Year Ended March 20, 2020

ANNUALREPORT

Japan CO-OP Insurance Consumers' Co-operative Federation

Year

Ended March 20, 202

0

ANNUALREPORT

Expand thecircle of "Tasukeai"
to everybody
What we cherish is the heart of mutual cooperation
when someone is in trouble (=Tasukeai).
We will continue to expand
the circle of “Tasukeai” so thatmany people can be supported.

CONTENTS
1.

Visions of CO-OP Insurance…………………………………… 01

2.

Message from the President…………………………………… 02

3.

CO-OP Insurance Long-term Vision 2030…………………… 03

4.

Topics of FY2019 ……………………………………………… 05

5.

Financial Highlights …………………………………………… 06

6.

Business Overview of CO-OP Insurance for Fiscal 2019…… 07

7.

Outline of JCIF ………………………………………………… 09

8.

Types of CO-OP Insurance …………………………………… 1 1

9.

Payment of Claims……………………………………………… 1 2

10.

Management System…………………………………………… 13

11.

Co-op Action Plan for SDGs…………………………………… 15

12.

Activities………………………………………………………… 16

13.

Balance Sheet…………………………………………………… 19

14.

Income Statement……………………………………………… 20

15.

Management Index……………………………………………… 21
The ofﬁcial name of our organization isJapan CO-OP Insurance Consumers' Co-operative Federation,commonly abbreviated as JCIF.
Year Ended March 20,2020 ( Fiscal Year 2019: March 21, 2019- March 20, 2020)

1
Visions of CO-OP Insurance
Through CO-OP Insurance and the mutual assistance of CO-OP members, we areaiming to help improve livelihoods of members, develop consumer co-operatives,promote the cooperative movement and enrich our society, focusing on covering
economic loss caused by various risks in membersʼ livelihoods.

We will offer insurance products that suit membersʼ needs
with more reasonable premiums and better coverage.

1
We will promote commu-

2

nication between members
and CO-OP employees, andencourage a spirit of mutual
aid among members.

We will enhance the social
credibility of consumer co-operatives by the stable andefficient management of theinsurance and the expansion of3

the insured.
We will offer members the4opportunity to learn about
insurance and help themacquire the ability to selectthe insurance that suits themmost.

We will strive to address the
problems of aging population
with declining birthrate, healthand welfare, and contribute tosociety by social welfare ac-5tivities, disaster activities andothers.

Annual Report 2020 01

2
Message from the President
The spread of COVID-19 has been causing a severe crisis since the beginning of 2020. Iʼd like to takethis opportunity to extend my heartfelt prayers for those who have lost their lives to the disease, andoffer my deep sympathies to those who have become infected. I sincerely hope that the pandemic will
come to an end as quickly as possible.
CO-OP Insurance has been making concentrated efforts to continue supporting co-op members whoface ﬁnancial distress due to the pandemic. Speciﬁcally, we have expanded the scope of payable insurance claims by designating the COVID-19 infection as an accident, and have extended the grace period
for premium payments as a special measure to meet policyholdersʼ need for ongoing coverage by COOP Insurance.
We are also focusing on making contributions to humanityʼs shared objectives, the Sustainable Development Goals (SDGs). We aim to take a leading role in achieving a sustainable society by collaboratingwith consumer co-operatives and various other co-operatives, NPOs, and other organizations nationwide. Our initiatives include providing grants for local communities to help co-op members lead comfortable lives in their local areas, and supporting health promotion activities implemented by member
co-ops to encourage healthy dietary and exercise habits.
In ﬁscal 2019, we paid out a total of 68.9 billion yen in insurance beneﬁts (102.3% of the previous ﬁscal year) to 1.38 million insurance claimants (JCIF products only).
At the annual conference in 2020 we formulated our CO-OP Insurance Long-term Vision 2030 and
CO-OP Insurance Medium-term Business Plan 2022. CO-OP Insurance embodies the spirit of mutual
aid among co-op members by providing insurance designed to meet their needs at a reasonable premium, and I am convinced that we will take on an increasingly signiﬁcant role going forward. Our businessgoals are to reach 10 million policyholders(JCIF products only) and increase our payment rate to over
7% in hopes of supporting a larger number of co-op members.
In July 2020, the number of CO-OP Insurance policyholders exceeded 9.0 million. Under our Longterm Vision, our strategic goals include endeavoring to develop better products, creating more opportunities to engage co-op members to help them better understand and empathize with the spirit ofmutual aid, and taking active steps to solicit young members of thenext generation to purchase coverage.
We are determined to take on diverse issues in collaboration
with member co-ops nationwide to continue expanding the circle ofmutual aid amid a challenging business environment. We at CO-OP
Insurance appreciate your continued understanding and support.

