-term subordinated bonds for the 5 years subsequent to March 31, 2023.

Integrated Report

148

4.

Ⅳ. NOTES TO THE CONSOLIDATED STATEMENT OF EARNINGS
1.

Details of impairment losses on fixed assets of the consolidated subsidiaries that operate an insurance business in Japan forthe years ended March 31, 2022 and 2023 were as follows:

Operating Expenses
Details of operating expenses for the fiscal years ended March 31, 2022 and 2023 were as follows:Year ended March 31,
2022
2023
(Unit: million yen)

Sales activity expenses
Sales management expenses
General management expenses

2.

290,652
99,290362,217319,766
101,690409,8882023(Unit: million
US dollars)
2,394
761
3,069

Gains on Disposal of Fixed Assets

Details of gains on disposal of fixed assets for the fiscal years ended March 31, 2022 and 2023 were as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)Land
10,0482,394
17
Buildings
153
2,154
16
Other tangible fixed assets
1
1
0
Other intangible fixed assets
201
－
－
Total
10,404
4,550
34

3.

Impairment Losses on Fixed Assets

Losses on Disposal of Fixed Assets

Details of losses on disposal of fixed assets for the fiscal years ended March 31, 2022 and 2023 were as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Land
3,437
2,463
18
Buildings
8,503
2,443
18
Leased assets
18
31
0
Other tangible fixed assets
435
109
0
Software532
315
2
Other assets
39
198
1
Total
12,966
5,562
41a) Method of Grouping Assets
Real estate and other assets used for insurance business purposes are recognized as one asset group for eachconsolidated company. Each property for rent and property not in use, which is not used for insurance business purposes,
is deemed to be an independent asset group.
b) Background for Recognition of Impairment Losses
As a result of significant declines in profitability or market value of some asset groups, the consolidated subsidiaries
wrote down the book value of these assets to the recoverable value, and reported such write-off as impairment losses inextraordinary losses.
c) Breakdown of Impairment Losses
Impairment losses by asset group for the fiscal year ended March 31, 2022 were as follows:

Asset Group

Place

NumberImpairment Losses
Land

Buildings

Total(Unit: million yen)

Real estate
for rent
Real estate
not in use
Total

Moriokacity,Iwate
Prefecture
Yokohama
city,Kanagawa
Prefecture andothers
–

1

1

2

3

18

1,035

2,811

3,846

19

1,036

2,813

3,850

Impairment losses by asset group for the fiscal year ended March 31, 2023 were as follows:

Asset Group

Place

NumberImpairment Losses
LeaseholdLand
rights Buildings

Total

Land

(Unit: million yen)

Real estate
for rent
Real estate
not in use
Total

Hachiojicity,Tokyo
Prefecture
Chuo-ku, Tokyo
Prefecture andothers–Leaseholdrights Buildings

Total(Unit: million US dollars)

1

－

－

57

57

－

－

0

0

19

9,082

3,402

3,396

15,881

68

25

25

118

20

9,082

3,402

3,454

15,939

68

25

25

119

d) Calculation of Recoverable Value
Value in use or net sale value is used as the recoverable value of real estate for rent, and net sale value is used as therecoverable value of real estate not in use. Discount rates of 2.11% and 2.00% for the years ended March 31, 2022 and2023, respectively, were applied for discounting future cash flows in the calculation of value in use. Estimated disposal
value, appraisal value based on real estate appraisal standards, or appraisal value based on publicly assessed land value
for tax purposes is used as the net sale value.

149 Dai-ichi Life Holdings

Integrated Report150

Ⅴ. NOTES TO THE CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

Ⅵ. NOTES TO THE CONSOLIDATED STATEMENT OF CHANGES IN NET ASSETS
1.

The amount reclassified and tax effect amounts related to other comprehensive income were as follows:(1) Type and Number of Shares Outstanding

Year ended March 31,
2022

2023

2023

151 Dai-ichi Life Holdings

Year ended March 31, 2022

(Unit: million(Unit: million yen)
Net unrealized gains (losses) on securities, net of tax
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectNet unrealized gains (losses) on securities, net of tax
Deferred hedge gains (losses)
Amount incurred during the year
Amount reclassified
Amount adjusted for asset acquisition cost
Before tax adjustment
Tax effect
Deferred hedge gains (losses)
Reserve for land revaluation
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectReserve for land revaluation
Foreign currency translation adjustments
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectForeign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectRemeasurements of defined benefit plans, net of tax
Share of other comprehensive income of subsidiaries and affiliates
accounted for under the equity method
Amount incurred during the year
Amount reclassified
Share of other comprehensive income of subsidiaries andaffiliates accounted for under the equity method
Total other comprehensive income

For the Year Ended March 31, 2022

At the beginningof the year

US dollars)(752,029)(143,891)(895,920)
241,952(653,967)(2,158,879)(6,536)(2,165,416)
515,754(1,649,661)(16,167)(48)(16,216)
3,862(12,354)(16,662)
1,846–(14,816)
3,434(11,381)(26,982)
9,344(13,907)(31,545)
9,510(22,034)

(202)
69
(104)
(236)
71
(165)

–
–
–
(25)
(25)

–
–
–
–
–

–
–
–
–
–

110,026–
110,026–
110,026

137,354–
137,354–
137,354

1,028
–
1,028
–
1,028

19,868
5,231
25,100(6,915)18,185

10,228
9,955
20,184(5,608)
14,575

76
74
151
(41)
109

(1,539)(1,047)(3,151)
(216)

(23)
(1)

(2,586)(3,368)(25)(539,749)(1,523,134)(11,406)

Common stock(*1)
Treasury stock(*2)(*3)(*4)

Increase during
Decrease during
the yearthe year(Unit: thousands of shares)

At the endof the year

1,198,755

183

167,591

1,031,348

88,541

86,130167,7846,886(*1) The increase of 183 thousand shares of outstanding common stock was due to the issuance of new shares under stock remuneration scheme.
(*2) Treasury stock at the beginning and the end of the fiscal year ended March 31, 2022, includes 3,942 thousand shares and 3,899 thousand shares held by the trust fundthrough the J-ESOP, respectively.
(*3) The decrease of 167,591 thousand shares of outstanding common stock was due to the cancellation of treasury stock.
(*4) The increase of 86,130 thousand shares of treasury stock was due to the purchase of treasury stock.
(*5) The decrease of 167,784 thousand shares of treasury stock represents the sum of (1) 151 thousand shares due to the exercise of stock acquisition rights (stock options), (2)42 thousand shares granted to eligible employees at retirement by the J-ESOP, and (3) 167,591 thousand shares due to the cancellation of treasury stock.

(2) Stock Acquisition Rights
Issuer
The Company

Details
Stock acquisition rights in the form of stock options

Balance as of March 31, 2022
(Unit: million yen)694

(3) Dividends on Common Stocka) Dividends paid during the fiscal year ended March 31, 2022
Date of resolution
Type of shares
Total dividends(*)
Dividends per share
Record date
Effective date
Dividend resource

June 21, 2021 (at the Annual General Meeting of Shareholders)Common stock¥68,833 million¥62
March 31, 2021
June 22, 2021
Retained earnings(*) Total dividends did not include ¥244 million of dividends to the J-ESOP trust, as the Company recognized the shares held by the trust as treasury shares.

b) Dividends, the record date of which was March 31, 2022, to be paid out in the year ending March 31, 2023
Date of resolution
Type of shares
Total dividends(*)
Dividends per share
Record date
Effective date
Dividend resource

June 20, 2022 (at the Annual General Meeting of Shareholders)Common stock¥85,030 million¥83
March 31, 2022
June 21, 2022
Retained earnings(*) Total dividends did not include ¥323 million of dividends to the J-ESOP trust, as the Company recognized the shares held by the trust as treasury shares.

Integrated Report

152

2.

For the Year Ended March 31, 2023

Ⅶ. NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS
1.

(1) Type and Number of Shares Outstanding
Year ended March 31, 2023
At the beginningof the year
Common stock(*1)
Treasury stock(*2)(*3)(*4)(*5)

Increase during
Decrease during
the yearthe year(Unit: thousands of shares)

At the endof the year

1,031,348

121

41,581

989,8886,886

41,585

41,772

6,699(*1) The increase of 121 thousand shares of outstanding common stock was due to the issuance of new shares under stock remuneration scheme.
(*2) Treasury stock at the beginning and the end of the fiscal year ended March 31, 2023, includes 3,899 thousand shares and 3,862 thousand shares held by the trust fundthrough the J-ESOP, respectively.
(*3) The decrease of 41,581 thousand shares of outstanding common stock was due to the cancellation of treasury stock.
(*4) The increase of 41,585 thousand shares of treasury stock was due to the purchase of treasury stock of 41,581 thousand shares and the acquisition of restricted stock without
consideration of 3 thousand shares.
(*5) The decrease of 41,772 thousand shares of treasury stock represents the sum of (1) 152 thousand shares due to the exercise of stock acquisition rights (stock options), (2) 37
thousand shares granted to eligible employees at retirement by the J-ESOP, and (3) 41,581 thousand shares due to the cancellation of treasury stock.

(2) Stock Acquisition Rights
Issuer
The Company

Details
Stock acquisition rights in the form of stock options

Balance as of March 31, 2023
(Unit: million yen)
483(US$3 million)

Reconciliations of Cash and Cash Equivalents to Consolidated Balance Sheet Accounts

Details of reconciliations of cash and cash equivalents to consolidated balance sheet accounts were as follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Cash and deposits
2,183,874
1,619,087
12,125
Call loans
479,900
966,900
7,241
Term deposits exceeding three months and others(47,030)(68,702)(514)
Cash and cash equivalents
2,616,743
2,517,285
18,851

2. Breakdown of Increased Assets and Liabilities of the newly consolidated company as a result of stockacquisition
Breakdown of assets and liabilities at the time of the consolidation of TAL Life Insurance Services Limited, Partners Group
Holdings Limited, and ipet Holdings, Inc. due to the acquisition of shares, and the relationship between the acquisition cost ofshares, etc. and the expenditure for the acquisition (net amount) is as follows:(1) TAL Life Insurance Services Limited(Unit: million yen)

(3) Dividends on Common Stocka) Dividends paid during the fiscal year ended March 31, 2023
Date of resolution
Type of shares
Total dividends(*)
Dividends per share
Record date
Effective date
Dividend resource

June 20, 2022 (at the Annual General Meeting of Shareholders)Common stock¥85,030 million (US$636 million)¥83 (US$0.62)
March 31, 2022
June 21, 2022
Retained earnings(*) Total dividends did not include ¥323 million (US$2 million) of dividends to the J-ESOP trust, as the Company recognized the shares held by the trust as treasury
shares.

b) Dividends, the record date of which was March 31, 2023, to be paid out in the year ending March 31, 2024
Date of resolution
Type of shares
Total dividends(*)
Dividends per share
Record date
Effective date
Dividend resource

June 26, 2023 (at the Annual General Meeting of Shareholders)Common stock¥84,554 million (US$633 million)¥86 (US$0.64)
March 31, 2023
June 27, 2023
Retained earnings(*) Total dividends did not include ¥332 million (US$2 million) of dividends to the J-ESOP trust, as the Company recognized the shares held by the trust as treasury
shares.

AssetsCash and deposits
Liabilities
Policy reserves and others
Acquisition costs of subsidiary shares
Cash and cash equivalents of subsidiary
Difference: Expenditures for acquisition of shares of subsidiary

2,354
129
(1,710)(1,629)643(129)

68,645514(2) Partners Group Holdings Limited(Unit: million yen)
AssetsCash and deposits
Goodwill
Liabilities
Policy reserves and others
Acquisition costs of subsidiary shares
Cash and cash equivalents of subsidiary
Difference: Expenditures for acquisition of shares of subsidiary(Unit: million US dollars)

164,622
23,855
20,796(99,376)(46,745)
86,042(4,048)

1,232
178
155
(744)
(350)
644
(30)

81,994614(3) ipet Holdings, Inc.
(Unit: million yen)
AssetsCash and deposits
Goodwill
Liabilities
Policy reserves and others
Acquisition costs of subsidiary shares
Cash and cash equivalents of subsidiary
Difference: Expenditures for acquisition of shares of subsidiary

153 Dai-ichi Life Holdings(Unit: million US dollars)

314,365
17,259(228,460)(217,540)
85,905(17,259)(Unit: million US dollars)

50,37013,98615,990(27,343)(17,027)
39,015(13,986)

377
104
119
(204)
(127)
292
(104)

25,029187

Integrated Report154

Ⅷ. LEASE TRANSACTIONS

Ⅸ. FINANCIAL INSTRUMENTS AND OTHERS

1.

1.

Finance Leases (As Lessee)
For the fiscal years ended March 31, 2022 and 2023, information regarding finance leases (as lessee) is omitted due to theimportance on the consolidated financial statements.

2.

Operating Leases
Future minimum lease payments under non-cancellable operating leases as of March 31, 2022 and 2023 were as follows:(As Lessee)2022

As of March 31,2023(Unit: million yen)
Due within one year
Due after one year
Total

2,670
19,02821,6993,147
20,16323,3102022

As of March 31,
2023

2023
(Unit: million
US dollars)
23
150
174

(As Lessor)(Unit: million yen)
Due within one year

417

484

Due after one year
Total

12,644
13,061

12,15912,6442023(Unit: million
US dollars)
3
91
94

Financial Instruments(1) Policies in Utilizing Financial Instrument
The Group mainly operates in life insurance business and, in an effort to manage investment assets in a manner
appropriate to liabilities, which arise from the insurance policies underwritten, engages in asset liability management, or ALM,
which considers the long-term balance between assets and liabilities to ensure stable returns. With this strategy, the Groupholds fixed income investments, including bonds and loans, as the core of its asset portfolio. While placing its financial
soundness first, the Group also holds stocks and foreign securities within its tolerable risk to enhance its profitability andfacilitate diversification of investment risks.
The Group uses derivatives primarily to hedge market risks associated with its existing asset portfolio and to mitigate therisks associated with guaranteed minimum maturity benefits of individual variable annuity insurance.
With respect to financing, the Group has raised capital directly from the capital markets by issuing subordinated bonds aswell as indirectly from banks in order to strengthen its capital base. To avoid impact from interest-rate fluctuations, the Grouputilizes derivative transactions in hedging some of such financial liabilities and adopts hedge accounting.
(2) Financial Instruments Used and Their Risks
Securities included in financial assets of the Group, mainly stocks and bonds, are exposed to market fluctuation risk, credit
risk and interest-rate risk and some of the securities denominated in foreign currency are exposed to foreign currency risk.
Also, loans are exposed to credit risk arising from the defaults of obligors.
The Group might be exposed to liquidity risk in certain circumstance in which it cannot make timely payments of principal,
interest or other amounts due to unpredictable cash outflows or is forced to raise capital with interest rates substantially higher
than usual. Also, some of its loans payable and bonds payable which are floating interest rate based and denominated inforeign currency are exposed to interest-rate risk and foreign currency risk.
The Group utilizes a) interest rate swaps to hedge interest rate risk associated with certain loans receivable and payable, b)
equity forward contracts to hedge market fluctuation risks associated with certain domestic stocks, and c) foreign currency
forward contracts, currency options and foreign currency swaps to hedge foreign currency risks associated with certain foreign
currency-denominated bonds, foreign currency-denominated short-term deposits and foreign currency-denominated debts,
etc. and adopts hedge accounting.
In addition, certain consolidated subsidiaries utilize a) interest rate swaps to hedge interest rate risk associated with certain
insurance liabilities, under the "Accounting and Auditing Treatment of Application of Accounting Standard for Financial
Instruments to Insurance Operators" (JICPA Industry Audit Committee Report No. 26), and b) foreign currency swaps tohedge foreign currency risks associated with funding agreements and adopts hedge accounting.
In applying the hedge accounting, in order to fulfill requirements stipulated in accounting standards such as the "AccountingStandards for Financial Instruments" (ASBJ Statement No. 10 issued on March 10, 2008), the Group has establishedinvestment policy and procedure guidelines and clarified the transactions to be hedged, the risk of underlying assets to behedged and derivative instruments to be used, and conducted pre- and post-effectiveness tests of the transactions.
(3) Risk Management
The Group manages risk in accordance with a basic policy for risk management, rules for management procedures, etc.
defined by the board of directors, etc.
a) Market risk management
Under the internal investment policy and market risk management policy, DL manages market risk by conducting mid- tolong-term asset allocation in a manner appropriate to its liabilities. Therefore, it categorizes its portfolio into sub-groups,
based on their investment purpose, and manages them taking into account each of their risk characteristics.
i) Interest rate risk
DL keeps track of interest rates and durations of its assets and liabilities, monitors its internal analyses on duration
gap and interest rate sensitivity, and periodically reports its findings to the board of directors, etc.
ii) Currency risk
DL keeps track of currency composition of its financial assets and liabilities, conducts sensitivity analyses, andperiodically reports its findings to the board of directors, etc.
iii) Fluctuation in market values
DL defines risk management policies and management procedures for each component of its overall portfolio,
including securities, based on the risk characteristics of the categories, and sets and manages upper limits of each
asset balance and asset allocation weight.
Such management conditions are periodically reported by its risk management sections to the board of directors,
etc.
iv) Derivative transactions
For derivative transactions, DL has established internal check system by segregating (i) the executing department,(ii) the department which engages in assessment of hedge effectiveness, and (iii) the back-office. Additionally, in order
to limit speculative use of derivatives, it has put restrictions on utilization purpose, such as hedging, and establishes
position limits for each asset class.

155 Dai-ichi Life Holdings

Integrated Report

156

The consolidated subsidiaries other than DL have established appropriate risk management systems in accordance with
the Group's basic policy for risk management, etc.
DFLI utilizes derivatives in order to reduce the risk associated with guaranteed minimum maturity benefits of individual
variable annuities and hedge foreign currency risks associated with bonds. For derivatives used to reduce the risk
associated with guaranteed minimum maturity benefits of individual variable annuities, in accordance with its internal
regulations to manage the risks associated with its guaranteed minimum maturity benefits, it (i) assesses the hedge
effectiveness of derivative transactions, (ii) manages gains and losses from derivative transactions on a daily basis, and (iii)
periodically checks its progress on reducing the risk associated with its guaranteed minimum maturity benefits andmeasures estimated losses based on VaR (value-at-risk). The risk management section is in charge of managing overallrisks including risks associated with the guaranteed minimum maturity benefits, and periodically reports the status of suchmanagement to the board of directors, etc.
b) Credit Risk Management
In accordance with the internal investment policy and credit risk management procedure guidelines, DL has establisheda credit management system related to loans, such as preliminary reviews on individual transactions, credit limit setting,credit information management, internal credit rating, attachment of guarantees and collateral, and follow-ups on problem
loans. For corporate bond investment, the credit section sets investment caps on individual issuers taking into accountinternal credit ratings and other factors. Excessive risk-taking is restricted since front offices make investment within thosecaps. Policies and frameworks for large-lot borrowers have been formulated in order to prevent credit concentration bymonitoring compliance, etc. That credit management has been conducted by the credit and risk management sections, andhas been periodically reported to its board of directors, etc. Additionally, the internal audit section has also checked credit
management status.
Credit risk of security issuers and counterparty risk with respect to derivative transactions are managed by the credit
section, which sets upper limits for each counterparty and financial instrument and periodically monitors credit information,and by the risk management section, which periodically monitors current exposures.
The consolidated subsidiaries other than DL have established appropriate risk management systems in accordance with
the Group's basic policy for risk management, etc.
(4) Supplementary Explanation for Fair Value of Financial Instruments
As the calculation of those values adopts certain assumptions, those values may vary in case different assumptions areapplied. Also, for the contract value regarding derivative transactions described in "XII. DERIVATIVE TRANSACTIONS", the"Notional amount/contract value" itself does not indicate market risk related to derivative transactions.

2.

Fair Values of Financial Instruments
The carrying amount on the consolidated balance sheet, fair value and differences between carrying amount and fair value asof March 31, 2022 and 2023 were as follows.
As of March 31, 2022
Carrying amount
Fair value
Gains (losses)(Unit: million yen)
255,902
1,106,918––

4,901,534
129,339
19,350,082
1,157
27,815,759–(84)
1,499,135––

Total assets

4,901,534
129,424
17,850,947
1,157
27,815,759
3,978,577(16,653)
3,961,923
56,023,567

4,053,566
57,614,261

91,643
1,590,694(1) Bonds payable(2) Long-term borrowings
Total liabilities

870,383
744,988
1,615,372

886,396
746,971
1,633,368

16,012
1,983
17,996

Derivative transactions (※4)
a. Hedge accounting not appliedb. Hedge accounting applied
Total derivative transactions[110,586][469,562][580,148][110,586][468,977][579,563]

–
584
584

(1) Monetary claims bought(2) Money held in trust(3) Securities(※2)
a. Trading securities
b. Held-to-maturity bondsc. Policy-reserve-matching bonds
d. Stocks of subsidiaries and affiliated companies
e. Available-for-sale securities(4) Loans
Reserves for possible loan losses (※3)

255,902
1,106,918

As of March 31,2022
Carrying amount(Unit: million yen)
Stocks and other securities without market prices
Ownership stakes in partnerships, etc.

(*1)(*3)

166,235
639,692(*2)(*3)(*1) Stocks and other securities without market prices include unlisted stocks, etc., and are not subject to disclosure of fair value in accordance with Paragraph 5 of the"Implementation Guidance on Disclosures about Fair Value of Financial Instruments" (ASBJ Guidance No. 19 revised on March 31, 2020).
(*2) Ownership stakes in partnerships, etc. mainly include stakes in anonymous associations and investment partnerships. They are not subject to disclosure of fair value inaccordance with Item 26 or 27 of "Implementation Guidance on Accounting Standard for Fair Value Measurement" (ASBJ Guidance No. 31 issued on July 4, 2019).
(*3) Impairment loss of ¥1,155 million was recognized in the fiscal year ended March 31, 2022(※3) Excluding general reserves for possible loan losses and specific reserves for possible loan losses related to loans.
(※4) Credits/debts from derivative transactions are presented on a net basis. Figures in [ ] are net debts.

As of March 31, 2023
Gains
Carrying
Gains
Fair value(losses)amountFair value(losses)(Unit: million yen)
(Unit: million US dollars)
246,105
246,105
－
1,843
1,843
－
911,246
911,246
－
6,824
6,824
－

Carrying
amount(1) Monetary claims bought(2) Money held in trust(3) Securities(※2) (※3)
a. Trading securities
b. Held-to-maturity bondsc. Policy-reserve-matching bonds
d. Stocks of subsidiaries andaffiliated companies
e. Available-for-sale securities(4) Loans
Reserves for possible loan losses (※4)

5,788,023
148,240
19,265,186

5,788,023
145,192
19,591,271－(3,047)
326,084

43,346
1,110
144,276

43,346
1,087
146,718

－
(22)
2,442

1,368

1,368

－

10

10

－

20,560,545－－

4,183,411
51,427,166(151,714)
171,322

153,976
32,575(110)
32,465
383,852

153,976

Total assets

20,560,545
4,349,867(14,742)
4,335,125
51,255,843

31,329385,135(1,136)
1,283(1) Bonds payable(2) Long-term borrowings
Total liabilities

906,612657,759
1,564,371

840,698
653,772
1,494,471(65,913)(3,986)(69,900)

6,789
4,925
11,715

6,295
4,896
11,192

(493)
(29)
(523)

Derivative transactions (※5)
a. Hedge accounting not appliedb. Hedge accounting applied
Total derivative transactions

25,094[100,575][75,481]

25,094[99,318][74,223]

－
1,257
1,257

187
[753]
[565]

187
[743]
[555]

－
9
9

(※1) Cash and deposits, call loans, short-term bonds payable, and payables under repurchase agreements are not included since they are mainly due within a short period oftime or have no maturity, and their fair value is close to the carrying amount.
(※2) Net asset value of certain mutual funds is regarded as the fair value in accordance with generally accepted accounting standard, and included in the table above.
(※3) The carrying amount of stocks and other securities without market prices and ownership stakes in partnerships, etc. on the consolidated balance sheet are as follows. They
are not included in the fair value of (3) Securities.

As of March 31,2023
Carrying amount(Unit: million yen)
Stocks and other securities without market prices
Ownership stakes in partnerships, etc. (*2)(*3)(*1)(*3)

181,754766,583(Unit: million US dollars)
1,361
5,740

(*1) Stocks and other securities without market prices include unlisted stocks, etc., and are not subject to disclosure of fair value in accordance with Paragraph 5 of the"Implementation Guidance on Disclosures about Fair Value of Financial Instruments" (ASBJ Guidance No. 19 revised on March 31, 2020).
(*2) Ownership stakes in partnerships, etc. mainly include stakes in anonymous associations and investment partnerships. They are not subject to disclosure of fair value inaccordance with Item 24-16 of "Implementation Guidance on Accounting Standard for Fair Value Measurement" (ASBJ Guidance No. 31 revised on June 17, 2021).
(*3) Impairment loss of ¥780 million (US$5 million) was recognized in the fiscal year ended March 31, 2023.
(※4) Excluding general reserves for possible loan losses and specific reserves for possible loan losses related to loans.
(※5) Credits/debts from derivative transactions are presented on a net basis. Figures in [ ] are net debts.

(※1) Cash and deposits, call loans, and payables under repurchase agreements are not included since they are mainly due within a short period of time or have no maturity, andtheir fair value is close to the carrying amount.
(※2) Financial instruments whose fair value is extremely difficult to recognize are as follows and are not included in the fair value of (3) Securities.

157 Dai-ichi Life Holdings

Integrated Report158Note 1: Scheduled redemptions of monetary claims and securities with maturities

Note 2: Scheduled maturities of bonds, long term borrowings, and other interest-bearing liabilities

As of March 31, 2022

As of March 31, 2022

Due in 1 year Due after 1 year Due after 5 years
or less
through 5 years through 10 years

Cash and deposits
Call loans
Monetary claims bought
Securities:
Held-to-maturity bonds (bonds)
Held-to-maturity bonds(foreign securities)
Policy-reserve-matching bonds (bonds)
Policy-reserve-matching bonds (foreign securities)
Available-for-sale securities with maturities (bonds)
Available-for-sale securities with maturities(foreign securities)
Available-for-sale securities with maturities(other securities)
Loans (*)

2,169,025
479,900
3,350(Unit: million yen)
14,851

Due after
10 years

Due in 1 year
or less

–

–

–

–

–

56,217

21,942

171,440

2,100
4,700
23,01043,937
119,80270,2008,455
724,113514,463
1,044,973

19,300600
2,090,038
1,257,123
834,563

24,10012,538,374
590,985
1,084,231

666,658

4,183,466

4,338,823

8,266,268

1,213

371,788269,338

20,345

470,341

1,328,652

858,178

788,909–(*) Loans for which interest or principal payments cannot be forecasted, such as credit to bankrupt obligors, substantially bankrupt obligors and obligors at risk of bankruptcy,
amounted to ¥4,575 million were not included. Also, ¥521,093 million of loans without maturities were not included.

Bonds payable (*1)
Payables under repurchaseagreements
Long term borrowings (*2)

Due after 1 year Due after 2 years Due after 3 years Due after 4 years Due after
through 2 years through 3 years through 4 years through 5 years
5 years(Unit: million yen)

–

–

–

–

–

182,964

3,115,017

–

–

–

–

–

53,511

8,080

9,200

8,080

319,01222,080(*1) ¥678,715 million of bonds payable without maturities were not included.
(*2) ¥325,000 million of long term borrowings without maturities were not included.