Toshiaki Wada

President
Japan CO-OP Insurance Consumersʼ
Co-operative Federation (JCIF)
02 Annual Report 2020

3
CO-OP Insurance Long-term Vision 2030
JCIF formulated its CO-OP Insurance Long-term Vision 2030 as a 10-year plan starting in 2020.
Through our co-operative insurance business that draws on feedback from co-op members, we willcontinue endeavoring to support co-op members and their families, and be there for them whenneeded by making constant improvements in pursuit of reasonable premiums, better coverage thathelps them in case of emergencies, easier procedures, and reduced costs.

Main Statement
Cooperating for better future livelihoods
We aim to bring together the strengths of co-op members, promote mutual support, be there
for them and their families, and create a new form of mutual aid and better livelihoods for the
future in collaboration with co-op members.

Five Values of CO-OP Insurance

To encourage co-op members to participate,shape empathy into concrete forms,
and widely disseminate the beneﬁts
and beliefs of the COOP Insurance mutual aid
Participation
initiative among co-op
and empathy
members and employees.

To contribute more to livelihood security
through CO-OP Insurance products,
especially when the environment
surrounding our livelihoods is
Contribution
severe, in particular by offering coverage designed
tofor women and children.
livelihoods

To identify changes in
Response toco-op membersʼ livelichanges
hoods and living environments, and to transform ourselves as well as takeon challenges to remain capableof helping them.

Contribution
to local communities

To take on greater roles
in local communities bycollaborating with national or local govenment andother organizations toprotect the livelihoods of local co-op
members amid decreasing populations.

Stable business operation for future livelihoods
To be better equipped to address changes as we face intensifying competition in the insurance industry,
industry transformation driven by IT, and the negative pressure exerted by decreasing populations, aging,and declining birth rate.

Annual Report 2020 03

Business Goals for 2030

1

2

3

To expand the circle of

To increase the payment

To secure a surplus rate

direct policyholders ofof insurance claims by 30

of 18% and a solvency

CO-OP Insurance prod-

billion yen (equivalent tomargin ratio of at leastucts to 10 million with thepayment rate of over 7%)

280% on an economic

aim of ensuring a lifetime

to contribute to the liveli-

value basis to make CO-of security for more co-op

hoods of co-op members by

OP Insurance policyhold-members.

directly providing them withers feel reassured.

greater amounts of beneﬁts.

What We Aim to Be in 2030 and Seven Areas of Focus to Achieve our Ideals

1
To be capable of providing
lifelong insurance starting
before birth through ourmutual aid scheme (Focus
on product development)

3

2
To have an expanding
circle of mutual aid (Focus on promotional activities and joint programs)

To be the kind of mutual aid scheme that co-op
members can feel proud of(Focus on encouraging participation of co-op members
and spreading empathy)

5

4
To offer convenient, simple, andreliable procedural steps for policyholders (Focus on building a clericalstructure distinct to CO-OP Insurance)

To play greater social roles and help co-operative businesses display their comprehensive
strengths (Focus on expanding roles as a businessand collaborating with other co-ops)

6
To ensure that employees lead enjoyable and fulﬁlling work7
To run stable businesslives (Focus on the development of human resources that sus-

operations (Focus on busi-

tain CO-OP Insurance)ness operations)04 Annual Report 2020

4
Topics of FY2019
In our CO-OP Insurance Healthcare Worker Support Project, donations by JCIF were delivered tohealthcare workers fighting COVID-19 as a gesture of compassionate support by co-op members
across Japan.

Project outline
For every registration or designated procedure undertaken on the CO-OP Insurance “My Page”
webpage for policyholders, JCIF donated 50 yen to the Japan Health and Welfare Co-operative
Federation.*

Launched on July 22, 2020, the project was scheduled to end on October 20, 2020, but in responseto the policyholdersʼ compassionate desire to provide ongoing support to healthcare workers, we
extended its duration to December 20, 2020. Total donations have reached 8,263,450 yen.
*Japan Health and Welfare Co-operative Federation (HeW CO-OP JAPAN)

A national federation of health and welfare co-operatives. Provides member co-ops with guidance and support; supplies
pharmaceuticals, medical supplies and equipment; provides education and training materials; and engages in public relations
and policy planning, among other activities.

Annual Report 2020 05

5
Financial Highlights
JPY
Million＊1

Fiscal 2018 and 2019

USD
Million ＊2

2018

2019

2019

Ordinary income¥225,541¥230,788$2,117

Ordinary expenses¥177,797¥180,842$1,659Ordinary surplus¥47,743¥49,946$458

Net surplus¥8,766¥9,781$89

Total assets¥421,662¥452,014$4,147

Total liabilities¥279,457¥302,582$2,776

Total net assets¥142,205¥149,431$1,371

Number of policies total

8,801,512

8,928,956-

Number of policies (JCIF products only)

8,374,294

8,500,502-

Total amount of insurance in force (billion)(JCIF products only)¥12,436¥12,589$115

Solvency margin

1367.3%1417.0%-＊ 1. Yen amounts are rounded down to the nearest ¥1 million.
＊ 2. U.S. dollar amounts are converted, for convenience only, at ¥108.98=US $1.00 (as of March 19,2020)
and rounded down to the nearest $1 million.

Numbers of total policies

Total amount of insurance in force(JCIF products total)(¥ billion)(thousand people)

10,0008,379

15,000

8,521

8,675

8,801

8,928

8,000

12,000

6,000

9,000

4,000

6,000

2,000

3,000

0

06 Annual Report 2020

2015

2016

2017

2018

2019

(Fiscal year)

0

11,744

11,9672015

2016

12,29912,436 12,589

2017

2018

2019

(Fiscal year)6
Business Overview of CO-OP Insurance for Fiscal 2019
■ Changes in the Number of Policyholders
In 1984, CO-OP Insurance Tasukeai, Term Life and Medical Insurance, started providing an insurance coverage of
one million yen for death and of 20,000 yen for inpatient care for a premium equivalent to the price of a cup ofcoffee, followed by Long Term Life Insurance named Ai-Plus in 2000, and Zutto-Ai , Whole Term Life Insurance andWhole Term Medical Insurance, in 2011. As a result of these efforts, the number of policyholders in JCIF products
who contract with us reached 8.5 million as of March 20, 2020. The spirit of mutual cooperation for supporting
each otherʼs future has been carried on without change since the launch of CO-OP Insurance.
(million people)

CO - O P I n s u r a n c e h a s h e l p e dme mbe r sʼ live lihood s s te p bystep through cooperation among
members.

7.53 7.66

8.09
7.79 7.94

8.24 8.37

8.50

6.99
6.26
4.89

5.38

4.01

2.05
1.09
0

2.35

2.77

3.27

1.47

0.13

1984 1990 1994 1995 1997 1998 1999 2000 2002 2004 2005 2007 2010 2012 2013 2014 2015 2016 2017 2018 2019
(Fiscal year)

Overview of the ﬁnancial resultsof the CO-OP Insurance business is as follows:■

Policyholders as of the end of Fiscal 2019 totaled 8.9 million

When broken down by product,Tasukeai policyholders increased by 5,215 from the previous year to 5,921,790,Ai-Plus
policyholders increased by 63,700 to 1,968,949, Zutto-Ai policyholders increased by 57,293 from the previous year to609,763, CO-OP Fire Insurance policyholders increased by 2,133 to 404,505, and CO-OP Life Insurance New-i.i. policyholders decreased by 897 to 23,949. Total number of policyholders reached 8,928,956 by the end of ﬁscal year of 2018.
■

Policies in force totaled ¥12.58 trillion

CO-OP Insurance has a total of ¥12.58 trillion inpolicies in force ( JCIF products only), an increase of
1.2% from the previous year.
■

1.38 million payments made

CO-OP Insurance made a total of 1.38 million
payments (JCIF products only), an increase of 2.1%
from the previous year.

■

Premiums totaled ¥194.8 billion

CO-OP Insurance has a total of ¥194.8 billion inpremiums (JCIF products only), an increase of 2.0%
from the previous year.
■

Total claims paid amount to ¥68.9 billion

CO-OP Insurance paid a total of ¥68.9 billion for
insurance claims (JCIF products only), an increase of
2.3% from the previous year.
Annual Report 2020 07

■ Asset Management
JPY
Million＊1

Investment Assets

USD
Million＊2

2018

2019

Composition
ratio(%)

2019

Cash and deposits¥132,718¥125,979

30.4%$1,155,982

Money trust ※3¥55,966¥99,87624.1%$916,461

Negotiable deposit¥41,000¥38,000

9.2%$348,687

Public and corporate bond

¥157,226¥150,744

36.3%$1,383,226

¥255

¥255

0.1%

$2,339Foreign bond

0

0

0.0%

0

Other securities

0

0

0.0%

0

¥387,166¥414,856

100.0%$3,806,716

Fiscal Year

Stocks

Total

・Foreign bond・Other securities

0.0%

Stocks 0.1%

Cash and time
deposits

Public andcorporate bond

30.4%

36.3%

Negotiable
deposit

Money
trust

9.2%

24.1%

＊ 1. Yen amounts are rounded down to the nearest ¥1 million.
＊ 2. U.S. dollar amounts are converted, for convenience only, ￥108.98=US $1.00 (as of March 19,2020)
and rounded down to the nearest $1 million.
＊ 3. Money held in trust are transferable warranty deposits.