As of March 31, 2023
Due in 1 year
or less
Bonds payable (*1)
Payables under repurchaseagreements
Long term borrowings (*2)

Due after 1 year Due after 2 years Due after 3 years Due after 4 years Due after
through 2 years through 3 years through 4 years through 5 years
5 years(Unit: million yen)

43,062

－

－

7,170

－

211,088432,210

－

－

－

－

－

8,190

16,00837,339329,81223

21,551

As of March 31, 2023

As of March 31, 2023
Due in 1 year Due after 1 year Due after 5 years
or less
through 5 years through 10 years

Cash and deposits
Call loans
Monetary claims bought
Securities:
Held-to-maturity bonds (bonds)
Held-to-maturity bonds (foreign securities)
Policy-reserve-matching bonds (bonds)
Policy-reserve-matching bonds (foreign securities)
Available-for-sale securities with maturities (bonds)
Available-for-sale securities with maturities(foreign securities)
Available-for-sale securities with maturities(other securities)
Loans (*)

1,609,940
966,900
3,012(Unit: million yen)
8,499
650
－
－
54,414
24,627Due in 1 year
or less

Due after
10 years－－
165,10254,6005,100
103,952
99,309141,000

33,0004,180
814,835
613,026
1,019,841

17,100－2,117,931
1,142,418
507,889

34,400－13,291,023
1,157,380
645,200

424,553

3,163,264

3,338,188

7,117,538

26,880313,045

175,396

32,024428,271

1,555,158

1,055,480

765,397

Bonds payable (*1)
Payables under repurchaseagreements
Long term borrowings (*2)

Due after 1 year Due after 2 years Due after 3 years Due after 4 years Due after
through 2 years through 3 years through 4 years through 5 years
5 years(Unit: million US dollars)

322

－

－

53

－

1,580

3,236

－

－

－

－

－

61

119

279

2,469

0

161

(*1) ¥678,715 million (US$5,082 million) of bonds payable without maturities were not included.
(*2) ¥245,000 million (US$1,834 million) of long term borrowings without maturities were not included.

As of March 31, 2023
Due in 1 year Due after 1 year Due after 5 years
or less
through 5 years through 10 years

Cash and deposits
Call loans
Monetary claims bought
Securities:
Held-to-maturity bonds (bonds)
Held-to-maturity bonds(foreign securities)
Policy-reserve-matching bonds (bonds)
Policy-reserve-matching bonds (foreign securities)
Available-for-sale securities with maturities (bonds)
Available-for-sale securities with maturities(foreign securities)
Available-for-sale securities with maturities(other securities)
Loans (*)

12,056
7,241
22(Unit: million US dollars)
63
4
－
－
407
184

Due after
10 years

－
－
1,236

408
38
778
743
1,055

247
31
6,102
4,590
7,637

128
－
15,861
8,555
3,803

257
－
99,535
8,667
4,831

3,179

23,68924,99953,302

201

2,344

1,313

239

3,207

11,646

7,904

5,732

(*) Loans for which interest or principal payments cannot be forecasted, such as credit to bankrupt obligors, substantially bankrupt obligors and obligors at risk of bankruptcy,
amounted to ¥86 million (US$ 0.6million) were not included. Also, ¥541,115 million (US$4,052 million) of loans without maturities were not included.

159 Dai-ichi Life Holdings

Integrated Report1603: Matters Concerning Fair Value of Financial Instruments and Breakdown by Input Level
The fair values of financial instruments are classified into the following three levels based on the observability and significance of
the inputs used to measure fair value:
Fair value determined based on the observable inputs, such as quoted prices in active markets for identicalLevel 1:
assets or liabilities
Level 2: Fair value determined based on observable inputs other than Level 1 inputs
Level 3: Fair value determined based on significant unobservable inputs
If multiple inputs with a significant impact are used for the fair value measurement of a financial instrument, the financial instrument
is classified into the lowest priority level of fair value measurement in which each input belongs.
a) Financial assets and liabilities measured at fair value on the consolidated balance sheet
Fair value
As of March 31, 2022
Level 1
Level 2
Level 3
Monetary claims bought
Money held in trust(*)
Securities(*)
Trading securities
Available-for-sale securities
Government bonds
Local government bonds
Corporate bonds
Domestic stocks
Foreign bonds
Other foreign securities
Other securities
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal assets
Long-term borrowings
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal liabilities–
909,599(Unit: million yen)–
255,902–
195,345

Total
255,902
1,104,944

2,480,386

1,137,804

33,8483,652,039

2,005,060––
3,251,456
2,695,782
475,397
3,064–
29,3761,600,684–
15,124,911
148,500
–

–
–
7,966
–
427,637
13,539–2,005,060
29,376
1,608,651
3,251,456
18,248,332
637,4373,064

43–12,59013,368–
11,846,750–

133,085
38,189117,372
1,807
390
18,527,467
69,401––––
27,972766,867–

133,128
38,189129,962
15,17628,362
31,141,085
69,401

242–
9,355
17,737–
27,334577,259
6,966
91,746
2,311
20
747,704––––
219,329
219,329

577,502
6,966
101,101
20,048219,350
994,369

As of March 31, 2023

Monetary claims bought
Money held in trust(*)
Securities(*)
Trading securities
Available-for-sale securities
Government bonds
Local government bonds
Corporate bonds
Domestic stocks
Foreign bonds
Other foreign securities
Other securities
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal assets
Corporate bonds
Long-term borrowings
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal liabilities

As of March 31, 2023

Monetary claims bought
Money held in trust
Securities(*)
Trading securities
Available-for-sale securities
Government bonds
Local government bonds
Corporate bonds
Domestic stocks
Foreign bonds
Other foreign securities
Other securities
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal assets
Corporate bonds
Long-term borrowings
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal liabilities

Fair value
Level 1

Level 2－
716,700

Level 3

Total

(Unit: million yen)－
246,105
194,546－

246,105911,246

2,571,530

3,163,524

52,9685,788,023

1,121,132－－
3,162,223
505,773
613,732
14,536－28,1491,446,827－
12,072,200
436,558591,227－－
10,001－
430,378
46,14532,2401,121,132
28,1491,456,828
3,162,223
13,008,352
1,096,436
638,004

176
－
6,925
2,463
－
8,715,194－－

61,17934,92845,5701,013
726
18,076,452
7,075
82,010－－－－71,028888,868－－

61,35634,92852,495
3,477
71,754
27,680,514
7,075
82,010

240
－
1,839
1,422
－
3,503

107,788
28,387
27,6254,407
169
257,465－－－－
127,610
127,610

108,029
28,387
29,465
5,830
127,779
388,578

Level 1－
5,367

Fair value
Level 2
Level 3
(Unit: million US dollars)
－
1,843
1,456
－

Total
1,843
6,824

19,25823,691

396

43,346

8,396－－
23,681
3,787
4,596
108

－
210
10,835－90,408
3,269
4,427

－
－
74
－
3,223
345
241

8,396
210
10,91023,681
97,418
8,211
4,777

1
－
51
18
－
65,267
－
－

458
261
341
7
5
135,373
52
614

－
－
－
－
531
6,656
－
－

459
261
393
26
537
207,298
52
614

1
－
13
10
－
26

807
212
206
33
1
1,928

－
－
－
－
955
955

809
212
220
43
956
2,910

(*) Certain Mutual funds whose net asset value are regarded as the fair value in accordance with Item 24-3 and 9 of "Implementation Guidance on Accounting Standard for Fair
Value Measurement" (ASBJ Guidance No.31, revised on June 17, 2021) are not included in the table above. The amount of such mutual funds on the consolidated balance
sheet is ¥49,418 million(US$370 million). Reconciliation between the beginning and ending balance and breakdown of restriction on cancellation as of March 31,2023 havebeen omitted as the amount of such mutual funds is immaterial

161 Dai-ichi Life Holdings

Integrated Report162b) Financial assets and liabilities not measured at fair value on the consolidated balance sheet
Fair value
As of March 31, 2022
Level 1
Level 2
Level 3Note 1: Description of the evaluation methods and inputs used to measure fair value
AssetsMonetary claims bought
The fair value of monetary claims bought is measured using the price obtained by outside contractors and counterparty
financial institutions. Since significant unobservable inputs are used for the price obtained, the fair value of monetary claimsbought is classified into Level 3.

Total(Unit: million yen)
Securities
Held-to-maturity bonds
Government bonds
Corporate bonds
Foreign bonds
Policy-reserve-matching bonds
Government bonds
Local government bonds
Corporate bonds
Foreign bonds
Stocks of subsidiaries andcompanies
Loans
Total assets
Bonds payable
Long-term borrowings
Total liabilities

48,407–––
67,17012,605––
1,155

48,407
67,17013,76015,436,289––
44,091–
132,312
1,327,433
2,409,955––––

15,436,289
132,312
1,327,433
2,454,047

affiliated

–

300

857

1,157

–
15,528,788––––
3,949,777873,051–
873,051

4,053,566
4,055,580
13,345677,570
690,915

4,053,566
23,534,147
886,396
677,570
1,563,967

Level 1

Level 2

Level 3

Total

Fair value

As of March 31, 2023

(Unit: million yen)
Securities
Held-to-maturity bonds
Government bonds
Corporate bonds
Foreign bonds
Policy-reserve-matching bonds
Government bonds
Local government bonds
Corporate bonds
Foreign bonds
Stocks of subsidiaries andcompanies
Loans
Total assets
Bonds payable
Long-term borrowings
Total liabilities

54,179－－－81,764
7,873

－
－
1,374

54,17981,764
9,248

15,236,943－－
237,275－
137,1311,414,622
2,565,300－－－－

15,236,943
137,1311,414,622
2,802,575

－

336

1,032

1,368

－
15,528,397－－－－
4,207,027
822,664－
822,664

4,183,411
4,185,818
10,958571,762
582,721

4,183,411
23,921,244
833,623
571,762
1,405,385

Level 1

Level 2

Level 3Total

affiliatedFair value

As of March 31, 2023

(Unit: million US dollars)
Securities
Held-to-maturity bonds
Government bonds
Corporate bonds
Foreign bonds
Policy-reserve-matching bonds
Government bonds
Local government bonds
Corporate bonds
Foreign bonds
Stocks of subsidiaries andcompanies
Loans
Total assets
Bonds payable
Long-term borrowings
Total liabilities

163 Dai-ichi Life Holdings

affiliated

405
－
－

－
612
58

－
－
10

405
612
69

114,108
－
－
1,776

－
1,026
10,594
19,211－－－－

114,108
1,026
10,594
20,988

－

2

7

10

－
116,291－－－－
31,506
6,160
－
6,160

31,32931,347
82
4,281
4,363

31,329179,145
6,242
4,281
10,524

Money held in trust
The fair value of money held in trust is classified into Level 1 in cases where unadjusted quoted market prices in active
markets can be used. If the market is not active, the fair value of money held in trust is classified into Level 2, irrespective ofwhether disclosed quoted market prices are used.
The fair value of money held in trust for which quoted market prices are not used as fair value is measured using prices
obtained from outside contractors and counterparty financial institutions, and classified into either Level 1 or Level 2, based on
the level of the primary components of trust assets.
Securities
The fair value of securities for which unadjusted quoted market prices in active markets are available is classified into
Level 1. These include stocks and government bonds, among others. If the market is not active, the fair value of securities isclassified into Level 2, irrespective of whether disclosed quoted market prices are used.
The fair value of bonds for which quoted market prices are not used as fair value is measured mainly using prices
obtained from outside contractors and counterparty financial institutions. The present value of these prices is calculated bydiscounting future cash flows at a discount rate (i.e., a risk-free interest rate that takes into account credit spread). The fairvalue of bonds is classified into Level 2 if observable inputs are used in the calculation, and Level 3 if significant unobservable
inputs are used.
The fair value of mutual funds without market prices is based on net asset value unless there is no significant restriction
on cancellation. The fair value is classified into either Level 2 or Level 3, mainly based on constituents held in trust.
The fair value of asset-backed securities of certain foreign consolidated subsidiaries is based on the price obtained fromoutside contractors. The fair value of such asset-backed securities is classified into Level 2 if observable inputs are used in thecalculation, and Level 3 if significant unobservable inputs are used.
Notes regarding securities by purpose of holding are described in "X. Securities" below.
Loans
The fair value of loans is calculated by discounting future cash flows at a discount rate (i.e., an interest rate
corresponding to internal credit ratings and remaining periods which is assumed to be applied to new loans to the borrower
and an interest rate assumed to be applied to new loans that take into account market risk and liquidity risk). The fair value ofloans is classified into Level 3.
Additionally, for risk-monitored loans, reserve for possible loan losses is calculated based on the present value of
estimated future cash flows or the amount deemed recoverable from collateral and guarantees and the fair value is close to
the carrying amount on the consolidated balance sheet minus reserve for possible loan losses at the end of the fiscal year.
Therefore, that amount (the carrying amount on the consolidated balance sheet minus reserve for possible loan losses) isrecorded as fair value for risk-monitored loans and classified into Level 3.
Also, loans without a due date because of their characteristics that their exposure is limited to the amount of theircollaterals, are deemed to have fair value close to book value, taking into account estimated repayment period and interest
rates. Therefore, their book value is recorded as the fair value and classified into Level 3.
Liabilities
Bonds payable
The fair value of bonds payable for which quoted market prices can be used is based on the quoted market prices. For
bonds payable for which quoted market prices are not available, the fair value is calculated by discounting future cash flows at
a discount rate based on market yields for similar instruments. When quoted market prices and observable inputs are used in
the calculation, the fair value of bonds payable is classified into Level 2. Otherwise, the fair value of bonds payable isclassified into Level 3.
Long-term borrowings
The fair value of long-term borrowings is calculated by discounting the total amount of principal and interest, using
interest rates corresponding to the internal credit rating and remaining periods which are assumed to be applied to new
borrowings. The fair value of long-term borrowings is classified into Level 2 when observable inputs are used in thecalculation, and Level 3 when significant unobservable inputs are used. Also, certain long-term borrowings are deemed tohave fair value close to book value, taking into account interest rates and other factors. Therefore, their book value is recorded
as the fair value, and their fair value is classified into Level 3.
Derivative Transactions
The fair value of listed derivative transactions for which unadjusted quoted market prices in active markets are available isclassified into Level 1. These mainly include stock-related transactions and bond-related transactions. If the market is not active,
the fair value of listed derivative transactions is classified into Level 2, irrespective of whether disclosed quoted market prices areused.

Integrated Report

164

The fair value of over-the-counter derivative transactions is mainly based on the prices calculated using discounted present
values obtained from outside contractors and counterparty financial institutions and option valuation models, etc. The inputs
used in the valuation method for calculating the price of over-the-counter derivative transactions are mainly interest rate, foreignexchange rate, and volatility. Since no significant unobservable inputs are used or their effects are not significant, the fair value ofover-the-counter derivative transactions is classified into Level 2.
The fair value of embedded derivatives at certain foreign consolidated subsidiaries is calculated using actuarial cash flow
models. The main inputs used in those valuation methods are mortality, lapse, and withdrawal rates of insurance contracts.
Since significant unobservable inputs are used, the fair value of such embedded derivatives is classified into Level 3.
Note 2: Quantitative information about financial assets and liabilities measured and stated on the consolidated balance sheet atfair value and classified into Level 3a) Quantitative Information on Significant Unobservable Inputs
Significant
As of March 31, 2022
Valuation method
Range
unobservable input
Securities
Trading securities
Discounted cash flow
Discount rate
0.00% to 4.00%
Paydown rate
11.20% to 13.41%
Available-for-sale securities
Foreign bonds
Discounted cash flow
Discount rate
0.00% to 4.00%
Paydown rate
11.20% to 13.41%
Trade Price
Discount rate
1.03% to 1.10%
Derivative transactions
Other
Disclosed mortality that takes
Actuarial cash flow modelMortality(Embedded derivatives)
into account assumptions.
Lapse based on the policy
Lapse
period, etc.
Withdrawal rates that take
into account assumptions forWithdrawal rate
the minimum amount ofwithdrawals, etc.
As of March 31, 2023
Securities
Trading securities
Available-for-sale securities
Foreign bonds
Derivative transactions
Other(Embedded derivatives)

Valuation method
Discounted cash flow

Significant
unobservable input

Range

Discount rate
Paydown rate

0.76% to 4.60%
15.52% to 18.62%

Discount rate
Paydown rate

0.43% to 4.80%
15.52% to 18.62%

Gains (losses) or othercomprehensive income inthe current fiscal year

As of March
31, 2022

Balance atthebeginningof the year

Gains(losses)recorded inconsolidated
statement of
earnings(*1)

Amountrecorded inothercomprehensive
income(*2)

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Transfer toLevel 3(*3)

Transferfrom Level3(*4)

Balance atthe end of
the year

Gains (losses)
on valuation offinancialassets andliabilities heldat theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)(Unit: million yen)
Monetary claimsboughtSecurities
Tradingsecurities
Available-for-salesecurities
Corporatebonds
Foreign bonds
Other foreign
securities
Derivativetransactions
Other(Embedded
derivatives)

252,140(1,831)(1,174)

6,769

–

–

255,902(1,777)34,084(1,190)3,655(5,254)

3,695(1,140)33,848

344

8,182

774

(4)

(985)

–

–

7,966

682

342,481

4,496

22,93725,96934,964(3,210)427,637

8,421

3,545

–

394

9,599

–

–

13,539–(201,337)

32,389(22,409)–––(191,357)

32,389(*1) Gain/Loss recorded as investment income and investment expenses in consolidated statement of earnings.
(*2) Gain/Loss recorded in net unrealized gains (losses) on securities, net of tax and foreign currency translation adjustments of Other comprehensive income in consolidated
statement of comprehensive income.

Discounted cash flow(*3) Transfer from Level 2 to Level 3 due to the change in the observability of inputs as a result of the change in the fair value measurement method and the lack of observable
market data due to decreased market activity.
(*4) Transfer from Level 3 to Level 2 due to the availability of observable inputs.

Actuarial cash flow modelMortality
Lapse

Withdrawal rate

165 Dai-ichi Life Holdingsb) Reconciliation between the beginning and ending balance, and net unrealized gains (losses) recognized in the earnings ofthe current fiscal year

Disclosed mortality that takes
into account assumptions.
Lapse based on the policy
period, etc.
Withdrawal rates that take
into account assumptions forthe minimum amount ofwithdrawals, etc.

Integrated Report166

(*3) Transfer from Level 2 to Level 3 due to the change in the observability of inputs as a result of the change in the fair value measurement method and the lack of observable

Gains (losses) or othercomprehensive income inthe current fiscal year

As of March
31, 2023

Balance atthebeginningof the year

Gains(losses)recorded inconsolidated
statement of
earnings(*1)

Amountrecorded inothercomprehensive
income(*2)

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Transfer toLevel 3(*3)

Transferfrom Level3(*4)

Balance atthe end of
the year

Gains (losses)
on valuation offinancialassets andliabilities heldat theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)(Unit: million yen)
Monetary claimsboughtSecurities
Tradingsecurities
Available-for-salesecurities
Corporatebonds
Foreign bonds
Other foreign
securities
Other securities
Derivativetransactions
Other(Embedded
derivatives)

255,902

1,722(5,763)(5,756)－－

246,105－

46,448(1,772)

3,758

4,293

351

(111)

52,968

(893)

7,966

528

35

1,469

－

－

10,001

1,213

438,393

2,704(1,999)

1,272

6,408

(16,401)430,378

10,32047,132546

1,821(3,354)－－

46,145546

28,543

－

3,697

(0)

－

－

32,240－(191,357)

164,189(29,414)－－－(56,581)

164,189

Gains (losses) or othercomprehensive income inthe current fiscal year

As of March
31, 2023

Balance atthebeginningof the year

Gains(losses)recorded inconsolidated
statement of
earnings(*1)

Amountrecorded inothercomprehensive
income(*2)

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Transfer toLevel 3(*3)

Transferfrom Level3(*4)

Balance atthe end of
the year

Gains (losses)
on valuation offinancial assets
and liabilities
held at theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)

market data due to decreased market activity.The transfer was made at the end of fiscal year ended March 31, 2023.
(*4) Transfer from Level 3 to Level 2 due to the availability of observable inputs.The transfer was made at the end of fiscal year ended March 31, 2023.

c) Description of the fair value valuation process
The Group has established policies and procedures for measuring the fair value and classifying the fair value level in theaccounting department. In accordance with these policies and procedures, the investment management service department
selects the fair value valuation model, and then measures the fair value and classifies the fair value by level. For such fairvalue, the appropriateness of the valuation methods and inputs used in the measurement of the fair value and theappropriateness of the classification of the level of fair value are verified. In addition, when using the quoted market prices
obtained from a third party as fair value, the validity is verified by appropriate methods such as confirmation of the valuation
method and inputs used and comparison with the fair value of similar financial instruments.
d) Explanation of the sensitivity of the fair value to changes in significant unobservable input
Securities
Discount rate
The discount rate is an adjustment rate to the base market interest rate and consists primarily of a liquidity premium, which
adjusts the discount rate by reflecting the uncertainty of cash flows and the liquidity of financial instruments, and a risk
premium, which adjusts the discount rate by reflecting the issuer’s credit risk and the overall market risk associated withsimilar financial instruments. In general, a significant increase (decrease) in the discount rate results in a significant decrease(increase) in the fair value.
Paydown rate
The paydown rate is the expected annual rate of principal repayment. In general, a significant increase (decrease) in the
paydown rate is accompanied by a decrease (increase) in the projected weighted average life of the financial instrument,
resulting in a significant increase (decrease) in the fair value.
Other (Embedded derivatives)
Mortality
The mortality is the percentage of deaths in a certain group of people in a certain period of time. In general, a significant
increase (decrease) in the mortality results in a significant decrease (increase) in the fair value of the liability and affects the fairvalue of the embedded derivatives.
Lapse
The lapse is the percentage of people in a certain group who have surrendered insurance policies or whose insurance
policies have lapsed in a certain period of time. In general, a significant increase (decrease) in the lapse results in a significant
decrease (increase) in the fair value of the liability and affects the fair value of the embedded derivatives.
Withdrawal rate
The withdrawal rate is the percentage of policy reserves that are withdrawn in a certain period of time. In general, a significant
increase (decrease) in the withdrawal rate results in a significant increase (decrease) in the fair value of the liability and affects
the fair value of the embedded derivatives.

(Unit: million US dollars)Monetary claimsboughtSecurities
Tradingsecurities
Available-for-salesecurities
Corporatebonds
Foreign bonds
Other foreign
securities
Other securities
Derivativetransactions
Other(Embedded
derivatives)

1,916

12

(43)

(43)

－

－

1,843

－

347

(13)

28

32

2

(0)

396

(6)

59

3

0

11

－

－

74

9

3,283

20

(14)

9

47

(122)

3,223

77

352

4

13

(25)

－

－

345

4

213

－

27

(0)

－

－

241

－

(1,433)

1,229

(220)

－

－

－

(423)

1,229

(*1) Gain/Loss recorded as investment income and investment expenses in consolidated statement of earnings.
(*2) Gain/Loss recorded in net unrealized gains (losses) on securities, net of tax and foreign currency translation adjustments of Other comprehensive income in consolidated
statement of comprehensive income.

167 Dai-ichi Life Holdings

Integrated Report

168

3.

X. SECURITIES
1.

Trading Securities

2022

Year ended March 31,2023(Unit: million yen)
Gains (losses) on valuation of trading securities

2.

Policy-reserve-matching Bonds

62,845(740,909)

Carrying
amount2023(Unit: million
US dollars)(5,548)

Held-to-maturity Bonds
As of March 31, 2022
Fair
Unrealizedvalue
gains (losses)

Carrying
amountHeld-to-maturity securities with unrealized gains:(1) Bonds
a. Government bonds
b. Local government bondsc. Corporate bonds(2) Foreign securities
a. Foreign bonds

53,14247,522
–
5,619
3,999
3,999

54,053
48,407
–
5,645
4,009
4,009

911
884
–
26
9
9

57,14158,062920

Held-to-maturity securities with unrealized losses:(1) Bonds
62,505a. Government bonds–
b. Local government bonds–c. Corporate bonds
62,505(2) Foreign securities
9,776
a. Foreign bonds
9,776
Subtotal
72,282
Total
129,424

61,525––61,5259,751
9,751
71,276
129,339

(980)
–
–
(980)
(24)
(24)
(1,005)(84)

Subtotal

Carrying
amountFairvalue

169 Dai-ichi Life Holdings

Policy-reserve-matching bonds with unrealized gains:(1) Bonds
9,914,633
a. Government bonds
9,178,839
b. Local government bonds
81,443c. Corporate bonds
654,350(2) Foreign Securities
1,389,880
a. Foreign bonds
1,389,880

11,746,601
10,964,961
92,513689,125
1,431,470
1,431,470

1,831,967
1,786,122
11,06934,774
41,59041,59011,304,513

13,178,071

1,873,557

Policy-reserve-matching bonds with unrealized losses:(1) Bonds
5,461,096
a. Government bonds
4,757,101b. Local government bonds
41,564c. Corporate bonds
662,430(2) Foreign Securities
1,085,336
a. Foreign bonds
1,085,336
Subtotal
6,546,433
Total
17,850,947

5,149,434
4,471,327
39,798638,308
1,022,576
1,022,576
6,172,011
19,350,082(311,662)(285,773)(1,766)(24,122)(62,759)(62,759)(374,421)
1,499,135

Carrying
amountFair
value

As of March 31, 2023
Unrealized
Carrying
gains (losses)
amount(Unit: million yen)

As of March 31, 2023
Unrealized
Carrying
gains
amount(losses)(Unit: million yen)Held-to-maturity securities with unrealized gains:(1) Bonds
55,840a. Government bonds
50,835b. Local government bonds–c. Corporate bonds
5,005(2) Foreign securities
1,500
a. Foreign bonds
1,500
Subtotal
57,340
Held-to-maturity securities with unrealized losses:(1) Bonds
83,118a. Government bonds
3,084
b. Local government bonds–c. Corporate bonds
80,033(2) Foreign securities
7,781
a. Foreign bonds
7,781
Subtotal
90,900
Total
148,240(Unit: million yen)

Subtotal(Unit: million yen)

As of March 31, 2022
Fair
Unrealizedvalue
gains (losses)

Fair
value

Unrealized
gains(losses)(Unit: million US dollars)

56,174
51,151
–
5,023
1,501
1,501
57,676

334
315
–
18
1
1
335

418
380
－
37
11
11
429

420
383
－
37
11
11
431

2
2
－
0
0
0
2

79,7693,028–
76,7407,747
7,747
87,516145,192(3,349)(56)–(3,292)(34)(34)(3,383)(3,047)

622
23
－
599
58
58
680
1,110

597
22
－
574
58
58
655
1,087

(25)
(0)
－
(24)
(0)
(0)
(25)
(22)

Policy-reserve-matching bonds with unrealized gains:(1) Bonds
9,449,766
a. Government bonds
9,028,369
b. Local government bonds
57,999c. Corporate bonds
363,398(2) Foreign securities
376,516
a. Foreign bonds
376,516
Subtotal
9,826,283
Policy-reserve-matching bonds with unrealized losses:(1) Bonds
6,806,811
a. Government bonds
5,608,614
b. Local government bonds
77,891c. Corporate bonds
1,120,305(2) Foreign securities
2,632,092
a. Foreign bonds
2,632,092
Subtotal
9,438,903
Total
19,265,186

Fair
value

Unrealized
gains (losses)(Unit: million US dollars)

10,777,210
10,329,614
65,113
382,482
385,372
385,372
11,162,583

1,327,444
1,301,245
7,114
19,084
8,856
8,856
1,336,300

70,76867,613
434
2,721
2,819
2,819
73,58880,71077,358
487
2,864
2,886
2,886
83,596

9,941
9,744
53
142
66
66
10,007

6,011,485
4,907,328
72,017
1,032,139
2,417,202
2,417,202
8,428,687
19,591,271(795,326)(701,286)(5,874)(88,165)(214,889)(214,889)(1,010,215)
326,084

50,97542,002583
8,389
19,711
19,711
70,687
144,276

45,01936,750539
7,729
18,102
18,102
63,122
146,718(5,956)(5,251)(43)(660)(1,609)(1,609)(7,565)2,442

Integrated Report

170

4.