■ CO-OP Insurance Business Overview by ProductTasukeai(Fiscal year)2017

5,916,267

2018

5,916,575

Fiscal Year
Number of Policies

2018

2019

5,916,575 5,921,790

Premium lncome(¥millions) ¥107,023 ¥106,799

5,921,790

2019

Ai-Plus

Claims Paid(¥millions)¥42,628¥42,781

Zutto-Ai(Fiscal year)2017

1,833,743
1,905,249

2018
2019

1,968,949
Fiscal Year
Number of Policies

2018(Fiscal year)2017

498,167
552,470

2018
2019

2019

609,763
Fiscal Year

1,905,249 1,968,949

2018

2019

Number of Policies

552,470

609,763

Premium lncome(¥millions)¥61,736¥63,697

Premium lncome(¥millions)¥22,271¥24,391

Claims Paid(¥millions)¥21,250¥22,189

Claims Paid(¥millions)¥3,472¥3,963New i.i.
(Fiscal year)
2017

CO-OP Fire Insurance
26,054(Fiscal year)2017

400,8532018

24,846

2018402,3722019

23,9492019404,505

08 Annual Report 2020

7
Outline of JCIF
■ About consumer cooperatives (Co-ops)
Consumer cooperatives (Co-ops) are non-proﬁt cooperative organizations jointly owned byconsumers for their mutual beneﬁt, and are established pursuant to the Consumer Cooperatives Act. Consumers provide capital to become a member of a co-op and participate in the decision-making and management of the organization with the aim of achieving a better life.
Co-ops engage in a wide range of activities including supplying merchandise through delivery
and at stores; offering mutual aid, medical care, and welfare services; hosting mutual support
programs among members; and providing educational programs on everyday life.

■ JCIF, Co-op and JCCU
Our organization is a federation of 151 consumer cooperative societies (as of March 20,2020) from across the nation.
Although each member Co-op is an independent legal entity, each provides CO-OP insurance to its members in cooperation with the federation.
The JCIF was established to take over and specialize in all mutual insurance businesses previously conducted by our member Co-ops.
Co-op members
Member co-ops
Regional Co-ops, Co-op Associations etc.
Supplying products, promoting and supporting social activities etc.
JCIF Japan CO-OP Insurance Consumersʼ
Co-operative Federation● CO-OP Insurance business● Promotion of Life-Planning Activities

JCCU Japanese Consumersʼ Co-operative Union● Product Business: Development and Distribution● Catalog business● Welfare, Environment, Reconstruction from disaster,

Support for member co-ops● Social Roles as a Consumersʼ Organization■ Roles of Member Co-ops and JCIFThe JCIF works to enhance our relationship withmember Co-ops by fulfilling the requirementsof our speciﬁed role and acting cooperatively toachieve our common goals.

Member Co-op

Co-op members, Policyholders
Window for thesubscription
procedure

Member
Co-opsContract of
CO-OP
Insurance

Cooperative
business

JCIF”Window for CO-OP Insurance”
The main business of member Co-ops of JCIF is retail (providing home delivery service and operating store). Each member
Co-op acts as a service window for the subscription procedure and also provides information on CO-OP Insurance. In addition, each member Co-op works to support its members by offering insurance products responding to a range of needs.

JCIF (Japan CO-OP Insurance Consumersʼ Co-operative Federation)“The JCIF developing products in response to the needs of its members and others”
As well as developing insurance products, the federation receives premiums, undertakes procedures related tothe payment of insurance claims and provides administrative support services to member Co-ops. It also provides
consulting services and responds to complaints.
*Each of the three federations of consumer cooperative societies which share responsibilities as a contract underwriter has a dual role as member Co-op and federation of CO-OP Insurance.
Annual Report 2020 09

Structure of JCIF (as of 11th of January, 2021)
Public Relation Div.
Executive
Ofﬁcerin charge ofplanning

Management Planning Div.
Joint
Management
Dept.

Organizational Operation Div.
Risk Management and Internal Control Div.
Legal Div.
Member Satisfaction Promotion Div.
Policy Administration Planning Div.
Policy Administration Div.

Board ofAuditors

Executive
Ofﬁcerin charge of
operation

Claims Planning Div.
Operation
Dept.

Claims Handling 1st Div.
Claims Handling 2nd Div.
Call Center Management Div.
DX Promotion Div.
Development Management Div.
Product Development Div.
Actuarial Div.

Development
Dept.

Managing
Director

President

Vice
President

Information Systems Div.
IT Planning Div.

Standing
Directorin charge ofdevelopment andadministration

Web System Development Div.
Security Business Div.
Accounting Div.
Administrative
Dept.

Executive Ofﬁcer
for special Mission

Asset Management Div.
General Affairs Div.
Human Resource and Planning Div.
Education and Learning Div.

Internal
Auditing Div.

Promotion Planning Div.
Promotion Management of Co-op Tohoku Div.
Miyagi Promotion Div.

I and I Service Ltd.
(Subsidiary Company )Operation Dept.

Iwate Promotion Div.
Standing
Directorin charge ofpromotion

Sales
Promotion
Dept.

Hokkaido and Tohoku Area Promotion Div.
Central Area Promotion Div.
Kansai Area Promotion Div.
Chusikoku Area Promotion Div.
Kyusyu Area Promotion Div.
Publicity Planning Div.
Members Support Div.

10 Annual Report 2020

8
Types of CO-OP Insurance
CO-OP Insurance

CO-OP Insurance

Term Life and Medical Insurance (Comprehensive Type)Long Term Life Insurance

TasukeaiThis insurance provides comprehensive coverage foroutpatient care due to accident, hospitalization, surgery,death, disability, membersʼ death of the insured, anddamage to residences caused by ﬁre or other perils. It is
designed to meet the Co-op membersʼ demands for coverage that is essential to their daily lives at a reasonablepremium.
There are four plans; plan for children, plan for women,plan for medical coverage and plan for both medical anddeath coverage.

CO-OP Insurance

Zutto-Ai

Whole Term Life Insurance/
Whole Term Medical InsuranceThis insurance provides coverage for lifetime hospitalization, surgery and death.
There are 2 types. One is a Whole Term Life Insurance
which covers lifetime death. The other is a Whole Term
Medical Insurance which covers lifetime hospitalizationand surgery.

Ai-PlusThis insurance simply provides coverage for death, which
can add special coverages for cancer, hospitalization,and surgery of the insured. The maximum sum insured is¥30 million in death beneﬁts at a reasonable premium.
Added coverage is available by combining Ai-Plus with
Tasukeai . The contract term is 10 years and the premium
varies according to the age and sex of the insured.
Coverage may be extended until the member reaches
the age of 85.

Ai-Plus Platinum 85
Platinum 85 , launched in September 2017, is an insurance product available for people aged 65 to 70, continuously covering inpatient treatment and death until
the age of 85. Its coverage does not change from thetime of contract to its expiration. Optional coveragefor medical operations and death can also be added asneeded.

CO-OP Life Insurance

New i.i.
CO-OP Fire Insurance

Individual Long- term Life
Insurance

This insurance provides coverage against damaged
residences caused by a wide range of perils including
ﬁre, lightning, explosion, aircraft or vehicle crashes into
residences, windstorm and ﬂood, ﬂooding from a third
party residence, unexpected damaged from a third party and earthquakes etc.

Basic plan that provides coverage for death with the rebate plan can be matched up with medical coverage andwomenʼs health coverage. The contract term is renewable after ﬁve years with the option of a rebate after theﬁve years. Coverage may be extended until the member
reaches the age of 80.

Direct and Indirect Insurance
Products Offered
CO-OP Insurance offers direct and indirect insurance products. In direct insurance contracts, JCIF as a contract
underwriter is responsible for collecting insurance premiums and paying insurance beneﬁts. We offer four direct
insurance products :CO-OP Insurance Tasukeai , CO-OP Insurance Ai-Plus , and CO-OP Insurance Zutto-Ai (Whole
Term Life Insurance and Whole Term Medical Insurance).
CO-OP Insurance also provides indirect insurance products in the areas beyond the coverage of its direct insurance products, in alliance with Kokumin Kyosai co-op＊1, property and casualty insurance ﬁrms, etc.
＊1. In CO-OP Insurance contracts, each contract underwriter is individually responsible for insurance coverage
according to the scope of its underwriting, instead of sharing responsibility.
Annual Report 2020 119Payment of Claims
Payment of Claims
Payment of claims, excluding that for CO-OP Fire Insurance , is made by JCIF via member Co-ops or the CO-OP
Insurance Center (Payment of claims for CO-OP Fire Insurance is made by Kokumin Kyosai co-op). Upon receivinga claim request, we check the contract details, ask the policyholder for details about the request and then sendnecessary materials. CO-OP Insurance values swift and efﬁcient payment procedures from the viewpoint of policyholders. For example, basic information is printed on documents for claims in advance, and some procedures are
simpliﬁed depending on the claim detail and amount.
CO-OP Insurance shortens the time from reception of a claim request to payment in order to enhance policyholderʼs satisfaction.