Available-for-sale Securities

As of March 31, 2023
Carrying
amountAs of March 31, 2022
Carrying
Acquisition
Unrealized
amountcost
gains (losses)(Unit: million yen)
Available-for-sale securities with unrealized gains:(1) Bonds
2,932,663
a. Government bonds
1,956,537
b. Local government bonds
26,378c. Corporate bonds
949,747(2) Domestic stocks
3,043,447(3) Foreign securities
15,255,704

2,574,532
1,658,432
24,628891,471
1,046,476
13,514,995

358,130
298,104
1,750
58,275
1,996,970
1,740,709

a. Foreign bonds
b. Other foreign securities(4) Other securities
Subtotal

14,441,202
814,501
636,384
21,868,199

12,946,417
568,577
590,965
17,726,969

1,494,784
245,924
45,4194,141,230

Available-for-sale securities with unrealized losses:(1) Bonds
710,425
a. Government bonds
48,523b. Local government bonds
2,998
c. Corporate bonds
658,903(2) Domestic stocks
208,009(3) Foreign securities
4,913,834
a. Foreign bonds
4,471,039
b. Other foreign securities
442,794(4) Other securities
455,690
Subtotal
6,287,959
Total
28,156,158

723,630
50,552
3,006
670,071
243,138
5,205,122
4,730,109
475,013464,2026,636,094
24,363,063(13,204)(2,029)(7)(11,167)(35,128)(291,288)(259,069)(32,218)(8,512)(348,134)
3,793,095

Note: Other securities include (1) certificates of deposit and (2) trust beneficiary rights, which were recorded as cash and deposits and monetary claims bought on the consolidatedbalance sheet, respectively. The aggregate acquisition cost and carrying amount of such certificates of deposit were ¥84,500 million and ¥84,497 million, respectively, as ofMarch 31, 2022. The aggregate acquisition cost and carrying amount of trust beneficiary rights were ¥251,314 million and ¥255,902 million, respectively, as of March 31,
2022.

Acquisition
Unrealized
cost
gains (losses)(Unit: million yen)

Available-for-sale securities with unrealized gains:(1) Bonds
1,624,370
a. Government bonds
1,053,246
b. Local government bonds
23,267c. Corporate bonds
547,856(2) Domestic stocks
3,045,443(3) Foreign securities
3,348,759
a. Foreign bonds
2,754,085
b. Other foreign securities
594,674(4) Other securities
323,249
Subtotal
8,341,823
Available-for-sale securities with unrealized losses:(1) Bonds
981,739
a. Government bonds
67,885b. Local government bonds
4,882
c. Corporate bonds
908,971(2) Domestic stocks
116,780(3) Foreign securities
10,804,802
a. Foreign bonds
10,295,281
b. Other foreign securities
509,521(4) Other securities
634,182
Subtotal
12,537,505
Total
20,879,328

Carrying
amountAcquisition
cost

Unrealized
gains(losses)(Unit: million US dollars)

1,483,752
947,271
21,390515,090
1,080,409

140,618
105,975
1,877
32,766
1,965,033

12,164
7,887
174
4,102
22,807

11,111
7,094
160
3,857
8,091

1,053
793
14
245
14,7162,978,982
2,519,450
459,531
297,5715,840,715

369,777
234,634
135,142
25,6782,501,107

25,078
20,6254,453
2,420
62,471

22,30918,8683,441
2,228
43,740

2,769
1,757
1,012
192
18,7301,002,398
73,3494,904
924,144
134,535
12,437,610
11,871,092
566,517653,666
14,228,210
20,068,926(20,658)(5,463)(22)(15,172)(17,755)(1,632,807)(1,575,810)(56,996)(19,483)(1,690,705)
810,402

7,352
508
36
6,807
874
80,916
77,1003,815
4,749
93,892
156,364

7,506
549
36
6,920
1,007
93,14488,902
4,242
4,895
106,554150,295

(154)
(40)
(0)
(113)
(132)
(12,228)(11,801)
(426)
(145)
(12,661)
6,069

Note: Other securities include (1) certificates of deposit and (2) trust beneficiary rights, which were recorded as cash and deposits and monetary claims bought on the
consolidated balance sheet, respectively. The aggregate acquisition cost and carrying amount of such certificates of deposit were ¥72,680 million (US$544 million) and¥72,677 million (US$544 million), respectively, as of March 31, 2023. The aggregate acquisition cost and carrying amount of trust beneficiary rights were ¥247,281 million(US$1,851 million) and ¥246,105 million (US$1,843 million), respectively, as of March 31, 2023.

5.

Held-to-maturity Bonds Sold
The Company and its consolidated subsidiaries sold no held-to-maturity bonds during the fiscal years ended March 31, 2022
and 2023.

171 Dai-ichi Life Holdings

Integrated Report

172

6.

Policy-reserve-matching Bonds Sold

7.

Policy-reserve-matching bonds sold during the fiscal years ended March 31, 2022 and 2023 were as follows:

Available-for-sale Securities Sold
Available-for-sale securities sold during the fiscal years ended March 31, 2022 and 2023 were as follows:Year ended March 31, 2022
Amounts
Realized
Realized
sold
gains
lossesYear ended March 31, 2022
Amounts
Realized
Realized
sold
gains
losses(Unit: million yen)
(1) Bonds
a. Government bonds
b. Local government bondsc. Corporate bonds(2) Foreign securities
a. Foreign bonds
b. Other foreign securities
Total

782,720682,245
1,540
98,934
280,243
280,243－
1,062,964

72,63369,783
67
2,782
9,604
9,604
－
82,237

Amounts
soldRealized
gains

Year ended March 31, 2023
Realized
Amounts
Realized
lossessold
gains(Unit: million yen)
(1) Bonds
a. Government bonds
b. Local government bondsc. Corporate bonds(2) Foreign securities
a. Foreign bonds
b. Other foreign securities
Total

824,090754,274
3,471
66,344
442,523
442,523－
1,266,614

71,292
70,639
118
534
273
273
－
71,565(Unit: million yen)
22,625
21,166
－
1,458
5,182
5,182
－
27,808(1) Bonds
a. Government bonds
b. Local government bondsc. Corporate bonds(2) Domestic stocks(3) Foreign securities
a. Foreign bonds
b. Other foreign securities(4) Other securities
Total

6,171
5,648
25
496
3,314
3,314
－
9,485

533
529
0
3
2
2
－
535

3,331
96
0
3,235
166,752
138,254
52,56085,6942,926
311,266

Realized
losses(Unit: million US dollars)
1,997
330
14
1,652
38,56538,565－40,562

501,3806,801
815
493,763
328,773
3,871,570
2,843,392
1,028,177
308,3035,010,028

14
2
0
12
288
288
－
303

Amounts
soldRealized
gains

1,292
0
－
1,291
8,104
168,491
130,292
38,19928,868
206,756

Year ended March 31, 2023
Realized
Amounts
Realized
lossessold
gains(Unit: million yen)
(1) Bonds
a. Government bonds
b. Local government bondsc. Corporate bonds(2) Domestic Stocks(3) Foreign securities
a. Foreign bonds
b. Other foreign securities(4) Other securities
Total

8.

1,596,530
955,692－
640,837
265,715
5,954,794
5,468,350
486,444277,663
8,094,704

118,704
115,957－
2,747
143,065
234,892
153,886
81,0063,560
500,223

Realized
losses(Unit: million US dollars)
25,967302－
25,664
5,127
431,598
407,571
24,026
13,323476,016

11,956
7,157
－
4,799
1,989
44,59540,952
3,642
2,079
60,620

888
868
－
20
1,071
1,759
1,152
606
26
3,746

194
2
－
192
38
3,232
3,052
179
99
3,564

Securities Written Down
The Company and its consolidated subsidiaries write down the balance of certain available-for-sale securities with fair values(1) when the fair value of such securities declines by 50%, or more, of its purchase cost or (2) when the fair value of suchsecurities without a certain level of creditworthiness declines by 30% or more, but less than 50%, of its purchase cost unless it isdeemed that there is a possibility that the fair value of the security could recover to equal or exceed the purchase cost. The
aggregate amounts written down from the balance of available-for-sale securities with fair value for the fiscal years ended March
31, 2022 and 2023 were ¥6,662 million and ¥20,970 million (US$157 million) (¥20,970 million (US$157 million) of securities),
respectively.

XI. MONEY HELD IN TRUST
1.

Money Held in Trust for Trading2022

As of March 31,2023(Unit: million yen)
Carrying amount on the consolidated balance sheet
Gains (losses) on valuation of money held in trust

173 Dai-ichi Life Holdings

1,106,918(1,826)911,246(2,999)2023(Unit: million
US dollars)
6,824
(22)

Integrated Report174Foreign currency index
linkedTotal

XII. DERIVATIVE TRANSACTIONS
1.

Derivative Transactions (Hedge Accounting Not Applied)(1) Currency-related transactions

Over
1 yearincludedin (A)

U.S. dollar
PutEuro
Bought:Call
U.S. dollar
Put
U.S. dollar
Euro
Total return swaps:

175 Dai-ichi Life Holdings

17,893

17,893–––24,062As of March 31, 2023
Fair
value

Gains
(losses)(Unit: million yen)Exchange-traded transactions:
Currency futures:
Sold
Euro / U.S. dollar
British pound / U.S. dollar
Yen / U.S. dollar
Over-the-counter transactions:
Foreign currency forward
contracts:
Sold
U.S. dollar
Australian dollar
Euro
British pound
Canadian dollar
OthersBoughtU.S. dollar
Euro
Australian dollar
British pound
Canadian dollar
OthersCurrency swaps:
Receipts foreign currency,
payments yen
Australian dollar
U.S. dollar
Receipts yen,
payments foreign currency
U.S. dollar
Receipts foreign currency,
payments foreign currency
Australian dollar / U.S.
dollarAustralian dollar / Euro
Currency options:
Sold:
Call

183,394

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for forward contracts and swaps, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in"Gains (losses)".

As of March 31, 2022
(A)
Notional
amount/contractvalue

183,394(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(A)
Notional
amount/contract
value(Unit: million yen)
21,246
10,401
7,762
3,082

－
－
－
－

(198)
(58)
(184)
43

(198)
(58)
(184)
43

1,969,641
884,748589,928
171,095
139,978
75,940107,948
793,145523,260
117,246
41,591
34,661
23,37553,009

－
－
－
－
－
－
－
－
－
－
－
－
－
－

(75,461)(35,441)(27,597)(4,816)(2,663)(3,553)(1,388)15,246
7,962
2,790
2,036
561
1,380
513

(75,461)(35,441)(27,597)(4,816)(2,663)(3,553)(1,388)15,246
7,962
2,790
2,036
561
1,380
513

551,332
465,032
86,300551,232
464,932
86,30070,22160,9179,303

70,22160,9179,303

27,165
27,165

21,795
21,795(2,969)(2,969)(2,969)(2,969)54,792

20,139

(325)

(325)

38,29917,905

(338)

(338)

16,493

2,234

13

13

10,581[－]
10,581[－]
10,561[227]
10,561[227]
52,905[－]52,905[－]239,967[837]
130,202[256]
109,765
[580]

－

－

－

－

－

－

－

66

160

－

66

160

－

－

－

－

－

－

－

333

(503)

－

0

(256)

－

333

(246)

Exchange-traded transactions:
Currency futures:Sold
20,040British pound / U.S. dollar
9,216Euro / U.S. dollar
7,818
Yen / U.S. dollar
3,005
Foreign currency forward
contracts:
Sold
1,123,673
U.S. dollar
493,884
Australian dollar
268,371Euro
135,072
British pound
125,642
Canadian dollar
41,635
Others
59,067
Bought162,641
U.S. dollar
98,714
British pound
23,971Euro
11,735
Canadian dollar
5,217Australian dollar
3,846
Others19,155Currency swaps:
Receipts foreign
437,940
currency, payments yen
Australian dollar
355,640
U.S. dollar
82,300Receipts yen, payments
7,590
foreign currency
U.S. dollar
7,590
Receipts foreign
currency, payments foreign
75,904currency
Australian dollar / U.S.
60,109dollarAustralian dollar / Euro
15,794Currency options:
Sold:
Call
49,272[311]
U.S. dollar
49,272[311]
BoughtPut
188,951[4,283]
U.S. dollar
138,564[3,109]Australian dollar
50,387[1,174]
Total return swaps:
Foreign currency index linked
111,216
Total
–

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(Unit: million US dollars)

－
－
－
－

(64)
176
(101)
(139)

(64)
176
(101)
(139)

150
69
58
22

－
－
－
－

(0)
1
(0)
(1)

(0)
1
(0)
(1)

－
－
－
－
－
－
－
－
－
－
－
－
－
－

(10,908)(3,904)
1,669(3,545)(5,061)
0
(67)
392
55
201
78
14
7
35

(10,908)(3,904)
1,669(3,545)(5,061)
0
(67)
392
55
201
78
14
7
35

8,415
3,698
2,009
1,011
940
311
442
1,218
739
179
87
39
28
143

－
－
－
－
－
－
－
－
－
－
－
－
－
－

(81)
(29)
12
(26)
(37)
0
(0)
2
0
1
0
0
0
0

(81)
(29)
12
(26)
(37)
0
(0)
2
0
1
0
0
0
0

422,481

29,62929,629

3,279

3,163

221

221

340,18182,30018,015
11,61418,015
11,614

2,663
616

2,547
616

134
86

134
86

5,651

(1,343)(1,343)

56

42

(10)

(10)

5,651

(1,343)(1,343)

56

42

(10)

(10)

73,028(1,071)(1,071)

568

546

(8)

(8)

59,411(1,048)(1,048)

450

444

(7)

(7)

13,616

(23)

(23)

118

101

(0)

(0)

－

115

195

－

0

1

－

115

195

－

0

1

－

1,345

(2,938)

－

10

(22)

－

829

(2,279)

－

6

(17)

－

515

(659)

－

3

(4)

80,601

9,369

–

–

9,369
23,260

70
174

368
[2]
368
[2]
1,415
[32]
1,037
[23]
377
[8]
832

603

70

–

–

–

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for forward contracts and swaps, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in

Integrated Report176

(3) Stock-related transactions"Gains (losses)".

(2) Interest-related transactions

As of March 31, 2022

As of March 31, 2022
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value

(A)
Notional
amount/contract
value

Gains
(losses)

Total

344,395

344,395

7,573

7,573

15,751

15,751

(163)

(163)

1,340,000 1,030,000[7,698][7,216]––24,329–Exchange-traded transactions:
Yen stock index futures:
Sold
BoughtForeign currency-denominatedstock index futures:
Sold
BoughtYen stock index options:
Bought:Put

16,63024,040Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for swaps, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in "Gains (losses)".

As of March 31, 2023
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(A)
Notional
amount/contract
value(Unit: million yen)Over-the-counter transactions:
Yen interest rate swaps:
Receipts fixed, Payments
floating
Receipts floating,
Payments fixed
Yen interest rate swaptions:
Bought:Receipts fixed, Payments
floating
Receipts floating,
Payments fixed
Total

27,446
10,00027,446
10,000Over
1 yearincludedin (A)

Fair
value

Gains
(losses)338(1,232)

205

205

(9)

(9)

74

1,049
[2]

[－]

0

(2)

14,032
[154]

4,755
[53]

254

–

–

–

100
91

[－]

75

(295)

1,873,766[20,670]635,000[7,108]34,028–––13,358
12,168

2

Bought:Call

338

140,206[371]

74

Foreign currency-denominatedstock index options:
Sold:
Call
Put

(Unit: million US dollars)(1,232)

Fair
value

Gains
(losses)(Unit: million yen)

(Unit: million yen)Over-the-counter transactions:
Yen interest rate swaps:
Receipts fixed, Payments
floating
Receipts floating,
Payments fixed
Yen interest rate swaptions:
Bought:Receipts floating,
Payments fixedOver
1 yearincludedin (A)

2

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for swaps, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in "Gains (losses)".

Put
Over-the-counter transactions:
Yen stock index options:
Bought:Put
Foreign currency-denominatedstock index options:
Sold:
Call
Put
Bought:Call
PutTotal return swaps:
Foreign currency-denominatedstock index linked
Total

37,3507,066－－(3,754)497(3,754)497

61,36867,819－－(4,084)2,921(4,084)
2,921

326,849[7,554]

4,915
[645]

3,670

(3,883)－63,964(30,991)

－

227

266

596,866[42,644]
74,726[5,119]－21,990[1,940]76,86334,2193,654(1,465)

1,916
[630]

1,916
[630]

118

(511)

－

24,446(15,165)

－

74

47

32,806

17,4008,457(9,384)

616,379[32,972]
11,392[494]

179,179[9,281]3,285[122]
226,983[15,405]
138,870[17,842]

20,578[1,011]70,898[10,593]

161,861

4,237(3,577)(3,577)–––(17,464)

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for forward contracts, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in "Gains(losses)".

177 Dai-ichi Life Holdings

Integrated Report178

(4) Bond-related transactions

As of March 31, 2023
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(A)
Notional
amount/contract
value(Unit: million yen)Exchange-traded transactions:
Yen stock index futures:
Sold
BoughtForeign currency-denominatedstock index futures:
Sold
BoughtYen stock index options:
Bought:Put
Foreign currency-denominatedstock index options:
Sold:
Call
Put
Bought:Call
PutOver-the-counter transactions:
Yen stock index options:
Bought:Put
Foreign currency-denominatedstock index options:
Sold:
Call
Put
Bought:Call
PutTotal return swaps:
Foreign currency-denominatedstock index linked
Total

7,832
8,782

－
－

41,36466,306－－

335,865[4,826]

2,452
[386]

499,892[32,119]
17,159[863]－－

474,773[40,721]76,932[3,474]

－
9,726
[250]

2,210
[727]

378,527[27,078]
7,260
[412]

29
(67)

(579)
552

2,636

12,776
584

29
(67)

58
65

309
496

－
－

(2,189)

2,515
[36]

18
[2]

19,343
278

3,743
[240]
128
[6]

(597)

2,210
[727]

110

(617)

16
[5]

－

13,605

13,473

－

305

106

18,578(17,847)

7,835

36,711[1,662]39,032[6,448]67,061

5,513

448

–

–

–

－
－

(579)
552

2,876

427,637[36,426]
89,696[12,838]

As of March 31, 2022
Fair
value

(22,839)

Notional
amount/contract value

Gains(losses)

0
(0)

(4)
4

19

0
(0)

(4)
4

(16)

Exchange-traded transactions:
Yen bond futures:
Sold
BoughtForeign currency-denominated bondfutures:
Sold
BoughtOver-the-counter transactions:
Foreign currency-denominated bondforward contracts
Sold
BoughtYen bond OTC options:
Sold:
Call
Put

－
－

95
4

144
2

Bought:
Call
Put

－
72
[1]

Fair
value

Gains
(losses)(Unit: million yen)

(Unit: million US dollars)

3,555
[304]
576
[26]

17,881Over
1 yearincludedin (A)

133

(171)
Total

21

(4)

16
[5]

0

(4)

2,834
[202]
54
[3]

－

101

100

－

2

0

274
[12]
292
[48]

139

(133)

(5,002)

3,202
[272]
671
[96]

58

(37)

448

502

41

3

3

(15,508)

–

–

–

(116)

27,04862,543

102
(268)

102
(268)

481,516
628,681

11,606(14,638)

11,606(14,638)

87,693
126,8112,357(3,872)

2,357(3,872)

16

31

246

(64)

41

(112)

60

7
(4,850)19,200[48]
41,988[181]
41,988[154]
19,200[53]––

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for futures and forward contracts, and differences between the option premiums paid/received and fair value of the option, are shown in "Gains (losses)".
3. There were no transactions with maturity of more than one year in the table above.

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for forward contracts, and differences between the option premiums paid/received and fair value of the option for option transactions, are shown in "Gains(losses)".

179 Dai-ichi Life Holdings

Integrated Report180

(5) Others

As of March 31, 2023
Notional
amount/contract value

Fair
value

Gains
(losses)(Unit: million yen)Exchange-traded transactions:
Yen bond futures:
Sold
BoughtForeign currency-denominated bondfutures:
Sold
BoughtOver-the-counter transactions:
Foreign currency-denominated bondforward contracts
BoughtYen bond OTC options:
Sold:
Call
Put
Bought:
Call
Put
Total

Notional
amount/contract value

Fair
value

As of March 31, 2022

Gains
(losses)(A)
Notional
amount/contract
value(Unit: million US dollars)

34,941
63,695

(310)
1,033

(310)
1,033

261
477

(2)
7

(2)
7

52,694
394,754

343
321

343
321

394
2,956

2
2

2
2

204,873

29,124[25]
95,842[341]
95,842[296]
29,124[33]–(4,121)(4,121)

72

(47)

102

239

554

257

0

(32)
(2,315)

–

1,534

(30)

(30)

0

(0)

218
[0]
717
[2]

Fair
value

Gains
(losses)(Unit: million yen)Over-the-counter transactions:Credit default swaps:
Sold protection
Bought protection
Others:Embedded derivatives
Total

46,842
3,000

9,862
－

390
(20)

390
(20)

2,193,280 2,193,280 (191,357) (191,357)

–

–

–

(190,987)

Note: 1. Embedded derivatives are guaranteed minimum portion and others of variable annuity products, which are classified as embedded derivatives by certain overseas
subsidiaries under local accounting standards.
2. Fair value is shown in "Gains (losses)".

As of March 31, 2023

717
[2]
218
[0]

–

Over
1 yearincludedin (A)

–

0

1

4

1

0

(0)
(17)

Note: 1. Figures in [ ] are amounts of option premiums which are included in the consolidated balance sheet.
2. Fair value for futures and forward contracts, and differences between the option premiums paid/received and fair value of the option, are shown in "Gains (losses)".
3. There were no transactions with maturity of more than one year in the table above.

(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(A)
Notional
amount/contract
value(Unit: million yen)Over-the-counter transactions:Credit default swaps:
Sold protection
Bought protection
Others:Embedded derivatives
Total

85,1347,000

41,548
7,000

596
(40)

2,603,690 2,603,690

–

–

Over
1 yearincludedin (A)

Fair
value

Gains
(losses)(Unit: million US dollars)

596
(40)

637
52

311
52

4
(0)

4
(0)

(56,581)(56,581)

19,49819,498

(423)

(423)

–

(56,025)

–

–

–

(419)

Note: 1. Embedded derivatives are guaranteed minimum portion and others of variable annuity products, which are classified as embedded derivatives by certain overseas
subsidiaries under local accounting standards.
2. Fair value is shown in "Gains (losses)".

181 Dai-ichi Life Holdings

Integrated Report1822. Derivative Transactions (Hedge Accounting Applied)

As of March 31, 2023
(A)
Notional
amount/contract
value(1) Currency-related transactions
As of March 31, 2022
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value(Unit: million yen)
Deferral hedge:
Foreign currency forward contracts to hedge foreign currency-denominated bonds
Bought74,637－
10,310Australian dollar
74,637－
10,310Currency swaps to hedge foreign currency-denominated bonds:
Receipts yen, payments foreign
currency
192,809
175,356(13,639)
U.S. dollar
115,499
104,077(8,735)Euro
65,38259,351(4,488)British pound
11,927
11,927(415)
Currency swaps to hedge foreign currency risks associated with funding
agreement:
Receipts foreign currency, payments
foreign currency
13,477
13,477(1,461)
Norway krone / U.S. dollar
13,477
13,477(1,461)
Fair value hedge:
Foreign currency forward contracts to hedge foreign currency-denominated bonds:
Sold5,839,213－(474,485)
U.S. dollar
2,940,436－(273,968)Euro
1,302,139－(47,364)
Australian dollar
806,327－(92,374)
Canadian dollar
412,680－(34,194)
British pound
154,103－(9,791)Others
223,525－(16,791)
Bought151,085－
10,230U.S. dollar
109,969－
7,484
Australian dollar
10,488－475
Canadian dollar
7,823
－
160
British pound
618
－
3
Euro
477
－
22
Others21,707－2,082
Foreign currency forward contracts, etc., allocated to and/or combined withcorresponding hedged items:
Foreign currency forward contracts to hedge foreign currency-denominated term
deposits:
Sold
223,000－
New Zealand dollar
150,000－
U.S. dollar
73,000－Currency swaps to hedge foreign currency-denominated bonds payable andloans:
Receipts foreign currency,
payments yen
368,715368,715
Foreign currency-denominatedbonds payable:
U.S. dollar
368,715368,715
Receipts yen, payments foreign
currency
26,877
23,608Foreign currency-denominatedloans:
U.S. dollar
24,491
23,608
Euro
2,385
－

183 Dai-ichi Life HoldingsOver
1 yearincludedin (A)(Unit: million yen)

Fair
value

(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Fair
value(Unit: million US dollars)

Deferral hedge:
Currency swaps to hedge foreign currency-denominated bonds:
Receipts yen, payments foreign
currency
310,111
297,161(15,273)
2,322
U.S. dollar
207,737
205,890(11,073)1,555
Euro
82,801
71,698(5,074)620
British pound
19,572
19,572873
146
Currency swaps to hedge foreign currency risks associated with funding agreement:
Receipts foreign currency, payments
foreign currency
15,54915,549(2,018)116
Norway krone / U.S. dollar
15,54915,549(2,018)116
Fair value hedge:
Foreign currency forward contracts to hedge foreign currency-denominated bonds:
Sold
2,243,706－(57,587)
16,803
U.S. dollar
998,694－(42,438)
7,479
Australian dollar
640,128
－
1,316
4,793
Euro
480,482－(14,633)
3,598
Canadian dollar
36,023－(769)
269
British pound
34,167－(1,325)255
Others54,210－
262
405
Bought
94,813
－
973
710
Euro
42,573－
1,035
318
U.S. dollar
36,963－(26)
276
Canadian dollar
13,472－(67)
100
British pound
567
－
26
4
Australian dollar
67
－
(1)
0
Others1,169－
8
8Foreign currency forward contracts, etc., allocated to and/or combined with corresponding hedged items:
Foreign currency forward contracts to hedge foreign currency-denominated term deposits:
Sold
5,000
－
37
U.S. dollar
5,000
－
37
Currency swaps to hedge foreign currency-denominated bonds payable and loans:
Receipts foreign currency,
payments yen
368,715368,715
2,761
Foreign currency-denominatedbonds payable:
U.S. dollar
368,715368,715
2,761
Receipts yen, payments foreign
currency
22,878
12,958171
Foreign currency-denominatedloans:
U.S. dollar
22,878
12,958
171

2,225
1,541
536
146

(114)
(82)
(37)
6

116
116

(15)
(15)

－
－
－
－
－
－
－
－
－
－
－
－
－
－

(431)
(317)
9
(109)
(5)
(9)
1
7
7
(0)
(0)
0
(0)
0

－
－

2,761

2,761
97

97

Integrated Report184

(2) Interest-related transactions

XIII. EMPLOYEES' RETIREMENT BENEFITS
As of March 31, 2022
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

1.

As a defined benefit plan for its sales representatives, DL has established and maintained a benefit plan consisting of
retirement lump sum grants and company administered pension. For its administrative personnel, DL has established andmaintained a benefit plan consisting of defined benefit corporate pension and retirement lump sum grants as a defined benefit
plan and defined contribution pension as a defined contribution plan.
Certain consolidated overseas subsidiaries have maintained their defined benefit plan and defined contribution plan.
Certain domestic consolidated subsidiaries participate in corporate pension fund plans administered by multiple employers. As
the amount of pension assets corresponding to their contributions cannot be reasonably calculated, they are accounted for in thesame manner as the defined contribution plans.