Flow of Claims

Policyholder(Beneﬁciary)

CO-OP
Insurance
Center(CallCenter)1
2 <<< Sending out Documents for Claims
Sending out Documents for Claims >>>3
4 <<< Payment and Sending out Notice of Payment
Reporting Occurrences

>>>

JCIF
(Depts. related
to Claim
Payment)*This flowchart shows a case when a policyholder contacts Call Center.

Relief Money to Victims ofDevastating Disasters
In the CO-OP Insurance plans, Tasukeai ,Ai-Plus, Zutto-Ai and i.i. policyholders
receive Relief Money in accordance with
the CO-OP Insurance Regulations on
Devastating Disaster Relief Money.
These regulations were made with theaim of providing a token of our sympathy
to victims of devastating disasters. COOP Insurance offers special assistance inaccordance with the magnitude of natural disaster. In the event of a devastating
disaster, JCIF ensures a certain amountof payment swiftly so that it could alleviate a burden on a policyholder as muchas possible.

12 Annual Report 2020

Enclosing Origami Cranes with
Documents for Claims
When sending claimants necessary documents for claiming
insurance benefits, CO-OP Insurance encloses origami cranes
made by Co-op members around the country. This activity originated around 1992, when Co-op staff in charge of insurance in
Nagano Prefecture began to enclose origami cranes with such
documents to express their sympathy.
In the process of paying insurance beneﬁts or relief money tovictims of the Great Hanshin and Awaji Earthquake in 1995, we
enclosed origami cranes with documents sent to them.
Since these origami cranes with a favorable reaction frommany recipients, this activity was expanded nationwide. While
many volunteers currently participate in making origami cranes
at Co-ops around the country, some recipients of origami cranes
in turn send us origami cranes of their own making, resulting ina growing circle of people connected to each other with origami cranes. Moreover, many respondents to the questionnaire
enclosed with the announcement of insurance beneﬁt payment
express their appreciation for origami cranes. These activities
have steadily contributed to spreading the spirit of mutual help.

10Management System
Governance Structure■ JCIFʼs Governance StructurePart-time auditors

Memberco-opsRepresentatives

GeneralMeeting

Election/appointment ofauditors

Election/appointment of
directors

Part-time
directors

Board of Directors(Decision-making/supervision)
Selection ofrepresentative
directors

Audit

Board ofAuditors

Audit

Representative
Directors(Execution of operations)

The governance structure of JCIF is composed of the General Meeting, Board of Directors and Board of Auditors. Being a federation of 151 member co-ops (regional co-ops, the Japanese Consumersʼ Co-operative Union,
and the National Federation of Workers and Consumers Insurance Co-operatives [Kokumin Kyosai co-op]), JCIF
is basically a democratic business model formed primarily by representatives of the member co-ops.
A General Meeting is held annually. Each member co-op has representatives commensurate with the sizeof their membership. To complement the General Meetings, member co-opsʼ views are gathered through theregional co-op insurance management committees and regional block conferences in the ﬁve regional areas
across Japan. The Board of Directors is composed of permanent directors, directors originally from individual co-ops, and outside directors (professionals including researchers, lawyers, and co-op actuaries). Of these
directors, the President and the Managing Director serve as representative directors. Execution of daily operations is undertaken by the Board of Permanent Directors. Board of Directors meetings are held every othermonth. The Board of Auditors is composed of a permanent auditor, part-time auditors and two outside auditors(researcher and accountant).
Annual Report 2020 13

Risk Management System
In pursuing sound management of the mutual insurance business, JCIF makes efforts to identify
risks and implement proper risk management.
Risks associated with the mutual insurance business include the following; Business risks, Project
development risks and insurance underwriting risks, Asset management risks, Liquidity risks, ALM
risks, Office work risks and System risks, etc.
JCIF manages, monitors and controls the risks which we have. Each risk is monitored or controlled
by the responsible department.

Business Operations Based on Policyholders' Feedbacks(1) Member Satisfaction Promotion Division receives complaints
and opinions by telephone
CO-OP Insurance, when developing products and paying claims, is making improvements based onpolicyholdersʼ feedbacks. In order to receive more feedbacks and reflect the opinions in our business,
we established the consultation center in 2006, which is dedicated to handling complains, opinions
and requests.

Complaints we received at Member
Satisfaction Promotion Division in FY2019
We had 304,701 complaints and requests in
Fiscal 2019.
Viewing the opinions we received as repre-

Inquiries
109,742
36.0%

Thanks162,057
53.2%

senting the voice of our policyholders, we are
striving to improve the problems.
Requests
27,226
8.9%

Complaints
5,676
1.9%

(2) Improvement efforts resulting from complaints and opinions we receive
We have introduced the management system to unify the management of complaints and opinions we
receive so that related departments can share and swiftly resolve any issues. In addition, we report allcomplaints and opinions to all departments once a week.

14 Annual Report 2020

11
Co-op Action Plan for SDGs
Co-op Action Planfor

We commit to the contribution to the achievement of the Sustainable Development Goals (SDGs). Declared at the 68th Annual
General Assembly of Japanese Consumersʼ Co-operative Union.
We have been dedicating ourselves to the realization of a morehuman lifestyle and sustainable society under the "Ideal of Japanese Consumer Co-ops Movement for the 21st Century", adopted
at the JCCU Annual General Assembly in 1997.
The SDGs which aim to leave no one behind are consistent with
our philosophy.

We declare that we will work both locally and internationally to achieve the SDGs through seven actions.

We will promote gender equality
and create an inclusive society.

We will eliminate poverty and hunger fromthe world and promote support for children.

We will expand health promotion
and promote welfare services andmutual help.

We will participate in creating asociety where everyone can livewith a sense of security.

We will spread the useof renewable energy andpromote Global WarmingCountermeasures.

We will continue to review and improve
our products and lifestyle for a sustainableproduction and consumption.

We will promote activities toeliminate nuclear weapons and toachieve the world peace.

Annual Report 2020 1512Activities
Life-Planning Activities
Life-Planning activities enable Co-op members to learn about money matters in their lives. In the Workshops on Reviewing Insurance, which is a central topic, members gain the capability to independently selectinsurance product that meets their needs.
As an integral part of Life-Planning activities, JCIF is training members andCo-op staff to be Life-Plan-Advisor (LPA). Participants of LPA courses learn
about life planning, insurance, taxation and ﬁnance in comprehensive lectures held by JCIF in order to become LPA. As of March 20, 2020, there are4,508 LPAs active at member Co-ops across Japan.
(number ofparticipants)

18,565

19,212● Participants in Life-planning Activities

Fiscal 2018

Fiscal 2019

6,255
5,218

5,110
3,419
2,059 2,126

LectureWorkshopWorkshop &gamefor children

3,997

3,973

1,131 1,086

Learning
activity

Individual
consulting

1,900 2,249“Senryu”
project

OthersLife-Planning activities have now become ﬁrmly established as Co-op activities. In Fiscal 2019, more than
37,353 people in total participated in the activities, principally in Workshops on Reviewing Insurance.

Health Improvement Activities
A fundamental challenge for CO-OP Insurance activities is the improvement of the health and welfare ofpeople. In order to assist members and policyholders to improve their health, JCIF has installed automatic
blood pressure measuring devices at Co-op stores and offers free health consultations by phone.

(1) Automatic Blood Pressure Measuring Devices Installed
JCIF has installed automatic blood pressure measuring devices at more than 366 Co-op stores throughout
Japan. Since managing blood pressure is paramount for preventing all lifestyle-related diseases, it is essential to consistently measure blood pressure on a daily basis. The devices are easy for members to use to test
their blood pressure level while shopping and utilized for them to manage their health on a daily basis.
16 Annual Report 2020

(2) CO-OP Insurance Health Call Center

JCIF offers a free phone consultation service madeavailable to Tasukeai , Ai-Plus, Zutto-Ai and New i.i.
policyholders. JCIF contracts specialist counsellors
including doctors and nurses from governmental
corporation to give advice on health, treatment andcare-giving as well as instruction on which medial
facility to use.
During Fiscal 2019, the call center ﬁelded 40,762
calls for advice.