Fair
value

(Unit: million yen)
Deferral hedge:
Yen interest rate swaps to hedge loans and insurance liabilities:
Receipts fixed, payments floating
714,600
710,600
Special hedge accounting:Yen interest rate swaps to hedge loans:
Receipts fixed, payments floating
8,300
8,300
Yen interest rate swaps to hedge loans payable:
Receipts floating, payments fixed
325,000
181,000

Overview of Employees' Retirement Benefit Plan of the Group

(516)

2.

81

Defined Benefit Plans(1) Reconciliations of beginning and ending balances of projected benefit obligations
Year ended March 31,
2022
2023

503

As of March 31, 2023
(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)(A)
Notional
amount/contract
value

Fair
value

(Unit: million yen)
Deferral hedge:
Yen interest rate swaps to hedge loans and insurance liabilities:
Receipts fixed, payments floating
710,600
710,600
Special hedge accounting:Yen interest rate swaps to hedge loans:
Receipts fixed, payments floating
8,300
2,300
Yen interest rate swaps to hedge loans payable:
Receipts floating, payments fixed
245,000
245,000(Unit: million yen)Over
1 yearincludedin (A)

Fair
value(Unit: million US dollars)(27,155)

5,321

5,321

(203)

53

62

17

0

1,204

Fair
value

(Unit: million yen)
Deferral hedge:
Interest rate and Currency swaps tohedge bonds payable:
Receipts floating, payments fixed

7,085

7,085

1,834

1,834

9

(A)
Notional
amount/contract
value

Over
1 yearincludedin (A)

Beginning balance of pension assets
Estimated return on assets
Accruals of actuarial (gains) and losses
Contributions from the employer
Payment of retirement benefits
OthersEnding balance of pension assets

Fair
value

(Unit: million US dollars)

485

53

53

3

Year ended March 31,2023(Unit: million yen)313,266
4,131
19,594
8,319(12,661)
3,716
336,366

336,366
4,490
(247)
8,965
(13,449)
6,034
342,159

2023(Unit: million
US dollars)
2,519
33
(1)
67
(100)
45
2,562

(3) Reconciliations of year-end balance of projected benefit obligations and pension assets, and net defined benefit
liabilities and assets that have been recorded in the consolidated balance sheet
Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Projected benefit obligation for funded pensions
402,530
388,2132,907
Pension assets(336,366)(342,159)(2,562)
66,16446,053344
Projected benefit obligation for unfunded pensions
326,357
321,754
2,409
Net of assets and liabilities recorded in the consolidated balance sheet
Net defined benefit liabilities
Net defined benefit assets
Net of assets and liabilities recorded in the consolidated balance sheet

185 Dai-ichi Life Holdings

728,888
26,878
3,339(10,404)(45,326)
6,592
709,968

Note: Retirement benefit expenses for consolidated subsidiaries adopting the simplified method are included in "Service cost".

2022

As of March 31, 2023
Over
1 yearincludedin (A)

731,81228,343
2,990(781)(37,579)
4,102
728,888(2) Reconciliations of beginning and ending balances of pension assets(3) Interest and currency-related transactions(A)
Notional
amount/contract
value

Beginning balance of the projected benefit obligations
Service cost
Interest costAccruals of actuarial (gains) and losses
Payment of retirement benefits
OthersEnding balance of the projected benefit obligation

2023(Unit: million
US dollars)
5,458
201
25
(77)
(339)
49
5,316

392,522392,522367,808
367,808

2,754
2,754

－

－

–

392,522367,808

2,754

Integrated Report

186

3.

(4) Amount of the components of retirement benefit expenses
2022

Year ended March 31,2023(Unit: million yen)
Service cost
Interest cost
Expected return on assets
Expense of actuarial (gains) and losses
Amortization of past service cost
OthersRetirement benefit expenses for defined benefit plans

28,343
2,990(4,131)
4,798
174
258
32,434

26,8783,339(4,490)
9,605
175
218
35,7282023(Unit: million
US dollars)
201
25
(33)
71
1
1
267

Defined Contribution Plans
Required amounts of contribution to defined contribution plans of consolidated subsidiaries for the fiscal years ended March
31, 2022 and 2023 were ¥2,873 million and ¥3,217 million (US$24 million), respectively.

4.

Plans Administered by Multiple Employers
Required amount of contribution to corporate pension fund plans, which are accounted for in the same manner as the defined
contribution plans, for the fiscal year ended March 31, 2023 was ¥27,555 million (US$206 million).
(1) Funding status for the entire plan
2022

Year ended March 31,
2023－

77,272

2023(Unit: million
US dollars)
578－

75,263

563

－

2,008

15

(Unit: million yen)

Note: Retirement benefit expenses for consolidated subsidiaries adopting the simplified method are included in "Service cost".

(5) Remeasurements of defined benefit plans
Breakdown of items recorded in remeasurements of defined benefit plans (before applicable tax effect) was as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Past service cost
151
172
1
Actuarial gains (losses)
24,94820,011
149
Total
25,10020,184151(6) Accumulated remeasurements of defined benefit plans
Breakdown of items recorded in accumulated remeasurements of defined benefit plans (before applicable tax effect) was
as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Unrecognized past service cost
1,187
1,015
7
Unrecognized actuarial gains (losses)(12,920)(32,819)
(245)
Total
(11,733)(31,803)(238)

Amount of pension assets
Total of actuarial liability for pension financing calculation and amountof minimum policy reserve
Difference(2) Percentage of contributions by the Group to the entire plan
Fiscal year ended March 31, 2023: 0.14% (From April 1, 2022 to March 31, 2023)(3) Supplementary Explanation
The main factors for the difference in (1) above are special reserve for pension financing calculation of ¥1,617 million (US$12
million) and a surplus of ¥390 million (US$2 million) for the fiscal year ended March 31, 2023.
The percentage in (2) above does not match the actual percentage borne by the Group.
The above data was prepared based on the latest information available as of the date of preparation of the consolidated
financial statements.

(7) Pension assetsa) The main components of the pension assets
Ratios of the major assets to the total pension assets were as follows:Year ended March 31,
2022
2023
Stocks64%
50%
Assets under joint management
19%
16%
Bonds
6%
22%
Life insurance general account
1%
3%
Others
10%
9%
Total
100%
100%
Note: The proportion of retirement benefit trust to total pension assets that has been set for the unfunded retirement benefit plans as of March 31, 2022 and 2023 were 49% and52%, respectively.

b) The method of setting the expected long-term rate of return on pension assets
To determine the expected long-term rate of return on pension assets, the consolidated subsidiaries have taken into
account the allocation of pension assets at present and in future, and long-term rate of return on a variety of assets thatmake up the pension assets at present and in future.
(8) Calculation basis of actuarial gains and losses
Major assumptions of basis of actuarial calculation as of the fiscal year-end were as follows:Year ended March 31,
2022
2023
Discount rate
0.30to 2.95%
0.30 to 5.09%
Expected long-term rate of return
Defined benefit corporate pension
1.40 to 7.00%
1.40 to 6.75%
Employee pension trust
0.00%
0.00%

187 Dai-ichi Life Holdings

Integrated Report188

XIV. STOCK OPTIONS
1. Amount recorded as revenue due to forfeiture of stock options as a result of non-exercise of stock options
2022

As of March 31,2023(Unit: million yen)

Other ordinary revenues
2.

21a) Number of the stock options (shares)
2023(Unit: million
US dollars)－－

Details of the Stock Options Granted(1) Details of the stock options

Granted persons

Class and total
number (*1)
Grant date
Vesting conditions

Forfeited

－
－

－

－

－

－

－

－

－

－

－

23,800－69,800－52,600－Exercised

10,70019,60017,800August 16, 2012

August 16, 2013

Forfeited－－－

The acquisition rights are vestedon the above grant date.
N/A

The acquisition rights are vestedon the above grant date.
N/A

The acquisition rights are vestedon the above grant date.
N/A

Outstanding at the endof the fiscal year

13,10050,200From August 17, 2012 to August
16, 2042

From August 17, 2013 to August
16, 2043

The Dai-ichi Life Insurance
Company, Limited
4th Series ofStock Acquisition Rights
11 directors (except outside
directors) and 17 executive
officers of the Company

The Dai-ichi Life Insurance
Company, Limited
5th Series ofStock Acquisition Rights
11 directors (except outside
directors) and 18 executive
officers of the Company

Dai-ichi Life Holdings, Inc.
1st Series ofStock Acquisition Rights

110,600 shares of common stock

August 18, 2014

August 17, 2015

October 18, 2016

Vesting conditions

The acquisition rights are vestedon the above grant date.
N/A

The acquisition rights are vestedon the above grant date.
N/A

The acquisition rights are vestedon the above grant date.
N/A

From August 18, 2015 to August17, 2045

From October 19, 2016 to October18, 2046

Service period
coveredExercise period (*2) From August 19, 2014 to August
18, 2044

Dai-ichi Life Holdings, Inc.
2nd Series ofStock Acquisition Rights
6 directors (except directors
serving as Audit & Supervisory
Committee members and outside
directors) and 15 executive officersof the Company, and 37 directors,
etc. of the Company's subsidiaries
215,800 shares of common stock
August 24, 2017
The acquisition rights are vestedon the above grant date.
N/A

Service period
coveredExercise period (*2) From August 25, 2017 to August24, 2047(*1) It has been described in terms of the number of shares. The Company conducted a 1:100 share split on October 1, 2013. It is translated into the number of shares thattakes into account the share split.
(*2) A granted person can exercise stock acquisition rights only within 10 days from the day on which she/he loses status as any of a director (except director serving as
Audit & Supervisory Committee member) or an executive officer of the Company, DL, DFLI and Neo First Life. For stock options granted before the shift to a holding
company structure, the terms and conditions for the exercise period have been changed due to the shift to a holding company structure effective on October 1, 2016.

189 Dai-ichi Life Holdings－－

August 16, 2011

179,000 shares of common stock

Vesting conditions

VestedOutstanding at the endof the fiscal year
After vesting
Outstanding at the endof prior fiscal year
Vested－－The Dai-ichi Life Insurance
Company, Limited
3rd Series ofStock Acquisition Rights
11 directors (except outside
directors) and 17 executive
officers of the Company
183,700 shares of common stock

Class and total
number (*1)
Grant date

Class and total
number (*1)
Grant date

Before vesting
Outstanding at the endof prior fiscal year
GrantedThe Dai-ichi Life Insurance
Company, Limited
2nd Series ofStock Acquisition Rights
11 directors (except outside
directors) and 16 executive
officers of the Company
318,700 shares of common stock

10 directors (except directors
serving as Audit & Supervisory
Committee members and outside
directors) and 15 executive officersof the Company, and 38 directors,
etc. of the Company's subsidiaries
269,600 shares of common stock

Granted persons

The Dai-ichi Life Insurance Company, Limited
1st Series of
2nd Series of
3rd Series ofStock Acquisition Rights
Stock Acquisition Rights
Stock Acquisition Rights

The Dai-ichi Life Insurance
Company, Limited
1st Series ofStock Acquisition Rights
10 directors (except outside
directors) and 16 executive
officers of the Company
169,800 shares of common stock

Service period
coveredExercise period (*2) From August 17, 2011 to August
16, 2041

Granted persons(2) Figures relating to the stock options
The following table covers stock options which existed during the fiscal year ended March 31, 2023 and the total number ofstock options is translated to the number of shares of common stock.

The Dai-ichi Life Insurance Company, Limited
4th Series of
5th Series ofStock Acquisition Rights
Stock Acquisition Rights
Before vesting
Outstanding at the endof prior fiscal year
GrantedForfeited
VestedOutstanding at the endof the fiscal year
After vesting
Outstanding at the endof prior fiscal year
VestedExercised
Forfeited
Outstanding at the endof the fiscal year

34,800Dai-ichi Life Holdings, Inc.
1st Series ofStock Acquisition Rights

－
－

－
－

－
－

－

－

－

－

－

－

－

－

－

59,100－44,900－119,800－

22,00015,90035,700－－－37,10029,00084,100Dai-ichi Life Holdings, Inc.
2nd Series ofStock Acquisition Rights
Before vesting
Outstanding at the endof prior fiscal year
GrantedForfeited
VestedOutstanding at the endof the fiscal year
After vesting
Outstanding at the endof prior fiscal year
VestedExercised
Forfeited
Outstanding at the endof the fiscal year

－
－
－
－
－

131,500－
31,000－100,500

Note: The Company conducted a 1:100 share split on October 1, 2013. It is translated into the number of shares that takes into account the share split.

Integrated Report190

XV. DEFERRED TAX ACCOUNTINGb) Price information

Exercise price
Average stock price at thetime of exercise
Fair value at the grant date

Exercise price
Average stock price at thetime of exercise
Fair value at the grant date

Exercise price
Average stock price at thetime of exercise
Fair value at the grant date

The Dai-ichi Life Insurance Company, Limited
1st Series of
2nd Series of
3rd Series ofStock Acquisition Rights
Stock Acquisition Rights
Stock Acquisition Rights¥1 per stock option¥1 per stock option¥1 per stock option¥2,552 (US$19)¥885 (US$6)¥2,552 (US$19)¥766 (US$5)¥2,552 (US$19)¥1,300 (US$9)

The Dai-ichi Life Insurance Company, Limited
4th Series of
5th Series ofStock Acquisition Rights
Stock Acquisition Rights¥1 per stock option¥1 per stock option

Dai-ichi Life Holdings, Inc.
1st Series ofStock Acquisition Rights¥1 per stock option¥2,553 (US$19)¥1,366 (US$10)¥2,553 (US$19)¥2,318 (US$17)¥2,574 (US$19)¥1,344 (US$10)

Dai-ichi Life Holdings, Inc.
2nd Series ofStock Acquisition Rights¥1 per stock option¥2,572(US$19)¥1,568 (US$11)

Note: The Company conducted a 1:100 share split on October 1, 2013. It is translated into the number of shares that takes into account the share split.

3.

Method to Estimate the Number of Stock Options Vested
Only the actual number of forfeited stock options is considered, because it is difficult to rationally estimate the number of stock
options to be forfeited in the future.

1.

Major Components of Deferred Tax Assets and Liabilities
As of March 31,
2023

2022

(Unit: million yen)
Deferred tax assets:
Policy reserves and others

2023(Unit: million
US dollars)

475,841

484,410

3,627

3,459

211,468

1,583

139,537
80,28449,469121,477
870,070(36,974)(22,030)(59,005)
811,065

132,496
85,38049,383
130,692
1,093,831(28,186)(26,329)(54,515)
1,039,316

992
639
369
978
8,191
(211)
(197)
(408)
7,783

Deferred tax liabilities:
Net unrealized gains (losses) on securities, net of tax
Other intangible fixed assets(880,970)(72,925)(574,047)(93,935)(4,299)(703)

Evaluation difference related to business combination(29,992)(48,636)(364)(74,162)(1,058,050)(246,985)(119,499)(836,119)203,196(894)(6,261)
1,521

Net unrealized gains (losses) on securities, net of tax
Net defined benefits liabilities
Reserve for price fluctuations
Tax losses carried forward
OthersSubtotal of deferred tax assets
Valuation allowance on tax losses carried forward
Valuation allowance on total deductible temporary differences
Subtotal of valuation allowance
Total

OthersTotal
Net deferred tax assets (liabilities)
Note: 1. Tax loss carried forward and the deferred tax assets by carry forward period as follows:
As of March 31, 2022

(Unit: million yen)
Within 1 year

Over 1 to 2

Over 2 to 3

Over 3 to 4

Over 4 to 5

years

years

years

years

Over 5 years

Total

Tax losses carried forward (*1)

107

407

1,243

1,402

7,132

39,17549,469Valuation allowance

(84)

(388)

(1,233)(1,378)(6,995)(26,895)(36,974)

Deferred tax assets

22

19

10

24

137

12,280(*2)

12,494(*1) Tax loss carried forward is calculated by multiplying statutory effective tax rate.
(*2) Deferred tax assets of ¥12,494 million are recorded for tax losses carried forward of ¥49,469 million (calculated using the statutory effective tax rate). They are deemed
to be recoverable as it is expected that there will be taxable income in the future.
As of March 31, 2023
(Unit: million yen)
Within 1 year

Over 1 to 2

Over 2 to 3

Over 3 to 4

Over 4 to 5

years

years

years

years

Over 5 years

Total

Tax losses carried forward (*1)

406

453

290

4,887

85

43,26049,383

Valuation allowance

(375)

(435)

(256)

(4,452)(3)(22,663)(28,186)

Deferred tax assets

30

17

33

434

82

20,597(*2)

21,197(Unit: million US dollars)Within 1 year

Over 1 to 2

Over 2 to 3

Over 3 to 4

Over 4 to 5

years

years

years

years

Over 5 years

Total

Tax losses carried forward (*1)

3

3

2

36

0

323

369

Valuation allowance

(2)

(3)

(1)

(33)

(0)

(169)

(211)

Deferred tax assets

0

0

0

3

0

154

(*2)

158

(*1) Tax loss carried forward is calculated by multiplying statutory effective tax rate.
(*2) Deferred tax assets of ¥21,197 million (US$158 million) are recorded for tax losses carried forward of ¥49,383 million (US$369 million) (calculated using the statutory
effective tax rate). They are deemed to be recoverable as it is expected that there will be taxable income in the future.

191 Dai-ichi Life Holdings

Integrated Report

192

2.

The Principal Reasons for the Difference between the Statutory Effective Tax Rate and Actual Effective
Tax Rate after Considering Deferred Taxes

Statutory effective tax rate
(Adjustments)
Increase (decrease) in valuation allowance
Difference in tax rate of subsidiaries
Reversal of revaluation reserve for land
OthersActual effective tax rate after considering deferred taxes

As of March 31,
2022
2023
30.62%－(10.63)%(3.78)%(2.40)%(0.10)%
13.71

－
－
－
－
－

Note: The note of the fiscal year ended March 31, 2023 is omitted because the difference between the statutory effective tax rate and actual effective tax rate after considering
deferred taxes were 5% or less than the statutory effective tax rate as of the end of the current fiscal year.

3.

Accounting for corporate tax and local corporate tax or deferred tax accounting relating to these taxes.
Effective the fiscal year ended March 31, 2023, the Company and its certain domestic consolidation subsidiaries haveadopted the Group Tax Sharing System, in which the Company is the tax sharing parent company. The Company and its certain
domestic consolidation subsidiaries have applied the accounting and disclosure treatment of corporate tax, local corporate tax
and deferred tax accounting in accordance with "Practical Solution on the Accounting and Disclosure Under the Group Tax
Sharing System" (ASBJ PITF No. 42 issued on August 12, 2021).

XVI. BUSINESS COMBINATION AS A RESULT OF ACQUISITION(1) TAL Life Insurance Services Limiteda) Overview of the business combinationi) Name and business of the acquired company
Company name: TAL Life Insurance Services Limited (*)
Business: Life insurance and related businessesii) Purpose of the business combination
The acquisition aims for business expansion by accessing the Westpac Banking Corporation’s customer base andthe reduction of capital cost and profit growth through the expansion of risk-taking focusing on insurance risk.
iii) Date of business combination
August 1, 2022iv) Legal form of the business combination
Purchase of sharesv) Name of the acquired company after the combination
TAL Life Insurance Services Limited (*)vi) Ratio of voting rights acquired
100%vii) Main reason for determining the controlling company
TAL Dai-ichi Life Australia Pty Limited (“TDLA”), a consolidated subsidiary of the Company, was determined to be thecontrolling company as it owns 100% of voting rights in TAL Life Insurance Services Limited (*).
(*) TAL Life Insurance Services Limited changed its name from Westpac Life Insurance Services Limited after
the acquisition.
b) The period for which the results of the acquired company were included in the consolidated financial statements
From August 1, 2022 to March 31, 2023c) Acquisition costs
Consideration for the acquisition

Cash

AUD957 million

Acquisition costs

AUD957 milliond) Major acquisition-related expenses
Advisory fees, etc.
AUD23 millione) Amount of goodwill, reason for recognition of goodwill, amortization method and period
No goodwill or bargain purchase have been recognized.
f) Assets received and liabilities assumed on the date of the business combination
Total assets

AUD3,505 million[Securities

AUD1,685 million][Other assets

AUD875 million]

Total liabilities[Policy reserves and others

AUD2,547 million
AUD2,425 million](g) Allocation of acquisition cost
Since TDLA has not yet completed the allocation of acquisition cost, a tentative accounting treatment was made, based onreasonable information available at that point.
(2) Partners Group Holdings Limiteda) Overview of the business combinationi) Name and business of the acquired company
Company name: Partners Group Holdings Limited
Business: Life insurance and related businesses (*)(*) Partners Group Holdings Limited is a holding company, and its subsidiary is engaged in life insurance business, etc.
ii) Purpose of the business combination
The acquisition aims to build a platform for stable growth in a developed market, strengthen the overseas businessportfolio through geographic diversification, and improve risk profile and achieve profit growth through the expansion ofrisk-taking focusing on insurance risk.
iii) Date of business combination
November 30, 2022iv) Legal form of the business combination

193 Dai-ichi Life Holdings

Integrated Report194Purchase of sharesv) Name of the acquired company after the combination
Partners Group Holdings Limitedvi) Ratio of voting rights acquired
100%vii) Main reason for determining the controlling company
Dai-ichi Life International Holdings LLC (“DLIHD”), a consolidated subsidiary of the Company, was determined to be thecontrolling company as it owns 100% of voting rights in Partners Group Holdings Limited.

Purchase of sharesv) Name of the acquired company after the combination
ipet Holdings, Inc.
vi) Ratio of voting rights acquired
100%vii) Main reason for determining the controlling company
The Company was determined to be the controlling company as it owns 100% of voting rights in ipet Holdings, Inc.
b) The period for which the results of the acquired company were included in the consolidated financial statements
From January 1, 2023 to March 31, 2023

b) The period for which the results of the acquired company were included in the consolidated financial statements
From January 1, 2023 to March 31, 2023c) Acquisition costs
Consideration for the acquisitionc) Acquisition costs
Consideration for the acquisitionCash￥39,015 million

Cash

NZD1,002 million￥39,015 million

Acquisition costs
Acquisition costs

NZD1,002 milliond) Major acquisition-related expenses
Advisory fees, etc.
￥751 milliond) Major acquisition-related expenses
Advisory fees, etc.
NZD25 millione) Amount of goodwill, reason for recognition of goodwill, amortization method and periodi) Amount of goodwill￥15,990 millionii) Reason for recognition of goodwill
The investment value reflecting the future profit expected in the calculation of the acquisition price exceeded the net
amount of assets received and liabilities assumed at the business combination.
iii) Amortization method and period
Amortized over 15 years under the straight-line method.

e) Amount of goodwill, reason for recognition of goodwill, amortization method and periodi) Amount of goodwill
NZD247 millionii) Reason for recognition of goodwill
The investment value reflecting the future profit expected in the calculation of the acquisition price exceeded the
net amount of assets received and liabilities assumed at the business combination.
iii) Amortization method and period
Amortized over 20 years under the straight-line method.

f) Assets received and liabilities assumed on the date of the business combination
Total assets￥50,370 millionf) Assets received and liabilities assumed on the date of the business combination
Total assets

NZD1,105 million

Total liabilities

NZD556 million]g) Amount allocated to intangible fixed assets other than goodwill, its breakdown by type and total weighted averageamortization period by type
AmountWeighted average amortization period

Value of in-force insurance contracts

NZD433 million

Total

NZD433 milliong) Amount allocated to intangible fixed assets other than goodwill, its breakdown by type and total weighted averageamortization period by type
Type
AmountWeighted average amortization period
Value of in-force insurance contracts￥24,695 million

Total￥24,695 million

10 years

20 yearsh) Allocation of acquisition cost
Since DLIHD has not yet completed the allocation of acquisition cost, a tentative accounting treatment was made, basedon reasonable information available at that point.
(3) ipet Holdings, Inc.
a) Overview of the business combinationi) Name and business of the acquired company
Company name: ipet Holdings, Inc.
Business: Pet insurance and related businesses (*)(*) ipet Holdings, Inc. is a holding company, and its subsidiary is engaged in pet insurance business, etc.
ii) Purpose of the business combination
The Group has set in its medium-term management plan the four areas (protection, asset formation and succession,
health promotion, and enhancing connections) in its domestic business. In the area of “enhancing connections”, which
comprises non-life insurance and QOL areas, the Group aims to contact customers who had been out of reach in the“protection” area that focuses on conventional life insurance.
iii) Date of business combination
January 17, 2023
iv) Legal form of the business combination

195 Dai-ichi Life Holdings]

NZD1,184million[Policy reserves and othersType￥17,027 million[Policy reserves and others]]￥27,343 million

Total liabilities

NZD2,209 million[Other assets￥25,335 million[Intangible fixed assetsh) Allocation of acquisition cost
Since the Company has not yet completed the allocation of acquisition cost, a tentative accounting treatment was made,based on reasonable information available at that point.

XVII. ASSET RETIREMENT OBLIGATIONS
1.

Overview of Asset Retirement Obligations
The note is omitted because the balance of the asset retirement obligations as of the beginning and that as of the end of thecurrent fiscal year were 1% or less than the total balance of the liabilities and the net assets as of the beginning and that as of theend of the current fiscal year, respectively.

XVIII. REAL ESTATE FOR RENT
Certain domestic consolidated subsidiary owns a number of commercial buildings, including land, for rent in various locations
including Tokyo. Net rental income from such real estate for rent for the fiscal year ended March 31, 2022 and 2023 were ¥32,303
million and ¥25,607 million (US$191 million), respectively. The rental income was included in investment income and the rental
expense was included in investment expenses. Impairment losses on rental real estate as extraordinary losses for the fiscal year
ended March 31, 2022 and 2023 were ¥3,848 million and ¥15,829 million (US$118 million), respectively. Losses on sale of rental
real estate as extraordinary losses was ¥4,127 million for the fiscal year ended March 31, 2022.Gains on sale of rental real estate as
extraordinary gains was ¥602 million (US$4 million) for the fiscal year ended March 31, 2023.

Integrated Report

196

The carrying amount, net change during the year and the market value of such rental real estate were as follows:

2022

Year ended March 31,2023(Unit: million yen)
Carrying amount:
Beginning balance
Net change during year
Ending balanceMarket value

XIX. SEGMENT INFORMATION AND OTHERS
1.

2023(Unit: million
US dollars)

787,387
72,549859,937

859,937
78,003937,941

6,440
584
7,024

1,144,726

1,284,841

9,622

Note: 1. The carrying amount of rental real estate on the consolidated balance sheet was acquisition costs net of accumulated depreciation and impairments.
2. Net change in carrying amount included cost of acquisition of the real estate of ¥98,927 million, sale of the real estate of ¥24,096 million, depreciation expense of ¥13,423 million, impairment loss of ¥3,848 million, during the fiscal year ended March 31, 2022.
Net change in carrying amount included cost of acquisition of the real estate of ¥153,805 million (US$1,151 million), sale of the real estate of ¥55,995 million (US$419
million), depreciation expense of ¥13,631 million (US$102 million), impairment loss of ¥15,829 million (US$118 million), during the fiscal year ended March 31, 2023.
3. Certain domestic consolidated subsidiaries calculate the market value of the majority of the rental real estate based on real estate appraisal standards by an independent
appraiser, and others based on the internal but reasonable estimates.

Segment Information(1) Overview of reportable segments
The reportable segments of the Company are components of the Company about which separate financial information isavailable. The segments are subject to periodic review to enable the Company's Board of Directors to decide on allocation ofbusiness resources and evaluate business performance.
The Company is a holding company which manages life insurance companies in Japan and elsewhere as well as othersubsidiaries and affiliated companies. These companies are subject to regulations of the Insurance Business Act.
The Company's operations are therefore segmented based on the operations of its subsidiaries and affiliated companies
and the Company's three reportable segments are the Domestic Insurance Business, the Overseas Insurance Business, andOther Business.
The Domestic Insurance Business consists of subsidiaries that engage in the insurance business in Japan. The Overseas
Insurance Business consists of subsidiaries and affiliated companies that engage in the insurance business overseas. The
Company, subsidiaries and affiliated companies that do not operate either the Domestic Insurance Business or the Overseas
Insurance Business are segmented as Other Business and mainly consist of business administration of the group companies
and the asset management business.
Effective the fiscal year ended March 31, 2023, the name of the reportable segment previously the Domestic Life Insurance
Business has been changed to the Domestic Insurance Business. This change is only a name change and has no impact on
segment information.
(2) Method of calculating ordinary revenues, income or loss, assets and liabilities and others by reportable segment
The method of accounting for the reportable segments is the same as that described in "Principles of Consolidation".
Figures for reportable segment profit are based on ordinary profit.
Intersegment revenue is based on market prices.
(3) Information on ordinary revenues, income or loss, assets and liabilities, and others by reportable segment
For the fiscal year ended March 31, 2022:
Reportable Segment

Ordinary revenues (Note 1)
Intersegment transfers
Total
Segment income (loss)
Segment assets
Segment liabilities
Other relevant information
Depreciation of real estate for rent
and others
Depreciation
Amortization of goodwill
Interest and dividend income
Interest expenses
Equity in income (loss) of affiliates
Extraordinary gains
Extraordinary losses(Impairment losses)
Taxes
Investments in affiliated companies
Increase in tangible fixed assets andintangible fixed assets

Domestic
Insurance
Business

Overseas
Insurance
Business

6,789,525
55,628
6,845,154
493,936
49,031,612
45,985,742

2,222,658
20,2702,242,928
94,324
16,628,585
15,173,762

13,43919－44,646－
1,004,619
10,391－
10,40239,431(3,850)45,810－26,5205,154
380,242
14,378
1,365
364
361
(－)
18,25650,987

157,222

6,875

Other
Business

Total(Unit: million yen)
9,209
9,021,393
207,107
283,006
216,3179,304,400
197,539785,800
2,518,212 68,178,411
607,939 61,767,443

Amount on
consolidated
Adjustments
financial(Note 2)statements(Note 3)(811,684)(283,006)(1,094,691)(194,903)(2,297,249)(294,789)

8,209,708－
8,209,708
590,897
65,881,161
61,472,654

13,458－13,458

186－
198,943
3,904
4,163
－
－
(－)
950
36,30071,352
5,154
1,583,805
28,673
5,529
10,766
39,792(3,850)65,01887,287－－(197,013)(1,969)
－
－
－
(－)
－
－

71,352
5,154
1,386,792
26,704
5,529
10,766
39,792(3,850)65,01887,287

5

164,102－

164,102

Note: 1. Ordinary revenues, instead of sales, are presented here.
2. Adjusted amounts were as follows.
a) Adjustment for ordinary revenues of ¥(811,684) million was mainly related to ordinary revenues including other ordinary revenues ncluding other ordinary
revenues of ¥768,037 million and ordinary expenses including foreign exchange losses of ¥15,046 million reconciled to provision for policy reserves andforeign exchange gains in the Consolidated Statement of Earnings.
b) Adjustment for segment income (loss) of ¥(194,903) million was mainly related to elimination of dividend income from subsidiaries and affiliated companies.
c) Adjustment for segment assets of ¥(2,297,249) million was mainly related to elimination of stocks of subsidiaries and affiliated companies.
d) Adjustment for segment liabilities of ¥(294,789) million was mainly related to elimination of intersegment receivables and payables.
e) Adjustment for others was mainly related to elimination of intersegment transactions.
3. Segment income is reconciled with Ordinary profit booked in the Consolidated Statement of Earnings.

197 Dai-ichi Life Holdings

Integrated Report198For the fiscal year ended March 31, 2023:
Reportable Segment
Domestic
Insurance
Business
Ordinary revenues (Note 1)
Intersegment transfers
Total
Segment income (loss)
Segment assets
Segment liabilities
Other relevant information
Depreciation of real estate for rent
and others
Depreciation
Amortization of goodwill
Interest and dividend income
Interest expenses
Equity in income (loss) of affiliates
Extraordinary gains
Extraordinary losses(Impairment losses)
Taxes
Investments in affiliated companies
Increase in tangible fixed assets andintangible fixed assets

199 Dai-ichi Life Holdings

Overseas
Insurance
Business

Other
Business

Total(Unit: million yen)
7,226 10,837,115
287,155
425,204
294,381 11,262,319
268,948
641,268
3,297,504 64,784,920
709,488 59,107,554

8,237,443
103,615
8,341,059
344,147
43,377,249
41,028,862

2,592,445
34,4322,626,878
28,172
18,110,166
17,369,204

13,66022－

48,307266
981,081
9,772
－
4,548
39,751(15,939)
65,156－37,942
6,764
451,248
21,317
3,394
36
53
(－)
21,18447,604

207,316

4,822

Reportable Segment

Amount on
consolidated
Adjustments
financial(Note 2)statements(Note 3)
(1,317,670)(425,204)(1,742,874)(230,368)(3,206,047)(401,796)

9,519,445－
9,519,445
410,900
61,578,872
58,705,757

13,682－

13,682259－
275,869
4,606
2,789
－
－
(－)
2,036
35,481

86,5107,030
1,708,199
35,695
6,184
4,584
39,805(15,939)
88,37783,085－－(276,842)(2,695)
－
－
－
(－)
－
－

86,5107,030
1,431,356
33,0006,184
4,584
39,805(15,939)
88,37783,085

146

212,284－

212,284

Ordinary revenues (Note 1)
Intersegment transfers
Total
Segment income (loss)
Segment assets
Segment liabilities
Other relevant information
Depreciation of real estate for rent
and others
Depreciation
Amortization of goodwill
Interest and dividend income
Interest expenses
Equity in income (loss) of affiliates
Extraordinary gains
Extraordinary losses(Impairment losses)
Taxes
Investments in affiliated companies
Increase in tangible fixed assets andintangible fixed assets

Domestic
Insurance
Business

Overseas
Insurance
Business

61,689775
62,465
2,577
324,850
307,263

19,414257
19,672
210
135,626
130,077

102

0

－

361
1
7,347
73
－
34
297
(119)
487
－

284
50
3,379
159
25
0
0
(－)
158
356

1,552

36

Other
Business

Total(Unit: million US dollars)
54
81,158
2,150
3,184
2,204
84,342
2,014
4,802
24,694
485,1715,313
442,653

Amount on
consolidated
Adjustments
financial(Note 2)statements(Note 3)
(9,867)(3,184)(13,052)(1,725)(24,009)(3,009)71,290－71,2903,077
461,161
439,644

102

－

102

1
－
2,065
34
20
－
－
(－)
15
265

647
52
12,792
267
46
34
298
(119)
661
622

－
－
(2,073)
(20)
－
－
－
(－)
－
－

647
52
10,719
247
46
34
298
(119)
661
622

1

1,589

－

1,589

Note: 1. Ordinary revenues, instead of sales, are presented here.
2. Adjusted amounts were as follows.
a) Adjustment for ordinary revenues of ¥(1,317,670) million (US$(9,867) million) was mainly related to ordinary expenses including provision for policy reservesof ¥1,156,635 million (US$8,661 million) and foreign exchange losses of ¥82,290 million (US$616 million) reconciled to ordinary revenues including otherordinary revenues and foreign exchange gains in the Consolidated Statement of Earnings.
b) Adjustment for segment income (loss) of ¥(230,368) million (US$(1,725) million) was mainly related to elimination of dividend income from subsidiaries andaffiliated companies.
c) Adjustment for segment assets of ¥(3,206,047) million (US$(24,009) million) was mainly related to elimination of stocks of subsidiaries and affiliatedcompanies.
d) Adjustment for segment liabilities of ¥(401,796) million (US$ (3,009) million) was mainly related to elimination of intersegment receivables and payables.
e) Adjustment for others was mainly related to elimination of intersegment transactions.
3. Segment income(loss) is reconciled with Ordinary profit booked in the Consolidated Statement of Earnings.

Integrated Report

200

2.

Other Related Information(3) Major Customer Information
The major customer information has been omitted as no single customer accounts for 10% or more of the Group's ordinary
revenues.

For the fiscal year ended March 31, 2022:(1) Product (Service) Segment Information
Year ended March 31, 2022

3.

(Unit: million yen)
Premium and other income
Domestic Insurance Business
Overseas Insurance Business
Other Business
Total

Impairment Losses on Fixed Assets by Reporting Segment
For the fiscal years ended March 31, 2022 and 2023
The information on impairment losses on fixed assets by reporting segment has been omitted as it is explained in the segment
information section.

3,916,438
1,375,535－
5,291,973

4.

Amortization of Goodwill and Unamortized Amount of Goodwill by Reporting Segment
For the fiscal year ended March 31, 2022:(2) Geographic Segment Informationa) Ordinary Revenues

Year ended March 31, 2022
(Unit: million yen)
Year ended March 31, 2022

Amortization of
goodwill(Unit: million yen)
Ordinary revenues
Japan
United States of America
Other Areas
Total

Note: 1. Ordinary revenues, instead of sales, are presented here.
2. Geographic area is classified into "Japan," "United States of America" or "Other Areas" mainly based on locations of customers.

For the fiscal year ended March 31, 2023:

b) Tangible fixed assets
The geographic segment information has been omitted as more than 90% of the Group's tangible fixed assets derivefrom its business unit in Japan.
Domestic Insurance Business
Overseas Insurance Business
Other Business(3) Major Customer Information
The major customer information has been omitted as no single customer accounts for 10% or more of the Group's ordinary
revenues.
For the fiscal year ended March 31, 2023
(1) Product (Service) Segment Information

Domestic Insurance Business
Overseas Insurance Business
Other Business
Total(Unit: million US dollars)

6.
5,053,959
1,581,524－
6,635,483

37,848
11,843－49,692

7,030

119,54552

895

Gain on Negative Goodwill by Reporting Segment
For the fiscal years ended March 31, 2022 and 2023
Not applicableYear ended March 31, 2023

Premium and other income

Year ended March 31, 2023
(Unit: million yen)
(Unit: million US dollars)
Unamortized
Unamortized
Amortization ofAmortization ofamount ofamount of
goodwill
goodwill
goodwill
goodwill
266
15,724
1
117
6,764
103,821
50
777
－
－
－
－

Total

5.
(Unit: million yen)

－
5,154
－
5,154

Domestic Insurance Business
Overseas Insurance Business
Other Business
Total

5,434,237
1,545,530
1,229,940
8,209,708

Unamortizedamount of
goodwill－
56,245－56,245

Related Party Transactions
For the fiscal years ended March 31, 2022 and 2023
There are no significant transactions to be disclosed.

(2) Geographic Segment Informationa) Ordinary Revenues
Year ended March 31, 2023
(Unit: million yen)

(Unit: million US dollars)

Ordinary revenues
Japan
United States of America
Other Areas
Total

6,380,289
1,726,353
1,412,801
9,519,445

47,781
12,928
10,58071,290Note: 1. Ordinary revenues, instead of sales, are presented here.
2. Based on the location of customers,ordinary revenues are classified by country or region.

b) Tangible fixed assets
The geographic segment information has been omitted as more than 90% of the Group's tangible fixed assets derivefrom its business unit in Japan.

201 Dai-ichi Life Holdings

Integrated Report202

(1) Reason for repurchase of the Company's shares
To enhance shareholder return through the implementation of a flexible capital policy and the improvement of capitalefficiency.

XX. PER SHARE INFORMATION

2022

As of / Year ended March 31,
2023
2023
(Unit: yen)

Net assets per share
Net income per share
Diluted net income per share

4,302.56
383.15382.96(Unit: US dollars)
2,921.75
189.28189.21

21.88
1.41
1.41

Note: 1. Underlying basis for the calculation of the net income per share and the diluted net income per share was as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Net income per share
Net income attributable to shareholders of parent company
409,353
192,301
1,440
Net income attributable to other than shareholders of common
stock
–
–
–
Net income attributable to shareholders of common stock
409,353
192,301
1,440
Average number of common stock outstanding

1,068,380
thousandsharesDiluted net income per share
Adjustments to net income
Increase in the number of common stock[Increase in the number of common stock attributable tosubscription rights to shares]
Outline of the dilutive shares which are not counted in the basisof calculation of diluted net income per share because they do
not have dilutive effect1,015,963
thousandshares1,015,963
thousandshares–––529 thousand
shares[529 thousand
shares]

363 thousand
shares[363 thousand
shares]

363 thousand
shares[363 thousand
shares]–––(2) Details of the Repurchasea) Class of shares to be repurchased
Shares of common stockb) Aggregate number of shares to be repurchased
Up to 90,000,000 sharesc) Aggregate price of shares to be repurchased
Up to ¥120 billion (US$890 million)d) Period of repurchase of shares
From May16, 2023 to March 31, 2024e) Method of repurchase of shares
Open-market repurchase by the discretionary trading method(3) Details of the share repurchases made by (August 31, 2023) as approved by the board of directors on May 15, 2023
are as follows.
a) Number of shares repurchased
0 sharesa) Aggregate number of shares to be repurchased￥0

Note: 2. Underlying basis for the calculation of the net assets per share was as follows:2022

As of March 31,
2023

Net assets
Adjustments
Subscription rights to shares
Non-controlling interests
Net assets attributable to common stock

4,408,507
(694)
(694)
(-)
4,407,812

2,873,114
(485)
(483)
(1)
2,872,629

2023(Unit: million
US dollars)
21,516(3)(3)(0)
21,512

Number of outstanding common stock

1,024,462

983,188983,188

thousandsharesthousandsharesthousandshares(Unit: million yen)

Note: 3. For the calculation of net income per share, the treasury stock which includes shares held by "the Stock Granting Trust (J-ESOP)" was excluded from the average numberof common shares outstanding. The average number of treasury stocks during the year ended March 31, 2022 and 2023 was 3,903 thousand shares and 3,865 thousand
shares, respectively. For the calculation of net assets per share, the treasury stock which includes shares held by the J-ESOP was excluded from the total number ofissued and outstanding shares. The number of treasury stocks as of March 31, 2022 and 2023 was 3,899 thousand shares and 3,862 thousand shares, respectively.

XXI. SUBSEQUENT EVENTS
1. First Republic Bank ("FRC") was seized by federal regulators on May 1, 2023.
(1) The Company's policy
The Company recognized impairment losses associated with securities of FRC held by its foreign subsidiary during thethree months ended June 30, 2023.
(2) Impairment losses
USD 91 million, pre-tax
2. The board of directors of the Company has resolved, at its meeting held on May 15, 2023, to repurchase the Company's shares
under the provision of Article 156 of the Companies Act of Japan, as applied pursuant to Article 165, Paragraph 3 of the same, andthe Company repurchased the Company's shares, as follows.

203 Dai-ichi Life Holdings

Integrated Report

204

XXII. (Unaudited) QUARTERLY INFORMATION

Ordinary revenues (million yen)
Income before income taxes (million yen)
Net income attributable to shareholders ofparent company (million yen)
Net income attributable to shareholders ofparent company per share (yen)Three months ended Six months ended Nine months ended
June 30, 2022
September 30, 2022 December 31, 2022
2,867,710
5,615,070
7,844,248

Year ended
March 31, 2023
9,519,445

119,155

151,767

204,569

280,679

81,112

108,205

144,464

192,301

79.17

105.61141.14189.28Three months ended Three months ended Three months ended Three months ended
June 30, 2022
September 30, 2022 December 31, 2022
March 31, 2023
Net income attributable to shareholders ofparent company per share (yen)Ordinary revenues (million US dollars)
Income before income taxes (million US
dollars)
Net income attributable to shareholders ofparent company (million US dollars)
Net income attributable to shareholders ofparent company per share (US dollars)

79.17

26.44

35.50

48.16

Three months ended Six months ended Nine months ended
June 30, 2022
September 30, 2022 December 31, 2022
21,47642,05058,745

Year ended
March 31, 2023
71,290

892

1,136

1,532

2,101

607

810

1,081

1,440

0.59

0.79

1.05

1.41

Three months ended Three months ended Three months ended Three months ended
June 30, 2022
September 30, 2022 December 31, 2022
March 31, 2023
Net income attributable to shareholders ofparent company per share (US dollars)

205 Dai-ichi Life Holdings

0.59

0.19

0.26

0.36

Integrated Report206

207 Dai-ichi Life Holdings

Integrated Report208209 Dai-ichi Life Holdings

Integrated Report210

211 Dai-ichi Life Holdings

Integrated Report212

213 Dai-ichi Life Holdings

Integrated Report214

215 Dai-ichi Life Holdings

Integrated Report216217 Dai-ichi Life Holdings

Integrated Report218Consolidated Balance Sheet of The Dai-ichi Life Insurance
Company, Limited(Unit: million(Unit: million yen)

US dollars)

As of March 31,(ASSETS)Cash and deposits
Call loans
Monetary claims bought
Money held in trust
Securities
Loans
Tangible fixed assets
Land
Buildings
Leased assets
Construction in progress
Other tangible fixed assets
Intangible fixed assets
Software
Other intangible fixed assets
Reinsurance receivable
Other assets
Deferred tax assets
Customers' liabilities for acceptances and guarantees
Reserve for possible loan losses
Reserve for possible investment losses
Total assets(LIABILITIES)Policy reserves and others
Reserves for outstanding claims
Policy reserves
Reserve for policyholder dividends
Reinsurance payable
Bonds payable
Other liabilities
Payables under repurchase agreements
Other liabilities
Net defined benefit liabilities
Reserve for retirement benefits of directors, executive officers andcorporate auditors
Reserve for possible reimbursement of prescribed claims
Reserve for price fluctuations
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Acceptances and guarantees
Total liabilities(NET ASSETS)
Capital stock
Capital surplus
Retained earnings
Total shareholders' equity
Net unrealized gains (losses) on securities, net of tax
Deferred hedge gains (losses)
Reserve for land revaluation
Foreign currency translation adjustments
Accumulated remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

219 Dai-ichi Life Holdings

2022

2023

444,435
479,900
239,896
12,16432,735,396
2,569,190
1,128,321
805,044
315,106
4,342
551
3,277
128,772
98,82329,94956,701
845,759
45,745(6,501)(779)
38,679,002

156,649
966,900
224,555
6,727
27,969,810
2,715,410
1,204,006
879,314311,101
3,443
6,352
3,794
124,837
97,64527,19174,788681,186
81,661
48,987(3,328)(927)
34,251,265

1,173
7,241
1,681
50
209,464
20,335
9,016
6,585
2,329
25
47
28
934
731
203
560
5,101
611
366
(24)
(6)
256,506

30,131,766
184,666
29,533,878
413,222
170,408
368,715
4,371,423
2,954,780
1,416,642
383,065

29,877,146
199,267
29,254,475
423,403428
368,715
1,141,293
304,005
837,287
358,992

223,748
1,492
219,085
3,170
3
2,761
8,547
2,276
6,270
2,688

929

794

5

800
250,453
119,735
70,65245,74535,913,694

800
263,453
70,19748,98732,130,808

5
1,972
525
366
240,626

60,000320,000
249,321629,322
2,130,413(21,621)
16,643(445)
10,9952,135,985
2,765,307
38,679,002

60,000320,000
200,362
580,363
1,523,596(37,654)
30,369(525)
24,307
1,540,093
2,120,456
34,251,265

449
2,396
1,500
4,346
11,410
(281)
227
(3)
182
11,533
15,879256,506-

2023

Integrated Report220Consolidated Statement of Earnings of The Dai-ichi Life Insurance
Company, Limited

Consolidated Statement of Comprehensive Income of The Dai-ichi
Life Insurance Company, Limited(Unit: million(Unit: million yen)

(Unit: million

US dollars)(Unit: million yen)

Year ended March 31,
Ordinary revenues
Premium and other income
Investment income
Interest and dividends
Gains on money held in trust
Gains on sale of securities
Gains on redemption of securities
Other investment income
Gains on investments in separate accounts
Other ordinary revenues
Ordinary expenses
Benefits and claims
ClaimsAnnuities
Benefits
Surrender values
Other refunds
Provision for policy reserves and others
Provision for reserves for outstanding claims
Provision for interest on policyholder dividends
Investment expenses
Interest expenses
Losses on money held in trust
Losses on sale of securities
Losses on valuation of securities
Losses on redemption of securities
Derivative transaction losses
Foreign exchange losses
Provision for reserve for possible loan losses
Provision for reserve for possible investment losses
Write-down of loans
Depreciation of real estate for rent and others
Other investment expenses
Losses on investments in separate accounts
Operating expenses
Other ordinary expenses
Ordinary profit
Extraordinary gains
Gains on disposal of fixed assets
Extraordinary losses
Losses on disposal of fixed assets
Impairment losses on fixed assets
Provision for reserve for price fluctuations
Other extraordinary losses
Provision for reserve for policyholder dividends
Income before income taxes
Corporate income taxes-current
Corporate income taxes-deferred
Total of corporate income taxes
Net income
Net income attributable to shareholders of parent company

221 Dai-ichi Life Holdings

2022

2023

4,450,973
2,276,222
1,247,130
831,209795
351,106
20,2072,410
41,401
927,619
4,072,541
3,015,988
637,451
553,586
427,247
544,342853,361
44,85936,595
8,264
361,303
10,375
221,597
8,479
3,545
38,627
10,1134,393
247
41
13,43950,442
410,696239,692
378,431
10,402
10,40233,425
12,5063,850
17,00068
87,500267,909102,283(33,661)
68,622
199,287
199,287

4,140,030
2,297,086
1,379,358
804,922551,678
18,763
3,993
463,585
3,787,626
2,451,381
682,450
581,814575,987
503,395
107,734
22,906
14,6008,305
669,1009,759
39
433,394
3,731
5,629
16,97181,871400
486
57
13,66056,24646,852
396,126
248,111352,404
4,548
4,548
34,486
5,503
15,881
13,000101
95,000227,467
28,55634,36862,925
164,542
164,542

US dollars)Year ended March 31,
2023
31,004
17,202
10,329
6,028
4,131
140
29
3,471
28,365
18,358
5,110
4,357
4,313
3,769
806
171
109
62
5,010
73
0
3,245
27
42
127
613
2
3
0
102
421
350
2,966
1,858
2,639
34
34
258
41
118
97
0
711
1,703
213
257
471
1,232
1,232

Net income
Other comprehensive income
Net unrealized gains (losses) on securities, net of tax
Deferred hedge gains (losses)
Reserve for land revaluation
Foreign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of subsidiaries and affiliates
accounted for under the equity method
Comprehensive income
Attributable to shareholders of parent company

2022

2023

199,287(409,417)(406,195)(18,119)(25)(942)
15,864

164,542(609,618)(606,817)(16,033)(79)
13,3112023
1,232(4,565)(4,544)
(120)
(0)
99

(0)

(0)

(0)

(210,130)(210,130)(445,076)(445,076)(3,333)(3,333)Integrated Report222

Consolidated Statement of Cash Flows of The Dai-ichi Life Insurance
Company, Limited

Consolidated Statement of Changes in Net Assets of The Dai-ichi
Life Insurance Company, Limited
Year ended March 31, 2022
Shareholders' equity(Unit: million(Unit: million yen)

US dollars)Year ended March 31,
CASH FLOWS FROM OPERATING ACTIVITIESIncome (loss) before income taxes
Depreciation of real estate for rent and others
Depreciation
Impairment losses on fixed assets
Increase (decrease) in reserves for outstanding claims
Increase (decrease) in policy reserves
Provision for interest on policyholder dividends
Provision for (reversal of) reserve for policyholder dividends
Increase (decrease) in reserve for possible loan losses
Increase (decrease) in reserve for possible investment losses
Write-down of loans
Increase (decrease) in net defined benefit liabilities
Increase (decrease) in reserve for retirement benefits ofdirectors ,executive officers and corporate auditors
Increase (decrease) in reserve for price fluctuations
Interest and dividends
Securities related losses (gains)
Interest expenses
Foreign exchange losses (gains)
Losses (gains) on disposal of fixed assets
Equity in losses (income) of affiliates
Decrease (increase) in reinsurance receivable
Decrease (increase) in other assets unrelated to investing andfinancing activities
Increase (decrease) in reinsurance payable
Increase (decrease) in other liabilities unrelated to investing andfinancing activities
Others, net
SubtotalInterest and dividends received
Interest paid
Policyholder dividends paid
Others, net
Corporate income taxes (paid) refund
Net cash flows provided by (used in) operating activities
CASH FLOWS FROM INVESTING ACTIVITIESNet decrease (increase) in cash and deposits
Purchases of monetary claims bought
Proceeds from sale and redemption of monetary claims bought
Purchases of money held in trust
Proceeds from decrease in money held in trust
Purchases of securities
Proceeds from sale and redemption of securities
Origination of loans
Proceeds from collection of loans
Net increase (decrease) in short-term investing
Total of net cash provided by (used in) investment transactions
Total of net cash provided by (used in) operating activities andinvestment transactions
Acquisition of tangible fixed assets
Proceeds from sale of tangible fixed assets
Acquisition of intangible fixed assets
Proceeds from sale of intangible fixed assets
Net cash flows provided by (used in) investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings
Repayment of borrowings
Redemption of bonds
Repayment of financial lease obligations
Cash dividends paid
Acquisitions of stock of subsidiaries and affiliates that do not result inchange in scope of consolidation
Net cash flows provided by (used in) financing activities
Effect of exchange rate changes on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year

223 Dai-ichi Life Holdings

2022

2023

2023

267,90913,43939,8153,850
36,595(761,501)
8,264
87,5004,143
152
41(1,816)

227,467
13,66041,577
15,881
14,600(279,401)
8,305
95,000(3,173)147
57(5,602)

1,703
102
311
118
109
(2,092)
62
711
(23)
1
0
(41)

(69)

(134)

(1)

17,000(831,209)(179,092)
10,375
10,113
1,733
352(28,542)

13,000(804,922)(80,834)
9,759
81,871
445
733(16,220)

97(6,028)
(605)
73
613
3
5
(121)

(98,852)

25,793

193

169,359(170,287)(1,275)(32,782)

44,461

332

84,076(1,179,145)
858,307(14,613)(83,541)(353,395)(87,244)(859,632)

85,528(682,285)
837,061(13,558)(93,123)(368,713)(106,173)(426,793)

640(5,109)
6,268
(101)
(697)
(2,761)(795)(3,196)(80)(30,229)
39,597(5,000)
1,321(6,325,117)
6,991,915(684,636)
697,277
653,018
1,338,068(1,100)(16,989)
26,9295,380(5,071,736)
8,856,848(808,863)
658,183(2,650,775)
997,877

(8)
(127)
201
40
(37,981)
66,328(6,057)
4,929(19,851)
7,473

478,435

571,083

4,276(96,724)
31,899(38,936)694
1,235,000(115,408)
56,546(31,673)
907,340

(864)
423
(237)
6,795

80,000(107,562)(1,747)(208,716)

64,000(144,000)(1,427)(199,776)

479(1,078)(10)(1,496)(120)(1,435)(10)(238,145)
118
137,340
786,914924,255(282,638)
204
198,112924,255
1,122,368(2,116)
1
1,483
6,921
8,405

Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Retainedearnings

Total
shareholders'equityCapital stock

Capital surplus

60,000370,000

247,446

677,446(49,999)(158,716)
199,287(38,695)
0(208,716)
199,287(38,695)
0(49,999)
320,000

1,875
249,321(48,124)
629,32260,000(Unit: million yen)
Accumulated othercomprehensive income
Net unrealized
Deferred hedge
gains (losses)
gains (losses)
on securities,
net of tax
2,536,608(3,501)(406,195)(406,195)
2,130,413(18,119)(18,119)(21,621)(Unit: million yen)
Accumulated other comprehensive income
Reserve for land
revaluation
Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

(22,026)

38,66938,66916,643Foreign currencytranslation
adjustments
497

(942)
(942)
(445)

Total accumulated
Accumulatedotherremeasurements
comprehensiveof defined benefit
incomeplans(4,869)2,506,708

15,864
15,864
10,995(370,722)(370,722)
2,135,985

Year ended March 31, 2023
Shareholders' equity

Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Capital stock

Capital surplus

60,000320,000

60,000320,000

Retainedearnings

Total
shareholders'equity249,321629,322(199,776)
164,542(13,726)
1(199,776)
164,542(13,726)
1(48,959)
200,362(48,959)
580,363

Total net assets

3,184,154(208,716)
199,287(38,695)
0(370,722)(418,847)
2,765,307(Unit: million yen)
Accumulated othercomprehensive income
Net unrealized
Deferred hedge
gains (losses)
gains (losses)
on securities,
net of tax
2,130,413(21,621)(606,817)(606,817)
1,523,596(16,033)(16,033)(37,654)(Unit: million yen)
Accumulated other comprehensive income
Reserve for land
revaluation
Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

16,643

13,726
13,72630,369Foreign currencytranslation
adjustments
(445)

(79)
(79)
(525)

Total accumulated
Accumulatedotherremeasurements
comprehensiveof defined benefit
incomeplans
10,9952,135,985

13,311
13,311
24,307(595,891)(595,891)
1,540,093

Total net assets

2,765,307(199,776)
164,542(13,726)1(595,891)(644,851)
2,120,456

Integrated Report224

(Unit: million

Year ended March 31, 2023
Shareholders' equity

Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

Capital stock

Capital surplus

449

2,396

449

2,396

Retainedearnings

Total
shareholders'equity

1,867

4,712

(1,496)
1,232
(102)
0

(1,496)
1,232
(102)
0

(366)
1,500

(366)
4,346

US dollars)
Accumulated othercomprehensive income
Net unrealized
Deferred hedge
gains (losses)
gains (losses)
on securities,
net of tax
15,954(161)(4,544)(4,544)
11,410NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS AS
OF AND FOR THE YEAR ENDED MARCH 31, 2023
Ⅰ. BASIS FOR PRESENTATION
The accompanying financial statements have been prepared from the accounts maintained by The Dai-ichi Life Insurance
Company, Limited (the "Company") and its consolidated subsidiary in accordance with the provisions set forth in the Insurance
Business Act and its related accounting regulations, and in conformity with accounting principles generally accepted in Japan("Japanese GAAP") which are different in certain respects from the application and disclosure requirements of International
Financial Reporting Standards.
Certain items presented in the consolidated financial statements are reclassified for the convenience of readers outside Japan.
The notes to the consolidated financial statements include information which is not required under Japanese GAAP but ispresented herein as additional information.
The amounts indicated in millions of yen are rounded down by truncating the figures below one million. Totals may not add up
exactly because of such truncation. Amounts in U.S. dollars are included solely for the convenience of readers outside Japan.
The rate of ¥133.53=US$1.00, the foreign exchange rate on March 31, 2023, has been used for translation of the truncatedfigures in Japanese yen. The inclusion of such amounts is not intended to imply that Japanese yen has been or could be readily
converted, realized or settled into U.S. dollars at that rate or any other rate.

(120)
(120)
(281)

(Unit: million
US dollars)
Accumulated other comprehensive income
Reserve for land
revaluation
Balance at the beginning of the year
Changes for the year
Dividends
Net income attributable to shareholders of parent company
Transfer from reserve for land revaluation
OthersNet changes of items other than shareholders' equity
Total changes for the year
Balance at the end of the year

124

102
102
227

Foreign currencytranslation
adjustments
(3)

(0)
(0)
(3)

Total accumulated
Accumulatedotherremeasurements
comprehensiveof defined benefit
incomeplans
82
15,99699
99
182(4,462)(4,462)
11,533

Total net assets

20,709(1,496)
1,232
(102)
0
(4,462)(4,829)15,879Ⅱ. GUIDELINES FOR PREPARATION OF THE CONSOLIDATED FINANCIAL STATEMENTS
1.

Scope of Consolidation(1) The number of consolidated subsidiaries as of March 31, 2023: 1
The subsidiary of the Company included:•
Dai-ichi Life Insurance Myanmar Ltd.
(2) The number of non-consolidated subsidiaries as of March 31, 2023: 28
The main subsidiaries that are not consolidated for the purposes of financial reporting are The Dai-ichi Life Information
Systems Co., Ltd., Dai-ichi Life Business Services Co., Ltd. and First U Anonymous Association.
The twenty-eight non-consolidated subsidiaries had, individually and in the aggregate, a minimal impact on the consolidated
financial statements in terms of total assets, sales, net income (loss) (amount corresponding to equity interest), retained
earnings (amount corresponding to equity interest), cash flows, and others.

2.

Application of the Equity Method(1) The number of non-consolidated subsidiaries under the equity method as of March 31, 2023: 0(2) The number of affiliated companies under the equity method as of March 31, 2023: 2
The affiliated companies of the Company included:•
Corporate-pension Business Service Co., Ltd.,•
Japan Excellent Asset Management Co., Ltd.,(3) The non-consolidated subsidiaries (The Dai-ichi Life Information Systems Co., Ltd., Dai-ichi Life Business Services Co., Ltd.,First U Anonymous Association and others), as well as affiliated companies (Mizuho-DL Financial Technology Co., Ltd., andRifare Management K.K.) were not accounted for under the equity method. These companies had, individually and in theaggregate, a minimal impact on the consolidated financial statements, in terms of net income (loss) (amount corresponding toequity interest), retained earnings (amount corresponding to equity interest) and others.

3.

Year-end Dates of a Consolidated Subsidiary
The closing date of a consolidated subsidiary is March 31.

225 Dai-ichi Life Holdings

Integrated Report226

Ⅲ. NOTES TO THE CONSOLIDATED BALANCE SHEET
1.

Valuation Methods of Securities(Publicly Issue Cabinet Order No. 119, March 31, 1998).

5.

Securities held by the Company and its consolidated subsidiary including cash and deposits and monetary claims bought
which are equivalent to marketable securities, and marketable securities managed as trust assets in money held in trust, arecarried as explained below:
The amortization of premiums and accretion of discounts is calculated by the straight-line method.

Estimated useful lives of major assets are as follows:
Buildings
two to sixty years
Other tangible fixed assets
two to twenty years(1) Trading Securities
Trading securities are carried at fair value with cost determined by the moving average method.
(2) Held-to-maturity Bonds
Held-to-maturity bonds are stated at amortized cost determined by the moving average method.

Other tangible fixed assets that were acquired for ¥100,000 or more but less than ¥200,000 are depreciated at equalamounts over three years.
With respect to tangible fixed assets that were acquired on or before March 31, 2007 and that were fully depreciated to their
original depreciable limit, effective the fiscal year ended March 31, 2008, the remaining values are depreciated at equalamounts over five years from the following fiscal year of the year in which they reached the original depreciable limit.
Depreciation of tangible fixed assets owned by a consolidated overseas subsidiary is calculated by the straight-line
method.

(3) Policy-reserve-matching Bonds (in accordance with the Industry Audit Committee Report No. 21 "Temporary Treatment of
Accounting and Auditing Concerning Policy-reserve-matching Bonds in the Insurance Industry" issued by the JapaneseInstitute of Certified Public Accountants (JICPA))
Policy-reserve-matching bonds are stated at amortized cost determined by the moving average method.
(4) Stocks of Non-Consolidated Subsidiaries and Affiliated Companies Not Accounted for under the Equity Method
Stocks of non-consolidated subsidiaries and affiliated companies not accounted for under the equity method are stated at cost
determined by the moving average method.

(2) Amortization of Intangible Fixed Assets Excluding Leased Assets
The Company and its consolidated subsidiary use the straight-line method for amortization of intangible fixed assets
excluding leased assets.
Software for internal use is amortized by the straight-line method based on the estimated useful lives of five years.

(5) Available-for-sale Securitiesa) Available-for-sale Securities other than stocks and other securities without market prices
Available-for-sale Securities other than stocks and other securities without market prices are valued at fair value at the endof the fiscal year, with cost determined by the moving average method.

(3) Depreciation of Leased Assets
Depreciation for leased assets with regard to finance leases whose ownership does not transfer to the lessees is computed
under the straight-line method assuming zero salvage value and using the lease period as the useful life.
(4) Accumulated Depreciation of Tangible Fixed Assets
The amounts of accumulated depreciation of tangible fixed assets as of March 31, 2022 and 2023 were ¥616,128 millionand ¥599,320 million (US$4,488 million), respectively.

b) Stocks and other securities without market prices
Stocks and other securities without market prices are valued at cost determined by the moving average method.
Net unrealized gains or losses on these available-for-sale securities are presented as a separate component of net assets
and not in the consolidated statement of earnings.
Securities held by a consolidated overseas subsidiary are stated at cost determined by the first-in first-out.

2.

3.

6.

7.

Valuation Method of Derivative Transactions
Revaluation of Land
Based on the "Act on Revaluation of Land" (Act No. 34, March 31, 1998), land for business use was revalued. The difference
between the fair value and book value resulting from the revaluation, net of related deferred taxes, is recorded as a reserve forland revaluation as a separate component of net assets and the related deferred tax liability is recorded as deferred tax liabilities
for land revaluation.
• Date of revaluation: March 31, 2001
• Method stipulated in Article 3 Paragraph 3 of the Act on Revaluation of Land:
The fair value was determined based on the appraisal value publicly announced for tax assessment purposes with certain
reasonable adjustments in accordance with Articles 2-1 and 2-4 of the Order for Enforcement of the Act on Revaluation of Land

227 Dai-ichi Life Holdings

Reserve for Possible Loan Losses
The reserve for possible loan losses is calculated based on the internal rules for self-assessment, write-offs, and reserves on
assets.
For loans to and claims on obligors that have already experienced bankruptcy, reorganization, or other formal legal failure(hereafter, "bankrupt obligors") and loans to and claims on obligors that have suffered substantial business failure (hereafter,"substantially bankrupt obligors"), the reserve is calculated by deducting the estimated recoverable amount of the collateral or
guarantees from the book value of the loans and claims after the direct write-off described below.
For loans to and claims on obligors that have not yet suffered business failure but are considered highly likely to fail (hereafter,"obligors at risk of bankruptcy") the reserve is calculated, taking into account (1) the recoverable amount covered by the collateralor guarantees and (2) an overall assessment of the obligor's ability to repay.
For other loans and claims, the reserve is calculated by multiplying the actual rate or other appropriate rate of losses from bad
debts during a certain period in the past by the amount of the loans and claims.
For all loans and claims, the relevant department in the Company performs an asset quality assessment based on the internal
rules for self-assessment, and an independent audit department audits the result of the assessment. The above reserves are
established based on the result of this assessment.
For loans and claims to bankrupt and substantially bankrupt obligors, the unrecoverable amount is calculated by deducting theamount deemed recoverable from collateral and guarantees from the amount of the loans and claims and is directly written off
from the amount of the loans and claims. The amounts written off during the fiscal years ended March 31, 2022 and 2023 were ¥1
million and ¥1 million (US$0 million), respectively.

Derivative transactions are reported at fair value.

4.

Translation of Assets and Liabilities Denominated in Foreign Currencies into Yen
The Company translates foreign currency-denominated assets and liabilities (excluding stocks of its non-consolidated
subsidiaries and affiliated companies which are not accounted for under the equity method) into yen at the prevailing exchange
rates at the end of the fiscal year. Stocks of non-consolidated subsidiaries and affiliated companies which are not accounted forunder the equity method are translated into yen at the exchange rates on the dates of acquisition. Assets, liabilities, revenues,
and expenses of the Company's consolidated overseas subsidiary are translated into yen at the exchange rates at its accountclosing date. Translation adjustments associated with the consolidated overseas subsidiary are included in foreign currencytranslation adjustments in the net assets section of the consolidated balance sheet.

Risk Management Policy of Policy-Reserve-Matching Bonds
The Company categorizes its insurance products into sub-groups by the attributes of each product and, in order to manage
risks properly, formulates its policies on investments and resource allocation based on the balance of the sub-groups. Moreover,
the Company periodically checks that the duration gap between policy-reserve-matching bonds and policy reserves stays within acertain range.
The sub-groups of insurance products of the Company are:
• individual life insurance and annuities (the exception of certain types),• non-participating single premium whole life insurance (without duty of medical disclosure),• financial insurance and annuities,• group annuities (defined contribution corporate pension insurance; defined contribution corporate pension insurance II
and certain corporate pension insurances of which the type can be changed to defined contribution corporate pension
insurance II), and• group annuities 2 (defined benefit corporate pension insurance, employees' pension fund insurance (II) and new
corporate pension insurance (II)).
Given the reduction of assumed interest rate for certain group annuities in the Company, effective the fiscal year ended
March 31, 2023, the Company has divided the existing sub-group of group annuities and set a new sub-group in order to conduct
investment management according to characteristics of risk and return.
There is no impact of this change on the consolidated financial statements.

Depreciation of Depreciable Assets(1) Depreciation of Tangible Fixed Assets Excluding Leased Assets
Depreciation of tangible fixed assets excluding leased assets of the Company is calculated by the declining balancemethod (the depreciation of buildings (other than facilities attached to buildings and structures that were acquired on or before
March 31, 2016) is calculated by the straight-line method).

8.

Reserve for Possible Investment Losses
In order to provide for future investment losses, a reserve for possible investment losses is established for stocks and othersecurities without market prices and ownership stakes in partnerships, etc. It is calculated based on the internal rules for
self-assessment, write-offs, and reserves on assets.

Integrated Report

228

9.

Reserve for Retirement Benefits of Directors, Executive Officers and Corporate Auditors
For the reserve for retirement benefits of directors, executive officers and corporate auditors, an estimated amount for future
payment in accordance with the internal policies is provided.

10. Reserve for Possible Reimbursement of Prescribed Claims
To prepare for the reimbursement of claims for which prescription periods had expired, an estimated amount for reserve forpossible reimbursement of prescribed claims based on past reimbursement experience is provided.

11. Net Defined Benefit Liabilities
For the net defined benefit liabilities, the amount is considered to have been rationally incurred during the period provided bydeducting the pension assets from the projected benefit obligations based on the estimated amounts as of March 31, 2023. The
accounting treatment for retirement benefits is as follows.
(1) Allocation of Estimated Retirement Benefits
In calculating the projected benefit obligations, the benefit formula basis is adopted to allocate estimated retirement benefit
for the fiscal year ended March 31, 2023.
(2) Amortization of Actuarial Differences and Past Service Cost
Past service cost is amortized under the straight-line method over a certain period (seven years) within the employees'
average remaining service period as of the time of its occurrence.
Actuarial differences are amortized under the straight-line method over a certain period (seven years) within theemployees' average remaining service period, starting from the following year.

12. Reserve for Price Fluctuations
A reserve for price fluctuations is calculated based on the book value of stocks and other securities at the end of the year inaccordance with the provisions of Article 115 of the Insurance Business Act.

13. Hedge Accounting(1) Methods for Hedge Accounting
As for the Company, hedging transactions are accounted for in accordance with the "Accounting Standards for Financial
Instruments" (ASBJ Statement No. 10 issued on March 10, 2008). Primarily, (a) special hedge accounting and the deferral
hedge method for interest rate swaps are used for cash flow hedges of certain loans, government and corporate bonds, loans
payable and bonds payable; (b) the currency allotment method and the deferral hedge method using foreign currency swaps,
foreign currency forward contracts are used for cash flow hedges against exchange rate fluctuations in certain foreign
currency-denominated bonds, certain loans, certain loans payable and bonds payable and certain foreign
currency-denominated stocks (forecasted transaction) and term deposits; (c) the fair value hedge method using currency
options and foreign currency forward contracts is used for hedges against exchange rate fluctuations in the value of certain
foreign currency-denominated bonds; (d) the deferral hedge method for bond over-the-counter options is used for hedges
against interest-rate fluctuations in certain foreign currency-denominated bonds; (e) the deferral hedge method and fair value
hedge method using equity options and equity forward contracts are used for hedges against price fluctuations in the value ofcertain domestic stocks and foreign currency-denominated stocks (forecasted transaction), and (f) the deferral hedge method
using interest rate swaps is used for hedges against interest-rate fluctuations in certain insurance liabilities, under the"Accounting and Auditing Treatment of Application of Accounting Standard for Financial Instruments to Insurance Operators"(Industry Audit Committee Report No.26 issued by JICPA).
(2) Hedging Instruments and Hedged Items
Hedging instruments
Hedged items
Interest rate swaps
Loans, government and corporate bonds, loans payable, bonds payable, insurance
liabilities
Foreign currency swaps
Foreign currency-denominated bonds, foreign currency-denominated loans, foreign
currency-denominated loans payable, foreign currency-denominated bonds payable
Foreign currency forward contracts
Foreign currency-denominated bonds, foreign currency-denominated term deposits,
foreign currency-denominated stocks (forecasted transaction)
Currency options
Foreign currency-denominated bonds
Bond over-the-counter options
Foreign currency-denominated bonds
Equity options
Domestic stocks, foreign currency-denominated stocks (forecasted transaction)
Equity forward contracts
Domestic stocks(3) Hedging Policies
The Company conducts hedging transactions with regard to certain market risk, foreign currency risk and interest-rate riskof underlying assets to be hedged, in accordance with the internal investment policy and procedure guidelines.
(4) Assessment of Hedge EffectivenessHedge effectiveness is assessed primarily by a comparison of fluctuations in cash flows or fair value of hedged items tothose of hedging instruments.
(Hedging relationships to which the "Treatment of Hedge Accounting for Financial Instruments that Reference LIBOR" is applied)
Among the above hedging relationships, the exceptional treatment prescribed in the "Treatment of Hedge Accounting for229 Dai-ichi Life Holdings

Financial Instruments that Reference LIBOR" (PITF No. 40, revised on March 17, 2022) is applied to all hedging relationships
included in the scope of the application of the said Treatment. The details of hedging relationships to which the Treatment isapplied are as follows:
Hedging accounting method: Special hedge accounting for interest rate swaps
Hedging instruments: Interest rate swaps
Hedged items: Loans
Type of hedging transactions: Transactions that fix cash flow

14. Calculation of National and Local Consumption Tax
The Company accounts for national and local consumption tax by the tax-exclusion method. Deferred consumption tax
included in non-recoverable consumption tax on certain assets is capitalized as other assets and amortized equally over five
years in accordance with the Order for Enforcement of the Corporation Tax Act, and such taxes other than deferred consumption
tax are recognized as an expense when incurred.

15. Policy Reserves
Policy reserves of the Company are established in accordance with the methods stated in the statement of calculation
procedures for policy reserves (Article 4, Paragraph 2, Item 4 of the Insurance Business Act) pursuant to Article 116, Paragraph 1of the Insurance Business Act, for insurance contracts under which the insurer's liability has started as of the end of the fiscal
year, in preparation for the performance of future obligations under the insurance contracts.
Of policy reserves, insurance premium reserves are calculated by the following methods:a) Reserves for policies subject to the standard policy reserve rules are calculated based on the methods stipulated by theCommissioner of Financial Services Agency (Notification of the Minister of Finance No. 48, 1996).
b) Reserves for other policies are established based on the net level premium method.
If, through an estimation of future income based on most recent actual figures, the policy reserves set aside are found likely to
be insufficient to cover the performance of future obligations, additional policy reserves need to be set aside in accordance with
Article 69, Paragraph 5 of the Ordinance for Enforcement of the Insurance Business Act. Policy reserves include additional policy
reserves for some whole life insurance policies in accordance with Article 69, Paragraph 5 of the Ordinance for Enforcement of
the Insurance Business Act.
Contingency reserves included in policy reserves are set aside in accordance with Article 69, Paragraph 1, Item 3 of theOrdinance for Enforcement of the Insurance Business Act to cover risks that may accrue in the future in order to ensure theperformance of future obligations under insurance contracts.

16. Reserves for Outstanding ClaimsWith respect to reserves for incurred but not reported cases for individual insurance policies (referring to claims for which theoccurrence of the insured events have not been reported but the Company finds that insured events have already occurred;hereinafter the same) provided by the companies that operate a life insurance business in Japan, the scope of payment of
hospitalization benefits was changed in the fiscal year ended March 31, 2023 with respect to those diagnosed as COVID-19 andwere under the care of a doctor and the like at an accommodation facility or at home ("deemed hospitalization"). As a result of thischange, an appropriate amount of reserves cannot be obtained with the calculation method set forth in the main rules in Article 1,
Paragraph 1 of the Notification of the Minister of Finance No.234, 1998 ("IBNR Notification"). The Company therefore records theamount that was calculated using the following method, pursuant to provisions in the proviso of Article 1, Paragraph 1 of IBNR
Notification (the "Proviso").
(Overview of the calculation method)
The Company first deducts an amount pertaining to deemed hospitalization of policy holders other than those with high risk ofseverity ("4 categories") from a required amount of reserves for incurred but not reported cases and the amount of claim
payments for all the fiscal years, as set forth in the main rules in Article 1, Paragraph 1 of IBNR Notification, and then calculates inthe same manner as in the main rules in Article 1, Paragraph 1 of IBNR Notification.
An amount pertaining to deemed hospitalization of the 4 categories, which was used to estimate an amount pertaining todeemed hospitalization of those other than the 4 categories diagnosed prior to September 25, 2022, was estimated by thefollowing methods: multiplying the ratio of the accumulated payments to the 4 categories diagnosed on or after September 26,
2022 and the accumulated payments for deemed hospitalization of those aged 65 years old or higher, one of the 4 categories,
with an amount pertaining to deemed hospitalization of those aged 65 years old or higher diagnosed prior to September 25, 2022.

17. Changes in Accounting Policies
Effective the fiscal year ended March 31, 2023 the Company has applied "Implementation Guidance on Accounting Standard
for Fair Value Measurement" (ASBJ Guidance No.31 revised on June 17, 2021).
In accordance with the transitional treatment set forth in Item 27-2 of "Implementation Guidance on Accounting Standard for
Fair Value Measurement", the Company has applied new accounting policies since the beginning of fiscal year ended March 31,
2023.

18. Policy Acquisition Costs
The costs of acquiring and renewing policies, which include agent commissions and certain other costs directly related to theacquisition of policies, are expensed when incurred as the Insurance Business Act in Japan does not permit insurance companies

Integrated Report230to defer and amortize these costs.

Additionally, in order to limit speculative use of derivatives, the Company has put restrictions on utilization purpose,such as hedging, and establishes position limits for each asset class.

19. Financial Instruments and Others(1) Financial Instrumentsa) Policies in Utilizing Financial Instruments
In an effort to manage investment assets in a manner appropriate to liabilities, which arise from the insurance policies
underwritten, the Company engages in asset liability management, or ALM, which considers the long-term balance
between assets and liabilities to ensure stable returns. With this strategy, the Company holds fixed income investments,
including bonds and loans, as the core of its asset portfolio. While placing its financial soundness first, the Company also
holds stocks and foreign securities within its tolerable risk to enhance its profitability and facilitate diversification of
investment risks.
The Company uses derivatives primarily to hedge market risks associated with its existing asset portfolio andsupplement its investment objectives to the extent necessary, taking into account the exposure of underlying assets.
With respect to financing, the Company has raised capital directly from the capital markets by issuing subordinatedbonds as well as indirectly from banks in order to strengthen its capital base. To avoid impact from interest-ratefluctuations, the Company utilizes derivative transactions in hedging some of such financial liabilities and adopts hedge
accounting.
b) Financial Instruments Used and Their Risks
Securities included in financial assets of the Company, mainly stocks and bonds, are categorized by its investment
objectives such as held-to-maturity, policy-reserve-matching securities and available-for-sale securities. Those securities
are exposed to market fluctuation risk, credit risk and interest rate risk and some of the securities denominated in foreign
currency are exposed to foreign currency risk. Also, loans are exposed to credit risk arising from the defaults of obligors.
The Company might be exposed to liquidity risk in certain circumstances in which it cannot make timely payments ofprincipal, interest or other amounts due to unpredictable cash outflows or is forced to raise capital with interest rates
substantially higher than usual. Also, some of its loans payable and bonds payable which are floating interest rate based
and denominated in foreign currency are exposed to interest rate risk and foreign currency risk.
The Company utilizes i) interest rate swaps to hedge interest rate risk associated with certain loans receivable andpayable, ii) equity forward contracts to hedge market fluctuation risks associated with certain domestic stocks, and iii)
foreign currency forward contracts, currency options and foreign currency swaps to hedge foreign currency risks
associated with certain foreign currency-denominated bonds, foreign currency-denominated short-term deposits andforeign currency-denominated debts, etc. and adopt hedge accounting.
In addition, the Company utilizes iv) interest rate swaps to hedge interest rate risk associated with certain insurance
liabilities, under the "Accounting and Auditing Treatment of Application of Accounting Standard for Financial Instruments toInsurance Operators" (JICPA Industry Audit Committee Report No. 26).
In applying the hedge accounting, in order to fulfill requirements stipulated in the "Accounting standards for financial
instruments" (ASBJ Statement No. 10 issued on March 10, 2008), the Company has established investment policy andprocedure guidelines and clarified the transactions to be hedged, the risk of underlying assets to be hedged and derivative
instruments to be used, and conducted pre- and post-effectiveness tests of the transactions.
c) Risk Management
The risk management system of the Company is as follows:i) Market Risk Management
Under the internal investment policy and market risk management policy, the Company manages market risk byconducting mid- to long-term asset allocation in a manner appropriate to its liabilities. Therefore, it categorizes its
portfolio into sub-groups, based on their investment purpose, and manages them taking into account each of their risk
characteristics.
(a) Interest rate risk
The Company keeps track of interest rates and durations of its assets and liabilities, monitors its internal analyses
on duration gap and interest rate sensitivity, and periodically reports its findings to the board of directors, etc.

ii) Credit Risk Management
In accordance with the internal investment policy and credit risk management procedure guidelines, the Company
has established a credit management system related to loans, such as preliminary reviews on individual transactions,credit limit setting, credit information management, internal credit rating, attachment of guarantees and collateral, andfollow-ups on problem loans. For corporate bond investment, the credit section sets investment caps on individual
issuers taking into account internal credit ratings and other factors. Excessive risk-taking is restricted since front offices
make investment within those caps. Policies and framework for large-lot borrowers have been formulated in order toprevent credit concentration by monitoring compliance, etc. That credit management has been conducted by the credit
and risk management sections, and has been periodically reported to the board of directors, etc. Additionally, theinternal audit section has also checked credit management status.
Credit risk of security issuers and counterparty risk with respect to derivative transactions are managed by the credit
section, which sets upper limits for each counterparty and financial instrument and periodically monitors credit
information, and by the risk management section, which periodically monitors current exposures.
d) Supplementary Explanation for Fair Value of Financial Instruments
As the calculation of those values adopts certain assumptions, those values may vary in case different assumptions areapplied.
(2) Fair Values of Financial Instruments
The carrying amount on the consolidated balance sheet, fair value and differences between carrying amount and fair value asof March 31, 2022 and 2023 were as follows.
As of March 31, 2022
Carrying amount
Fair value
Gains (losses)(1) Monetary claims bought(2) Money held in trust(3) Securities(*2)
a. Trading securities
b. Held-to-maturity bondsc. Policy-reserve-matching bonds
d. Available-for-sale securities(4) Loans
Reserve for possible loan losses (*3)

239,896
12,164(Unit: million yen)
239,896
12,164-

1,043,161
49,563
15,739,225
16,695,365884
1,481,566-

Total assets

1,043,161
48,67814,257,659
16,695,365
2,569,190(4,819)2,564,371
34,861,295

2,596,244
36,375,620

31,873
1,514,324(1) Bonds payable(2) Long-term borrowings
Total liabilities

368,715
470,600
839,315

371,486
465,819
837,305

2,771(4,780)(2,009)Derivative transactions(*4)
a. Hedge accounting not appliedb. Hedge accounting applied
Total derivative transactions[15,423][478,410][493,834][15,423][477,826][493,250]

584
584(*1) Cash and deposits, call loans, and payables under repurchase agreements are not included since they are mainly due within a short period of time or have no maturity, andtheir fair value is close to the carrying amounts.
(*2) The carrying amount of stocks and other securities without market prices and ownership stakes in partnerships, etc. on the consolidated balance sheet are as follows. They
are not included in the fair value of (3) Securities.

(b) Currency risk
The Company keeps track of currency composition of its financial assets and liabilities, conducts sensitivity
analyses, and periodically reports its findings to the board of directors, etc.
(c) Fluctuation in market values
The Company defines risk management policies and management procedures for each component of its overall
portfolio, including securities, based on the risk characteristics of the categories, sets and manages upper limits ofeach asset balance and asset allocation weight.
Such management conditions are periodically reported by its risk management sections to the board of directors,
etc.
(d) Derivative transactions
For derivative transactions, the Company has established internal check system by segregating i) executing
department, ii) the department which engages in assessment of hedge effectiveness, and iii) the back-office.

231 Dai-ichi Life Holdings

Integrated Report232

(i) Financial assets and liabilities measured at fair value on the consolidated balance sheet
Fair value
As of March 31, 2022
Level 1
Level 2
Level 3As of March 31, 2022
Carrying amount(Unit: million yen)
51,463
639,068

Stocks and other securities without market prices (*a)(*c)
Ownership stakes in partnerships, etc.(*b)(*c)(*a) Stocks and other securities without market prices include unlisted stocks, etc. and are not subject to disclosure of fair value in accordance with Paragraph 5 of the"Implementation Guidance on Disclosures about Fair Value of Financial Instruments" (ASBJ Guidance No. 19 revised on March 31, 2020).
(*b) Ownership stakes in partnerships, etc. mainly include stakes in anonymous associations and investment partnerships. They are not subject to disclosure of fair value inaccordance with Paragraphs 26 or 27 of the Implementation Guidance on Accounting Standard for Fair Value Measurement (ASBJ Guidance No. 31 issued on July 4,2019).
(*c) Impairment loss of ¥1,155 million was recognized in the fiscal year ended March 31, 2022.
(*3) Excluding general reserves for possible loan losses and specific reserves for possible loan losses related to loans.
(*4) Credits/debts from derivative transactions are presented on a net basis. Figures in [ ] are net debts.

As of March 31, 2023
Carrying
amountFair value

Gains(Losses)

Carrying
amount(Unit: million yen)
(1) Monetary claims bought(2) Money held in trust(3) Securities(*2) (*3)
a. Trading securities
b. Held-to-maturity bondsc. Policy-reserve-matching bonds
d. Available-for-sale securities(4) Loans
Reserve for possible loan losses (*4)
Total assets(1) Bonds payable(2) Long-term borrowings
Total liabilities
Derivative transactions (*5)
a. Hedge accounting not appliedb. Hedge accounting applied
Total derivative transactions

Fair value

Gains(Losses)(Unit: million US dollars)

224,555
6,727

224,555
6,727

-

1,681
50

1,681
50

-

963,741
49,19914,909,516
11,225,442
2,715,410(1,509)2,713,900

963,741
49,375
15,453,495
11,225,442

176
543,978
-

7,217
368

7,217
369

1

111,656

115,730

4,073

2,674,871(39,029)

84,066
20,335(11)
20,32484,066
20,031(292)

30,093,083

30,598,208

505,125

225,365

229,148

3,782

368,715
390,600
759,315

347,041
368,629715,670(21,673)(21,970)(43,644)

2,761

2,598

(162)

2,925

2,760

(164)

5,686

5,359

(326)

32,161

32,161

-

240

240

-

[99,043][97,785]

1,257

[741]

[732]

9

[66,881][65,624]

1,257

[500]

[491]

9

(*1) Cash and deposits, call loans, and payables under repurchase agreements are not included since they are mainly due within a short period of time or have no maturity, andtheir fair value is close to the carrying amounts.
(*2) Net asset value of certain mutual funds is regarded as the fair value in accordance with generally accepted accounting standard, and included in the table above.
(*3) The carrying amount of stocks and other securities without market prices and ownership stakes in partnerships, etc. on the consolidated balance sheet are as follows. They
are not included in the fair value of (3) Securities.

As of March 31, 2023
Carrying amount(Unit: million yen)
(Unit: million US dollars)
Stocks and other securities without market prices(*a)(*c)Ownership stakes in partnerships, etc.(*b)(*c)

56,040765,870419
5,735(*a) Stocks and other securities without market prices include unlisted stocks, etc. and are not subject to disclosure of fair value in accordance with Paragraph 5 of the"Implementation Guidance on Disclosures about Fair Value of Financial Instruments" (ASBJ Guidance No. 19 revised on March 31, 2020).
(*b) Ownership stakes in partnerships, etc. mainly include stakes in anonymous associations and investment partnerships. They are not subject to disclosure of fair value inaccordance with Item 24-16 of "Implementation Guidance on Accounting Standard for Fair Value Measurement" (ASBJ Guidance No.31 revised on June 17, 2021).
(*c) Impairment loss of ¥780 million (US$5 million) was recognized in the fiscal year ended March 31, 2023.
(*4) Excluding general reserves for possible loan losses and specific reserves for possible loan losses related to loans.
(*5) Credits/debts from derivative transactions are presented on a net basis. Figures in [ ] are net debts.

(3) Matters Concerning Fair Value of Financial Instruments and Breakdown by Input Level
The fair values of financial instruments are classified into the following three levels based on the observability andsignificance of the inputs used to measure fair value:
Level 1: Fair value determined based on the observable inputs, such as quoted prices in active markets for identical assets
or liabilities.
Level 2: Fair value determined based on observable inputs other than Level 1 inputs
Level 3: Fair value determined based on significant unobservable inputs
If multiple inputs with a significant impact are used for the fair value measurement of a financial instrument, the financial
instrument is classified into the lowest priority level of fair value measurement in which each input belongs.

233 Dai-ichi Life Holdings

Monetary claims bought
Money held in trust(*1)
Securities(*1)
Trading securities
Available-for-sale securities
Government bonds
Local government bonds
Corporate bonds
Domestic stocks
Foreign bonds
Other foreign securities
Other securities
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal assets
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal liabilities

As of March 31, 2023

8,334

Level 1

239,896
10,190582,361

127,84012

710,213

1,896,749
3,249,996
2,331,995
358,940
3,064

15,782
1,246,704
5,398,685
148,500-

7,966
155,966
20,855-

1,896,749
15,782
1,254,671
3,249,996
7,886,647
528,296
3,064

6,354
12,8478,450,643

33,20029,942
1
1,807
150
7,004,472

424,697

33,20029,942
6,356
14,655150
15,879,813

6,514
17,22923,743545,905
6,129
30
2,311
20
554,397-545,905
6,129
6,545
19,54020
578,140

Level 2

Level 3

Fair value
Total
Level 1

(Unit: million yen)
Monetary claims bought
Money held in trust
Securities(*1)
Trading securities
Available-for-sale securities
Government bonds
Local government bonds
Corporate bonds
Domestic stocks
Foreign bonds
Other foreign securities
Other securities
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal assets
Derivative transactions
Currency-relatedInterest-related
Stock-related
Bond-related
OthersTotal liabilities

Total(Unit: million yen)
239,896
1,855-

Level 2

Level 3

Total

(Unit: million US dollars)--

224,555

224,555

-

-

1,681

1,681

4,212

2,514

-

6,727

31

18

--

50

551,676

398,162

13,902

963,741

4,131

2,981

104

7,217
8,115

1,083,604--

1,083,604

8,115

-

-

-

14,074-

14,074

-

105

-

105

-

1,073,589

10,001

1,083,591

-

8,040

74

8,114

3,160,770--

3,160,770

23,670--23,670437,029

3,772,078

141,063

4,350,171

3,272

28,248

1,056

32,578463,743436,558

57,993

958,295

3,472

3,269

434

7,176

14,536479,383

32,240526,160

108

3,590

241

3,940

-

16,623-

16,623

-

124

-

124

-

34,359-34,359

257

-

257

3,889

0

-

3,890

29

0

-

29

2,119

909

-

3,029

15

6

-

22

-

575

-

575

-

4

-

4

5,721,583

6,228,831

479,756

12,430,171

42,84846,647

3,592

93,088-95,733-

95,733

-

716

-

716

-

27,493-27,493

-

205

-

205

589

19

-

608

4

0

-

4

1,172

182

-

1,354

8

1

-

10

-

169

-

169

-

1

-

1

1,761

123,598-

125,360

13

925

-

938

(*1) Certain Mutual funds whose net asset value are regarded as the fair value in accordance with Item 24-3 of "Implementation Guidance on Accounting Standard for Fair Value
Measurement" (ASBJ Guidance No.31 revised on June 17, 2021) are not included in the table above. The amount of such mutual funds on the consolidated balance sheet is¥48,773 million (US$365 million). Reconciliation between the beginning and ending balance and breakdown of restriction on cancellation as of the fiscal year ended March 31,
2023 have been omitted as the amount of such mutual funds is immaterial.

Integrated Report234

(ii) Financial assets and liabilities not measured at fair value on the consolidated balance sheet
Fair value
As of March 31, 2022
Level 1
Level 2
Level 3amount on the consolidated balance sheet minus reserve for possible loan losses as of March 31, 2023. Therefore, thatamount (the carrying amount on the consolidated balance sheet minus reserve for possible loan losses) is recorded as fairvalue for risk-monitored loans and classified into Level 3.
Also, loans without a due date because of their characteristics that their exposure is limited to the amount of theircollaterals, are deemed to have fair value close to book value, taking into account estimated repayment period and interest
rates. Therefore, their book value is recorded as the fair value and classified into Level 3.

Total(Unit: million yen)
Securities
Held-to-maturity bonds
Government bonds
Foreign bonds
Policy-reserve-matching bonds
Government bonds
Local government bonds
Corporate bonds
Foreign bonds
Loans
Total assets
Bonds payable
Long-term borrowings
Total liabilities

As of March 31, 2023

Level 1

48,407--

1,155

48,4071,155

14,992,503
15,040,910-

99,600576,876
70,244
746,722
371,486
371,4862,596,244
2,597,400
465,819465,819

14,992,503
99,600576,876
70,2442,596,244
18,385,033
371,486
465,819
837,305

Level 2

Fair value
Total
Level 1

Level 3

(Unit: million yen)
Securities
Held-to-maturity bonds
Government bonds
Foreign bonds
Policy-reserve-matching
bonds
Government bonds
Local government bonds
Corporate bonds
Foreign bonds
Loans
Total assets
Bonds payable
Long-term borrowings
Total liabilities

Level 2

Level 3Liabilities
Bonds payable
The fair value of bonds payable for which quoted market prices can be used is based on the quoted market prices. Bonds
payable are classified into Level 2.
Long-term borrowings
The fair value of long-term borrowings is calculated by discounting future cash flows, using interest rates corresponding to
the internal credit rating and remaining periods which are assumed to be applied to new borrowings. Long-term borrowings areclassified into Level 3.

Derivative Transactions

Total(Unit: million US dollars)

48,000--48,000

359

-

-

359

-

-

1,374

1,374

-

-

10

10

14,710,589--

14,710,589

110,166--

110,166-

105,801-

105,801

-

792

-

792

-

573,661-

573,661

-

4,296

-

4,296

-

63,441-

63,441

-

475

-

475

-

-

2,674,871

2,674,871--

20,031

20,031

14,758,590

742,905

2,676,246

18,177,741

110,526

5,563

20,042

136,132-

347,041-

347,041

-

2,598

-

2,598

-

-

368,629

368,629

-

-

2,760

2,760

-

347,041

368,629715,670

-

2,598

2,760

5,359

(Note 1) Description of the evaluation methods and inputs used to measure fair value
AssetsMonetary claims bought
The fair value of monetary claims bought is measured using the price obtained by outside contractors and counterparty
financial institutions. Since significant unobservable inputs are used for the price obtained, the fair value of monetary claimsbought is classified into Level 3.

The fair value of listed derivative transactions for which unadjusted quoted market prices in active markets are available isclassified into Level 1. These mainly include stock-related transactions and bond-related transactions. If the market is not active, thefair value of listed derivative transactions is classified into Level 2, irrespective of whether disclosed quoted market prices are used.
The fair value of over-the-counter derivative transactions is mainly based on the prices calculated using discounted present
values obtained from outside contractors and counterparty financial institutions and option valuation models, etc. The inputs used in
the valuation method for calculating the price of over-the-counter derivative transactions are mainly interest rate, foreign exchange
rate, and volatility. Since no significant unobservable inputs are used or their effects are not significant, the fair value ofover-the-counter derivative transactions is classified into Level 2.

(Note 2) Quantitative information about financial assets and liabilities measured and stated on the consolidated balance
sheet at fair value and classified into Level 3(i) Quantitative information on significant unobservable inputs
As of March 31, 2022

Valuation method

Significant
unobservable input

Range

Securities
Available-for-sale securities
Other foreign securities

Discounted cash flow

Discount rate

5.87%

As of March 31, 2023

Valuation method

Significant
unobservable input

Range

Securities
Available-for-sale securities
Other foreign securities

Discounted cash flow

Discount rate

7.25%

Money held in trust
The fair value of money held in trust is based on the price presented by counterparty financial institutions. Money held in
trust is classified into either Level 1 or Level 2, mainly based on constituents held in trust.
Securities
The fair value of securities for which unadjusted quoted market prices in active markets are available is classified into Level
1. These include stocks and government bonds, among others. If the market is not active, the fair value of securities isclassified into Level 2, irrespective of whether disclosed quoted market prices are used.
The fair value of bonds for which quoted market prices are not used as fair value is measured mainly using prices
obtained from outside contractors and counterparty financial institutions. The present value of these prices is calculated bydiscounting future cash flows at a discount rate (i.e., a risk-free interest rate that takes into account credit spread). The fairvalue of bonds is classified into Level 2 if observable inputs are used in the calculation, and Level 3 if significant unobservable
inputs are used.
The fair value of mutual funds without market prices is based on net asset value unless there is no significant restriction on
cancellation. The fair value is classified into either Level 2 or Level 3, mainly based on constituents held in trust.
Loans
The fair value of loans is calculated by discounting future cash flows of the subject loan, using interest rates corresponding
to the internal credit rating and remaining periods which are assumed to be applied to new loans to the subject borrower.
Loans are classified into Level 3.
Additionally, for risk-monitored loans, reserve for possible loan losses is calculated based on the present value of estimatedfuture cash flows or the amount deemed recoverable from collateral and guarantees and the fair value is close to the carrying

235 Dai-ichi Life Holdings

Integrated Report236

(ii) Reconciliation between the beginning and ending balance, and net unrealized gains (losses) recognized in the earnings of thecurrent fiscal year
Gains (losses) or othercomprehensive incomein the current fiscal year

As of
March 31, 2022

Balance atthebeginningof the year

Gains(losses)recordedin
consolidated
statementofearnings(*1)

Amountrecordedin othercomprehensive
income(*2)

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Transfer toLevel 3(*3)

Balance atthe end of
the year

Gains (losses)
on valuation offinancial assets
and liabilities
held at theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)(Unit: million yen)
Monetary claimsboughtSecurities
Trading securities
Available-for-salesecurities
Corporate bonds
Foreign bonds
Other foreign
securities
Other securities

252,140(1,831)(1,073)(9,338)-239,896(1,777)

-

-

-

-

12

12

-

8,182
145,943

774
3,853

(4)
3,993

(985)
2,176

-

7,966
155,966682
8,610

20,248-2,483(1,875)-20,855

-

-

-

-

-

-

-

-

(*1) Gain/Loss recorded as investment income and investment expenses in consolidated statement of earnings.
(*2) Gain/Loss recorded in net unrealized gains (losses) on securities, net of tax of Other comprehensive income in consolidated statement of comprehensive income.
(*3) Transfer from Level 2 to Level 3 due to the lack of observable market data due to decreased market activity.

Gains (losses) or othercomprehensive incomein the current fiscal year

As of
March 31, 2023

Balance atthebeginningof the year

Gains(losses)recordedin
consolidated
statementofearnings(*1)

Amountrecordedin othercomprehensive
income(*2)

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Transfer toLevel 3(*3)

Balance atthe end of
the year

Gains (losses)
on valuation offinancial assets
and liabilities
held at theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)

Gains (losses) or othercomprehensive incomein the current fiscal year

As of
March 31, 2023

Balance atthe end of
the year

Gains (losses)
on valuation offinancial assets
and liabilities
held at theconsolidatedbalance sheet
date out of
amounts
recognized inconsolidated
statement of
earnings(*1)

-

1,681

-

21

-

104

(7)

0
(33)

11
(213)

41

74
1,056

9
77

-

(2)

29

-

434

-

-

27

(0)

-

241

-

Variableamount(net
amount)bypurchase,sale, issue
andsettlement

Balance atthebeginningof the year

Gains(losses)recordedin
consolidated
statementofearnings
(*1)

1,796

12

(40)

(87)

94

(11)

-

59
1,248

3
13

407
213

Amountrecordedin othercomprehensive
income(*2)

Transfer toLevel 3(*3)(Unit: million US dollars)Monetary claimsboughtSecurities
Trading securities
Available-for-salesecurities
Corporate bonds
Foreign bonds
Other foreign
securities
Other securities(*1) Gain/Loss recorded as investment income and investment expenses in consolidated statement of earnings.
(*2) Gain/Loss recorded in net unrealized gains (losses) on securities, net of tax of Other comprehensive income in consolidated statement of comprehensive income.
(*3) Transfer from Level 2 to Level 3 due to the change in the observability of inputs as a result of the change in the fair value measurement method as of March 31, 2023.

(iii) Description of the fair value valuation process
The Company and its subsidiaries have established policies and procedures for measuring the fair value and classifying the fairvalue level in the accounting department. In accordance with these policies and procedures, the investment management service
department selects the fair value valuation model, and then measures the fair value and classifies the fair value by level. For suchfair value, the appropriateness of the valuation methods and inputs used in the measurement of the fair value and theappropriateness of the classification of the level of fair value are verified. In addition, when using the quoted market prices obtained
from a third party as fair value, the validity is verified by appropriate methods such as confirmation of the valuation method andinputs used and comparison with the fair value of similar financial instruments.
(iv) Explanation of the sensitivity of the fair value to changes in significant unobservable input
Discount rate is an adjustment rate to the base market interest rate and adjusted by reflecting the uncertainty of cash flows andthe liquidity of financial instruments. In general, a significant increase (decrease) in the discount rate results in a significant decrease(increase) in the fair value.

(Unit: million yen)
Monetary claimsboughtSecurities
Trading securities
Available-for-salesecurities
Corporate bonds
Foreign bonds
Other foreign
securities
Other securities

237 Dai-ichi Life Holdings

239,896

1,722(5,373)(11,690)-

224,555-

12,612(1,547)

-

2,837

-

13,902

(974)

7,966
166,722

528
1,773

35
(4,510)1,469(28,494)

5,572

10,001141,063

1,213
10,31354,448

-

(369)

3,914

-

57,993-28,543

-

3,697

(0)

-

32,240-Integrated Report23823. Assets and Liabilities Held in Separate Accounts

20. Real Estate for Rent
The Company owns a number of commercial buildings, including land, for rent in various locations, including Tokyo. Net rental
income from such real estate for rent for the fiscal year ended March 31, 2022 and 2023 were ¥32,303 million and ¥25,607 million(US$191 million), respectively. The rental income was included in investment income and the rental expense was included ininvestment expenses. Gains on sale as extraordinary gains for the fiscal year ended March 31, 2022 and 2023 were ¥4,127
million and ¥602 million (US$4 million), respectively. Impairment losses on rental real estate as extraordinary losses for the fiscal
year ended March 31, 2022 and 2023 were ¥3,848 million and ¥15,829 million (US$118 million), respectively.
The carrying amount, net change during the year and the fair value of such rental real estate, were as follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Carrying amountThe total amounts of assets held in separate accounts defined in Article 118 Paragraph 1 of the Insurance Business Act as ofMarch 31, 2022 and 2023 were ¥1,765,033 million and ¥1,672,707 million (US$12,526 million), respectively. Separate accountliabilities were the same amount as the separate account assets.

24. Contingent Liabilities
Guarantee for debt obligations of a separate company were as follows:2022

As of March 31,2023(Unit: million yen)
Dai-ichi Life Holdings, Inc.

250,002250,0022022

As of March 31,
2023

2023
(Unit: million
US dollars)
1,872

25. Changes in Reserve for Policyholder Dividends
Changes in reserve for policyholder dividends were as follows:

Beginning balance

787,387

859,937

6,440

Net change for the year

72,54978,003584

Ending balance

859,937

937,941

7,024

1,144,726

1,284,841

9,622

Fair value(*1) The carrying amount of rental real estate on the consolidated balance sheet was acquisition costs net of accumulated depreciationand impairments.
(*2) Net change in the carrying amount included cost of acquisition of the real estate of ¥98,927 million, sale of the real estate of¥24,096 million, depreciation expense of ¥13,423 million, and impairment loss of ¥3,848 million, during the fiscal year ended
March 31, 2022.
Net change in the carrying amount included cost of acquisition of the real estate of ¥153,805 million (US$1,151 million), sale of thereal estate of ¥55,995 million (US$419 million), depreciation expense of ¥13,631 million (US$102 million), and impairment loss of¥15,829 million (US$118 million), during the fiscal year ended March 31, 2023.
(*3) The Company calculates the fair value of the majority of the rental real estate based on real estate appraisal standards andassessment by an independent appraiser, and others based on internal but reasonable estimates.

21. Securities Lending
Securities lent under lending agreements are included in the consolidated balance sheet. The total balance of securities lent asof March 31, 2022 and 2023 were ¥4,669,012 million and ¥2,399,254 million (US$17,967million), respectively.

22. Risk-managed claims
The amounts of claims against bankrupt and quasi-bankrupt obligors, claims with collection risk, claims that are overdue forthree months or more, and claims with repayment relaxation, which were included in claims, were as follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Claims against bankrupt and quasi-bankrupt obligors(*1)

79

87

0

7,273

2,552

19

-

-

-

Claims with repayment relaxation(*4)

1,108

-

-

Total

8,460

2,639

19

Claims with collection risk (*2)
Claims that are overdue for three months or more (*3)(*1) Claims against bankrupt and quasi-bankrupt obligors are loans to borrowers who are subject to bankruptcy, corporate
reorganization or rehabilitation or other similar proceedings and other borrowers in serious financial difficulties.
(*2) Claims with collection risk are loans to obligors (other than bankrupt and quasi-bankrupt obligors) with deteriorated financial
condition and results of operations from which it is unlikely that the principal and interest on the loans will be recovered.
(*3) Claims that are overdue for three months or more are loans for which payment of principal or interest is delayed for three months ormore from the day following the contracted payment date. This category excludes claims against bankrupt and quasi-bankrupt
obligors and claims with collection risk.
(*4) Claims with repayment relaxation are loans for which certain concessions favorable to the debtor, such as interest rate reductionand exemption, interest payment deferment, principal repayment deferment, debt waiver, etc., for the purpose of rebuilding or
supporting the debtor. This category excludes claims against bankrupt and quasi-bankrupt obligors, claims with collection risk andclaims that are overdue for three months or more.
As a result of the direct write-off of claims described in Note 7, the decreases in claims against bankrupt and quasi-bankrupt
obligors as of March 31, 2022 and 2023 were ¥1 million and ¥1 million (US$0 million), respectively.

239 Dai-ichi Life Holdings(Unit: million yen)

2023
(Unit: million
US dollars)
3,094

Balance at the beginning of the fiscal year

400,999

413,222

Dividends paid during the fiscal year

83,541

93,123

Interest accrual during the fiscal year

8,264

8,305

62

Provision for reserve for policyholder dividends

87,50095,000711

Balance at the end of the fiscal year

413,222423,403

3,170

697

26. Stocks of Subsidiaries and Affiliated Companies
The amounts of stocks of and stakes in non-consolidated subsidiaries and affiliated companies the Company held were as
follows:
As of March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Stocks
4,337
4,985
37
Capital188,193

196,216

1,469

Total

192,531201,202

1,506

27. Organizational Change Surplus
As of March 31, 2022 and 2023, the amounts of organizational change surplus stipulated in Article 91 of the Insurance
Business Act were ¥117,776 million and ¥117,776 million (US$882 million), respectively.

28. Assets Pledged as Collateral / Secured Liabilities
The amounts of securities and cash and deposits pledged as collateral were as follows:
As of March 31,
2022
2023
(Unit: million yen)
Securities
Cash and deposits
Total

3,227,718

370,019

2023(Unit: million
US dollars)
2,771

86

86

0

3,227,805

370,106

2,771

2022

As of March 31,
2023

The amounts of secured liabilities were as follows:(Unit: million yen)
Payables under repurchase agreements

2,954,780

304,005

2023(Unit: million
US dollars)
2,276

The amounts of "Securities" pledged as collateral under repurchase agreements as of March 31, 2022 and 2023
were ¥2,797,311 million and ¥292,786 million (US$2,192 million), respectively.

29. Net Assets per Share
The amounts of net assets per share of the Company as of March 31, 2022 and 2023 were ¥460,884,611.14 and¥353,409,439.53 (US$2,646,666.96 million), respectively.

Integrated Report240d) Amount of the components of retirement benefit expenses

30. Employees' Retirement Benefits(1) Overview of Employees' Retirement Benefit Plan of the Company
As a defined benefit plan for its sales representatives, the Company has established and maintained a benefit planconsisting of retirement lump sum grants and company administered pension. For its administrative personnel, the Company
has established and maintained a benefit plan consisting of defined benefit corporate pension and retirement lump sum grants
as a defined benefit plan and defined contribution pension as a defined contribution plan.
(2) Defined Benefit Plansa) Reconciliations of beginning and ending balances of projected benefit obligations
Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)a. Beginning balance of the projected benefit obligations
686,771
680,173
5,093
b. Service cost
26,177
24,329182c.

Interest costd. Accruals of actuarial (gains) and losses
e. Payment of retirement benefits

2,058

15

(577)

(868)

(6)

(33,345)(39,066)

(292)

f.

Accuruals of past service costg. Others
h. Ending balance of the projected benefit obligation(a + b + c + d + e + f + g)

2,038

-

-

-

(911)

(895)

(6)

680,173665,7114,985b) Reconciliations of beginning and ending balances of pension assets
Year ended March 31,
2023

a. Service costb. Interest cost

26,177
2,058

2,038

15

c.

(1,837)(1,832)

(13)

4,114

9,122

68

174

175

1

68

101

0

30,75533,934254

Expected return on assets

d. Expense of actuarial (gains) and losses
e. Expense of past service costf.

Othersg. Retirement benefit expenses for defined benefit plans(a + b + c + d + e + f)

24,329e) Remeasurements of defined benefit plans
Breakdown of items recorded in remeasurements of defined benefit plans (before applicable tax effect) was as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Past service cost
151
172
1
Actuarial gains (losses)

21,86018,298137

Total

22,012

18,470

138

1,837

1,832

13

17,103

8,273

61

6,719

6,697

50

Unrecognized actuarial gains (losses)(16,443)(34,742)

(260)

Total

(15,256)(33,727)(252)(Unit: million yen)
279,877

297,1072023(Unit: million
US dollars)
2,225

d. Contribution from the employer
e. Payment of retirement benefits(8,430)(7,191)(53)

f.

297,107306,7182,296

Ending balance of pension assets (a + b + c + d + e)

(Unit: million yen)c) Reconciliations of year-end balance of projected benefit obligations and pension assets, and net defined benefit liabilities
and assets that have been recorded in the consolidated balance sheet
Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)a. Projected benefit obligation for funded pensions
359,773
349,975
2,620
b. Pension assets(297,107)(306,718)(2,296)

Stocks64%

50%

Assets under joint management

21%

20%

c.

Bonds

2%

18%

Life insurance general account

1%

3%

Subtotal (a + b)

d. Projected benefit obligation for unfunded pensions
e. Net of assets and liabilities recordedin the consolidated balance sheet (c + d)
f. Net defined benefit liabilities
g. Net defined benefit assets
h. Net of assets and liabilities recorded in the balance sheet (f + g)

2023
(Unit: million
US dollars)
182f) Accumulated remeasurements of defined benefit plans
Breakdown of items recorded in accumulated remeasurements of defined benefit plans (before applicable tax effect) was
as follows:Year ended March 31,
2022
2023
2023
(Unit: million(Unit: million yen)
US dollars)
Unrecognized past service cost
1,187
1,015
7

2022

a. Beginning balance of pension assets
b. Estimated return on assetsc. Accruals of actuarial (gains) and losses

Year ended March 31,
2023

2022

62,66543,256323

320,399

315,7362,364

383,065

358,992

2,688

383,065

358,992

2,688

-

-

-

383,065

358,9922,688g) Pension assets
i The main components of the pension assets
Ratios of the major assets to the total pension assets were as follows:Year ended March 31,
2022
2023

Others

12%

9%

Total

100%

100%

Note: The proportion of retirement benefit trust to total pension assets that has been set for the unfunded retirement benefit
plans as of March 31, 2022 and 2023 were 56% and 59%, respectively.
ii The method of setting the expected long-term rate of return on pension assets
To determine the expected long-term rate of return on pension assets, the Company has taken into account theallocation of pension assets at present and in future, and long-term rate of return on a variety of assets that make up thepension assets at present and in future.

241 Dai-ichi Life Holdings

Integrated Report242

Ⅳ. NOTES TO THE CONSOLIDATED STATEMENT OF EARNINGSh) Calculation basis of actuarial gains and losses
Major assumptions of basis of actuarial calculation as of the fiscal year-end were as follows:

1.

Year ended March 31,
2022
2023
Discount rate

0.30%

0.30%

Defined benefit corporate pension

1.40%

1.40%

Employee pension trust

0.00%

0.00%

Expected long-term rate of return(2) Reinsurance Income
Reinsurance income is recorded as amounts equivalent to the portion reinsured under reinsurance contracts out of theamounts paid as claims, etc. under direct insurance contracts at the time when those claims, etc. are paid.

i) Defined Contribution Plans
Required amounts of contribution to defined contribution plans of the Company for the fiscal years ended March 31, 2022
and 2023 were ¥1,602 million and ¥1,475 million (US$11 million), respectively.

(3) Benefits and claims (excluding ceding reinsurance commissions)Benefits and claims (excluding ceding reinsurance commissions) are recorded for contracts for which amounts calculated
under policy conditions have been paid in the occurrence of insured events under the policy conditions by the relevant
amounts paid.
In accordance with Article 117 of the Insurance Business Act, reserves for outstanding claims are set aside for claims, etc.
for which the Company has a payment due but has not paid, or for which the occurrence of the insured events has not beenreported but the Company finds that insured events have already occurred, as of the end of the fiscal year.

31. Securities Borrowing
Securities borrowed under borrowing agreements can be sold or pledged as collateral. As of March 31, 2022 and 2023, themarket value of the securities which were not sold or pledged as collateral were ¥4,692 million and ¥28,379 million (US$212
million). None of the securities were pledged as collateral as of March 31, 2022 and 2023, respectively.

32. Commitment LineAs of March 31, 2022 and 2023, there were unused commitment line agreements, under which the Company was the lenders,of ¥43,321 million and ¥47,237 million (US$353 million), respectively.

(4) Ceding reinsurance commissions
Ceding reinsurance commissions are recorded in agreed amounts in accordance with reinsurance contracts at the timeeither when insurance premiums under direct insurance contracts are received, or when the reinsurance contracts are entered
into.
Part of policy reserves and reserves for outstanding claims corresponding to insurance contracts which have been
reinsured is not set aside in accordance with Article 71, Paragraph 1 and Article 73, Paragraph 3 of the Ordinance for
Enforcement of the Insurance Business Act.

33. Subordinated Debt and Other Liabilities
As of March 31, 2022 and 2023, other liabilities included subordinated debt of ¥470,600 million and ¥390,600 million(US$2,925 million), respectively, whose repayment is subordinated to other obligations.

34. Bonds Payable
As of March 31, 2022 and 2023, bonds payable included foreign currency-denominated subordinated bonds of ¥368,715
million and ¥368,715 million (US$2,761 million), respectively, whose repayment is subordinated to other obligations.

2.

Net Income per Share
Net income per share for the fiscal year ended March 31, 2022 and 2023 were ¥33,214,545.02 and ¥27,423,671.54(US$205,374.60), respectively. Diluted net income per share for the same period is not presented because there were no existing
diluted shares.

35. Application of the Group Tax Sharing System
Effective the fiscal year ended March 31, 2023, the Company has adopted the Group Tax Sharing System, in which Dai-ichi
Life Holdings, Inc. is the tax sharing parent company. The Company has applied the accounting and disclosure treatment ofcorporate tax, local corporate tax and deferred tax accounting in accordance with "Practical Solution on the Accounting andDisclosure Under the Group Tax Sharing System" (ASBJ PITF No. 42, issued on August 12, 2021).

Accounting Policies for Premium and Other Income and Benefits and Claims for the Company(1) Premium and other income (excluding reinsurance income)Premium and other income (excluding reinsurance income) are recorded for insurance contracts for which insurance
premium has been received and the insurer's liability under the insurance contracts has commenced by the relevant amounts
received.
Of premium and other income (excluding reinsurance income), the portion corresponding to the period that has yet to passas of the end of the fiscal year is set aside as policy reserves in accordance with Article 69, Paragraph 1, Item 2 of theOrdinance for Enforcement of the Insurance Business Act.

3.

Impairment Losses on Fixed Assets
Details of impairment losses on fixed assets for the fiscal year ended March 31, 2022 and 2023 were as follows:(1) Method of Grouping Assets
Real estate and other assets used for insurance business purposes are recognized as one asset group. Each property forrent and property not in use, which is not used for insurance business purposes, is deemed to be an independent asset group.
(2) Background for Recognition of Impairment Losses
As a result of significant declines in profitability or market value of some asset groups, the Company wrote down the bookvalue of these assets to the recoverable value, and reported such write-off as impairment losses in extraordinary losses.
(3) Breakdown of Impairment Losses
Impairment losses by asset group for the fiscal year ended March 31, 2022 were as follows:

Asset Group

Real estate for rent
Real estate not in use
Total

243 Dai-ichi Life Holdings

Place

Morioka city,
Iwate Prefecture
Yokohama city,
Kanagawa Prefecture and others-

NumberImpairment Losses
Leasehold
Buildings
right(Unit: million yen)

Land

Total

1

1

-

2

3

18

1,035

-

2,811

3,846

19

1,036

-

2,813

3,850

Integrated Report244

V. NOTES TO THE CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

Impairment losses by asset group for the fiscal year ended March 31, 2023 were as follows:
Impairment Losses
Asset Group

Place

NumberLand

Leasehold right

Buildings

Total(Unit: million yen)
Real estate
not in use

Chuo-ku,
Tokyo andothers

19

9,082

3,402

3,396

Land

Leasehold right

Buildings

Total

15,88168

25

25

Year ended March 31,2023(Unit: million yen)

(Unit: million US dollars)
118(4) Calculation of Recoverable Value
Value in use or net sale value is used as the recoverable value of real estate for rent, and net sale value is used as therecoverable value of real estate not in use. Discount rates of 2.11% and 2.00% for the fiscal year ended March 31, 2022 and2023, respectively, were applied for discounting future cash flows in the calculation of value in use. Estimated disposal value,
appraisal value based on real estate appraisal standards, or appraisal value based on publicly assessed land value for tax
purposes is used as the net sale value.

245 Dai-ichi Life Holdings

2022

Net unrealized gains (losses) on securities, net of tax
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectNet unrealized gains (losses) on securities, net of tax
Deferred hedge gains (losses)
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effect
Deferred hedge gains (losses)
Reserve for land revaluation
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectReserve for land revaluation
Foreign currency translation adjustments
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectForeign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Amount incurred during the year
Amount reclassified
Before tax adjustment
Tax effectRemeasurements of defined benefit plans, net of tax
Share of other comprehensive income of subsidiaries and affiliates
accounted for under the equity method
Amount incurred during the year
Amount reclassified
Share of other comprehensive income of subsidiaries andaffiliates accounted for under the equity method
Total other comprehensive income

2023(Unit: million
US dollars)(444,239)(119,023)(563,263)
157,068(406,195)(737,999)(103,983)(841,983)
235,165(606,817)(5,526)(778)(6,305)
1,761(4,544)(26,870)
1,728(25,142)
7,022(18,119)(31,422)
9,175(22,246)
6,213(16,033)

(235)
68
(166)
46
(120)

(25)
(25)

-

-

(942)
(942)
(942)

(79)
(79)
(79)

(0)
(0)
(0)

17,681
4,330
22,012(6,147)
15,8649,141
9,329
18,470(5,158)13,311

68
69
138
(38)
99

(0)
-

(0)
-

(0)
-

(0)

(0)

(0)

(409,417)(609,618)(4,565)Integrated Report246

Ⅵ. NOTES TO THE CONSOLIDATED STATEMENT OF CASH FLOWS
1. Scope of Cash and Cash Equivalents
Cash and cash equivalents in the consolidated statement of cash flows consist of cash on hand, demand deposits andshort-term investments with a maturity of three months or less from the date of acquisition, which are readily convertible into cash
and have an insignificant risk of changes in value.

Ⅶ. NOTES TO THE CONSOLIDATED STATEMENT OF CHANGE IN NET ASSETS
1.

For the Year Ended March 31, 2022
(1) Type and Number of Shares Outstanding
Year ended March 31, 2022
At the beginningof the year

Increase during
the year

Decrease during
the yearAt the endof the year

(Unit: thousands shares)
Common stock

6

-

-

6

(2) Dividends on Common Stock(a) Cash Dividends
Date of resolution
June 16, 2021 (at the Annual General Meeting of Shareholders)Type of shares
Common stock
Total dividends¥158,716 million
Dividends per share¥26,452,800
Record date
March 31, 2021
Effective dateJune 17, 2021
Dividend resource
Retained earnings
Date of resolution
Type of shares
Total dividends
Dividends per share
Record date
Effective date
Dividend resource

June 16, 2021 (at the Annual General Meeting of Shareholders)Common stock¥49,999 million¥8,333,300
March 31, 2021
June 17, 2021
Capital surplus(b) Dividends, the record date of which was March 31, 2022, to be paid out in the year ending March 31, 2023
Date of resolution
June 15, 2022 (at the Annual General Meeting of Shareholders)Type of shares
Common stock
Total dividends¥199,776 million
Dividends per share¥33,296,000
Record date
March 31, 2022
Effective dateJune 16, 2022
Dividend resource
Retained earnings

247 Dai-ichi Life Holdings

Integrated Report

248

2.

For the Year Ended March 31, 2023
(1) Type and Number of Shares Outstanding
Year ended March 31, 2023
At the beginningof the year

Increase during
the year

Decrease during
the yearAt the endof the year

(Unit: thousands shares)
Common stock

6

-

-

6

(2) Dividends on Common Stock(a) Cash Dividends
Date of resolution
June 15, 2022 (at the Annual General Meeting of Shareholders)Type of shares
Common stock
Total dividends¥199,776 million (US$1,496 million)
Dividends per share¥33,296,000 (US$249,352)
Record date
March 31, 2022
Effective dateJune 16, 2022
Dividend resource
Retained earnings(b) Dividends, the record date of which was March 31, 2023, to be paid out in the year ending March 31, 2024a) Dividends
Date of resolution
June 21, 2023 (at the Annual General Meeting of Shareholders)Type of shares
Common stock
Total dividends¥165,646 million (US$1,240 million)
Dividends per share¥27,607,800 (US$206,753)
Record date
March 31, 2023
Effective dateJune 22, 2023
Dividend resource
Retained earnings
Date of resolution
Type of shares
Total dividends
Dividends per share
Record date
Effective date
Dividend resourceb) Dividends in Kind
Date of resolution
Type of shares
Type of the dividend property
Book value of the dividend
property
Record date
Effective date
Dividend resource

249 Dai-ichi Life Holdings

June 21, 2023 (at the Annual General Meeting of Shareholders)Common stock¥49,999 million (US$374 million)¥8,333,300 (US$62,407)
March 31, 2023
June 22, 2023
Capital surplus

June 21, 2023 (at the Annual General Meeting of Shareholders)
Preferred stock
Securities¥20,473 million (US$153 million)
March 31, 2023
June 22, 2023
Capital surplus

Integrated Report250

251 Dai-ichi Life Holdings

Integrated Report252

Solvency Margin Ratio(2) The Dai-ichi Life Insurance Company, Limited
Solvency Margin Ratio
As of March 31, 2022

As of March 31, 2023

Total solvency margin (A)6,483,789

5,522,299

Total risk (B)1,429,122

1,276,100(1) Dai-ichi Life Holdings, Inc.
Consolidated Solvency Margin Ratio(Unit: million yen)
As of March 31, 2022
Total solvency margin (A)Common stock, etc. (*1)

As of March 31, 2023

8,344,432

5,975,158

1,561,364

1,279,814

Reserve for price fluctuations

287,358

305,588

Contingency reserve

715,990

700,768

Catastrophe loss reserve

―

5,431

General reserve for possible loan losses(Net unrealized gains (losses) on securities(before tax) and deferred hedge gains(losses) (before tax) ) × 90% (*2)
Net unrealized gains (losses) on real estate
× 85% (*2)
Sum of unrecognized actuarial differences
and unrecognized past service cost
Policy reserves in excess of surrender values

276

1,506

2,946,332

994,789

361,793

378,466

11,99932,3382,250,869

2,305,927

1,003,715

923,715(582,596)(732,013)(278,668)(285,591)

Qualifying subordinated debt
Excluded portion of policy reserves in excess
of surrender values and qualifying
subordinated debt
Excluded items
OthersTotal risk

(B)

(Unit: million yen)

Solvency margin ratio(A)
907.3%
865.4%
×100(1/2)×(B)
Note:The figures are calculated based on Articles 86, 87 of the Enforcement Regulations of Insurance Business Act, and Announcement No. 50,
Ministry of Finance, 1996.

Consolidated Solvency Margin Ratio(Unit: million yen)
As of March 31, 2022

Total solvency margin (A)6,310,480

5,359,924

Total risk (B)1,369,500

1,214,222

Solvency margin ratio(A)
921.5%
×100(1/2)×(B)
Note: The figures are calculated based on Article 86-2 and 88 of the Enforcement Regulations of Insurance
Business Act, and Notification of the Financial Services Agency No. 23, 2011.

65,99864,416
1,697,186

Insurance risk

R1

149,541

166,136

General insurance risk

R5

4,196

14,892

Catastrophe risk

(Unit: million yen)
As of March 31, 2022
508,974

465,567

Total risk (B)196,970

211,351

Solvency margin ratio(A)
516.8%
440.5%
×100(1/2)×(B)
Note: The figures are calculated based on Articles 86, 87 of the Enforcement Regulations of Insurance Business Act, and Announcement No. 50,
Ministry of Finance, 1996.

R6

1,599

1,788

185,479

188,21315

0

209,933

207,478(4) The Neo First Life Insurance Company, Limited

Guaranteed minimum benefit risk

R7 (*3)76,19374,625

Solvency Margin Ratio

Investment risk

R3

1,487,381

1,335,020

Business risk

R442,286

39,763

Note: The above figures are calculated based on Article 210-11-3 and 210-11-4 of the Enforcement Regulations of Insurance Business Act,and Notification of the Financial Services Agency No. 23, 2011.

As of March 31, 2023

Total solvency margin (A)

3rd sector insurance risk
R8
Smallamountandshort-term
R9insurance risk
Assumed investment yield risk
R2

Solvency margin ratio(A)
902.6%
704.1%
×100(1/2)×(B)*1: Expected disbursements of capital to outside the Company and accumulated other comprehensive income, etc. are excluded.
*2: Multiplied by 100% if losses.
*3: Calculated by standard method.

882.8%(3) The Dai-ichi Frontier Life Insurance Co., Ltd.
Solvency Margin Ratio

1,848,774

As of March 31, 2023

(Unit: million yen)
As of March 31, 2022

As of March 31, 2023

Total solvency margin (A)14,05749,368

Total risk (B)

2,528

2,280

Solvency margin ratio(A)
1,111.8%
4,329.0%×100(1/2)×(B)
Note: The figures are calculated based on Articles 86, 87 of the Enforcement Regulations of Insurance Business Act, and Announcement No. 50,
Ministry of Finance, 1996.

(5) ipet Holdings, Inc.
Consolidated Solvency Margin Ratio(Unit: million yen)
As of March 31, 2022

As of March 31, 2023

Total solvency margin (A)9,193

11,074

Total risk (B)

7,446

8,666

Solvency margin ratio(A)
246.9%
255.5%
×100(1/2)×(B)
Note: The above figures are calculated based on Article 210-11-3 and 210-11-4 of the Enforcement Regulations of Insurance Business Act,and Notification of the Financial Services Agency No. 23, 2011

253 Dai-ichi Life Holdings

Integrated Report254

(6) ipet Insurance Co., Ltd.
Solvency Margin Ratio(Unit: million yen)
As of March 31, 2022

As of March 31, 2023

Total solvency margin (A)9,804

11,828

Total risk (B)

7,338

8,666

Solvency margin ratio(A)
267.2%
272.9%
100(1/2)(B)
Note: The figures are calculated based on Articles 86, 87 of the Enforcement Regulations of Insurance Business Act, and Announcement No. 50,
Ministry of Finance, 1996.

(7) Dai-ichi Smart Small-amount and Short-term Insurance Company, Limited
Solvency Margin Ratio(Unit: million yen)
As of March 31, 2022

As of March 31, 2023

Total solvency margin (A)

162

829

Total risk (B)1601,964.6%

2,922,192.9%

Solvency margin ratio(A)(1/2)(B)100

Note: The figures are calculated based on Article 211-59 and 211-60 of the Enforcement Regulations of Insurance Business Act, and Notification of
the Financial Services Agency No. 14, 2006.

255 'DLLFKL/LIH+ROGLQJV

Integrated Report

256

Data

Glossary of Terms

A Note on the Publication of the Dai-ichi Life Holdings Integrated Report 2023

Adjusted ROE/
Group adjusted ROE

Group adjusted ROE = Adjusted profit (Net assets – (goodwill + unrealized gains or losses on fixed-income assets (netof tax) + cumulative gains or losses on market value adjustment (MVA) (net of tax), etc.))

its customers, society, and the economy. Our history of more than 120 years is a story of value creation throughA unique indicator used by the Company that determines funds to be paid to shareholders. Constitutes the sum of

demutualization in 2010, we have welcomed shareholders, institutional investors, and other market participants

Dai-ichi Life Holdings was founded in 1902 as Japanʼs first mutual company, and has since grown together with

Adjusted profit/
adjusted profit at each group company.
Group adjusted profit Adjusted profit at each group company generally indicates profit on a cash basis. As a holding company, the Company
conducts shareholder returns based largely on the dividends that it receives from each group company.

Free cash

Surplus capital under the strictest standards among accounting capital, financial soundness and economic solvency
regulations.

CSA

Control Self-Assessment (CSA) is a set of activities performed by managers and personnel in charge who are familiar
with the tasks to identify inherent risks and to perform self-assessments on the significance and strength of risk
control and attempt to curb risks and make necessary operational improvements.

CX

Customer Experience (CX) is a concept that emphasizes the psychological and emotional value experienced bycustomers through all contact points with our Group.

transformation in collaboration with diverse stakeholders, despite the many challenges we have faced. Since ouras new stakeholders. We have been publishing the Integrated Report since fiscal 2016, the year we transitioned
to a holding company structure, as a means of helping all stakeholders deepen their understanding of the Groupʼsmedium- to long-term value creation story from both financial and non-financial perspectives. We have continued
to improve the report each year after publication to make it easier to understand and to better communicate ourthoughts, taking into account the opinions of institutional investors and other market participants, evaluations byexternal organizations, and guidelines set by the government and other organizations.
In the “Integrated Report 2023,” under the Group vision of “Protect and improve the well-being of all,” wehave clarified the value creation process from inputs to outcomes and have tried to convey in greater detail ourrecognition of the management resources that are the source of our sustainable value creation.
In addition, in April 2023, for the first time since the transition to a holding company structure, the Company
had a succession in which the president of the Company, a holding company, does not concurrently serve as theDX

Digital Transformation (DX) is a concept of promoting advanced IT technologies to transform and improve peopleʼsquality of life.

ERM

Enterprise Risk Management (ERM) is a set of activities for formulating corporate plans, capital policies, etc., in
accordance with capital, risk, and profit positions based on the attribution, type, and characteristics of risk, andpromoting business activities accordingly. More specifically, ERM is a management concept in which risk is properly
controlled to secure financial soundness while capital is allocated to operations, etc., that can be anticipated to yield
greater profit to materialize improved capital efficiency and corporate value.

ESR

Economic Solvency Ratio (ESR) is a solvency indicator valuing assets and liabilities based on a fair value (mark-tomarket) basis. Indicates economic capital relative to the risk amount under a certain stress scenario.

EV／EEV(European) Embedded Value (EEV) is an indicator of corporate value attributable to shareholders. EEV is the sum ofadjusted net worth following necessary revisions to the amount of net assets on the balance sheet and the value of inforce business, which represents the present value of future profits on in-force business, net of tax.

GHG

Greenhouse gases (GHG) such as carbon dioxide, methane, dinitrogen monoxide, and chlorofluorocarbons that absorb
heat from the sun (infrared radiation) reflected from the earthʼs surface, and which contribute to global warming when
they accumulate in the atmosphere.

LGBTQ／LGBTIQ+／
LGBTQIA+An acronym of Lesbian, Gay, Bisexual, Transgender (including gender identity disorder), Queer/Questioning(undetermined or undefined gender identity or sexual orientation), Intersex, Asexual, and others.

president of The Dai-ichi Life Insurance Company, Limited, an operating company. For this yearʼs Integrated Report,
we asked the Chair of the Board, Mr. Inagaki, and the Chairs of the Nominations Advisory Committee, Remuneration
Advisory Committee, and Audit & Supervisory Committee to discuss the Companyʼs governance, including behindthe-scenes details of the succession, in a roundtable discussion. We hope you will enjoy reading their discussions,which contain almost all of the original discussions of the day, with minimal editing by the secretariat.
As the Executive Officer responsible for editing this report, I would like to state that the process used toprepare this report is legitimate and that the information contained in it is accurate.
We will continue to use this document to engage in dialogue with as many stakeholders as possible to deepen
their understanding of our company.
Our integrated report is still in the process of being improved. We will continue to reflect on the questionof what information our stakeholders need and what their expectations are, and will seek to further enhance thecontent of our disclosures. We would appreciate your frank opinions and suggestions.

Executive Officer

Third-Party Warranty
To improve the reliability of the information contained in this report, our Group has received assurances and other guarantees

NPS®*

Net Promoter Score (NPS®) is an indicator of customer loyalty (the degree of attachment and confidence in a company
or brand) and provides a measurement for the degree of recommending (products, services, brand) to friends or
acquaintances, thereby going deeper than a customer satisfaction metric.

*NPS® is a registered trademark of Bain & Company, Fred Reichheld, and Satmetrix Systems.

QOL

from independent third parties*1*2 regarding the following information. Please refer to the following links for details.

Scope of Guarantee

Quality of Life (QOL) is a concept that encompasses the richness of overall living standards including spiritual aspects
and self-actualization in addition to material wealth and individual activities for self-care. Quality-of-life improvements
refer to the realization of the desired life or way of living.

ROEV

Return on Embedded Value (ROEV) is an indicator measuring the growth of corporate value with increments in EV thatare considered to be profit after taking into account the special nature of life insurance accounting.

TSR

Total Shareholder Return (TSR) is a total investment return for shareholders after adding capital gains and dividend
income.

CO2

257

Introduction・Messagehttps://www.dai-ichi-life-hd.com/en/sustainability/data/index.html#anc06

Inquiries

Forward-Looking Statements

Dai-ichi Life Holdings, Inc.

Statements contained herein that relate to the future operating performance of the Company are forward-looking
statements. Forward-looking statements might include, but are not limited to, words such as “believe,” “anticipate,”“plan,” “strategy,” “expect,” “forecast,” “predict,” “possibility,” and similar words that describe future operating
activities, business performance, events, or conditions. Forward-looking statements are based on judgments madeby the Companyʼs management based on information that is currently available and are subject to significant
assumptions. As such, these forward-looking statements are subject to various risks and uncertainties and actual
business results could vary substantially from the forecasts expressed or implied in forward-looking statements.
Consequently, you are cautioned not to place undue reliance on forward-looking statements. The Company disclaims
any obligation to revise forward-looking statements given new information, future events, or other findings.

1-chome, Chiyoda-ku, Tokyo 100-8411, Japan+81-(0)3-3216-1222 (representative)

Strategies &Performance

Sustainability &Management Base

Governance

Data

P.18, P.19, P.77, P.108, P.118

https://www.dai-ichi-life-hd.com/sustainability/
data/index.html#anc06

Group aims to contribute to the well-being of all, including future generations, through four experiential values.

Value Creation
Story

P.68, P.108, P.118*2 The Association for Non-Financial Information Assurance“Well-being” refers to living a prosperous and healthy life with peace of mind and being in a state of happiness. The

Alphabetical order

Percentage of female managers*2*1 Japan Quality Assurance Organization

IR Group, Corporate Planning Unit, 13-1, Yurakucho

well-being

CO2 emissions*1

https://www.dai-ichi-life-hd.com/en/contact.html

Dai-ichi Life Holdings Integrated Report 2023

258

(EMMGLM0MJI,SPHMRKW-RG
>ZWFPZHMTHMTRJ(MN^TIFPZ
9TP^T/FUFS  WJUWJXJSYFYN[J(EMMGLM0MJI,SPHMRKW
9MJQTLTIJUNHYXYMJKTWRTKFXMNJQIZXJINSYMJ2NIIQJ&LJX
TS\MNHMFIJXNLSJ]UWJXXNSLYMJ*FWYMNXKJFYZWJI9MNXNXFSJ]UWJXXNTSTKYMJHTRRNYRJSYTKYMJ)FNNHMN1NKJ,WTZUʼXHTRUFSNJXYTUWTYJHYHZXYTRJWXKWTRINXFXYJWXYMWTZLMHTSHJWYJIJKKTWYXNSYMJNWLQTGFQTUJWFYNTSX.SFIINYNTSYMJZU\FWIHZW[NSLQFYNYZINSFQQNSJXTKYMJ*FWYM
J]UWJXXYMJGWNLMYKZYZWJTKTZWHZXYTRJWXFSIYMJ)FNNHMN1NKJ,WTZUʼXIJYJWRNSFYNTSYTLWT\NSTWIJWYTHTSYNSZJXYFSINSLG^YMJXNIJTKTZWHZXYTRJWXKTWQNKJ<J\NQQHTSYNSZJYTXYFSIG^YMJXNIJTKTZWHZXYTRJWXFSIYMJNWQT[JITSJXKTWQNKJFSIRFPJHTSHJWYJIJKKTWYXYTIJQN[JWFXJHZWJKZYZWJKTWJ[JW^HTRRZSNY^\JXJW[JZXNSLYMJGJXYTKTZWQTHFQFSILQTGFQHFUFGNQNYNJX