(3) Support Project for Health Promotion
JCIF started its CO-OP Insurance Support Project for Health
Promotion in Fiscal 2017. As we confront an aging population, it
is crucial to build local communities where healthy seniors canfully realize their potential. We therefore started supporting
member Co-ops to implement health promotion activities catered mainly to their middle-aged and older members.
Using the policyholdersʼ contribution generated by accumulating a part of the annual surplus from our mutual insurance
business, we execute the project with the aim of contributing toour policyholders, benefitting our mutual insurance business,and demonstrating our comprehensive capacity to addresssocial challenges. Under the themes of food life, physical exercises and social participation, our member Co-ops are implehttp://coopkyosai.coop/kenko/
menting diverse efforts in view of their local circumstances bycooperating with other organizations.
In Fiscal 2019, 5 activities were newly organized by 5 Co-ops, to which we extended ﬁnancial support
totaling 168 million yen for 47 Co-ops, 51 activities.

Donation of School Bag covers
Since Fiscal 2015, as part of its social contribution activities, JCIF
has been donating covers for school bags (leather backpacks) to
new ﬁrst graders at elementary schools across Japan in cooperation
with local municipalities.
In Fiscal 2019, we donated a total of 301,669 covers to children
newly enrolled in 5,858 elementary schools nationwide. To schools
where pupils use nylon backpacks, we donated plastic holders forteacher-parents correspondence notepads (128,721 holders to 1,519
schools nationwide).
The yellow school bag cover featuring an illustration of Ko-suke,
CO-OP Insuranceʼs ofﬁcial bear character, is eye-catching and makes
it easier to spot children from afar. The covers help local communities watch over their children and prevent trafﬁc accidents.

Annual Report 2020 17

International Relations
International Activities in Fiscal 2019

◆ AOA Study Visit 2019 Singapore (AOA Study Visit delegates)

The Asia and Oceania Association of ICMIF (AOA) biennially hosts the Study Visit program for its member organizations to promote personnel and information exchanges
among cooperative/mutual insurance organizations in the Asia and Oceania regions andsupport their development.
In 2019, JCIF members visited NTUC Income Insurance Co-operative Limited in Singapore to learn about the insurance co-operativeʼs digital innovations, branchfunctions, contact center and roadsideassistance service for vehicle accidents,
and appraisal of vehicle damage andrepair fees. Representatives from 14
organizations in seven countries participated in the Study Visit. From JCIF, two
representatives attended, visiting their
headquarters, branches, and the Contact
Centre, among others.

◆ Participation in ICMIF Biennial Conference

In November 2019, the International Co-operative Mutual Insurance Federation (ICMIF) Biennial Conference was hosted in Auckland, New Zealand, with the president andsix young staff members participating from JCIF. The conference in 2019 was the second
largest ever in scale, with 360 representatives attending from 80 cooperative/mutual
insurance organizations in 37 countries.
JCIF members listened to interesting
panel discussions about such topics as
the sustainable development goals, digital innovation, disease prevention using
insurance-related big data, measures forthe millennial generation, and microinsurance. The Young Leaders Programme
provided the members with an opportunity to meet with the CEOs of ICMIF
member organizations and exchange
views.

18 Annual Report 2020

13
Balance Sheet
Fiscal 2018 and 2019
AssetsCash and deposits
Money trust
Securities
Loans
Reinsurance account
Subcontracting accountContract account
Other mutual insurance assets
Prepaid expenses
Accrued income
Other assets
Fixed assets for business use
Investment in afﬁliates etc.
Differed tax assets
Differed assets
Total assets
Liabilities
Policy reserves
Reinsurance account
Subcontracting accountContract account
Other mutual insurance liabilities
Accrued expenses
Other liabilities
Allowance
Price ﬂuctuation reserves
Total liabilities
Net assets
Member capital
OthersTotal net assets
Total liabilities and net assets

JPY¥ Million
2018¥ 132,718

USD＄ Thousand

＊1

2019

¥ 125,979

＊2

2019

¥ 55,966¥ 198,482¥ 99,876¥ 189,000＄1,155,982＄916,461＄1,734,263¥ 199¥ 7,255
¥ 308
¥ 181
¥ 73
¥ 178
¥ 1,155¥ 8,521¥ 270¥ 16,353¥ 265¥ 7,423
¥ 314
¥ 143
¥ 84
¥ 173
¥ 1,412¥ 9,183¥ 331¥ 17,824＄2,431＄68,113＄2,881＄1,312＄770＄1,587＄12,956＄84,263＄3,037＄163,552¥ 421,662¥ 452,014＄4,147,678

−

−

2018

¥ 259,856

−

−

2019

¥ 282,233

−

−

2019

¥ 279,457¥ 302,582＄2,589,768＄2,082＄40,273＄0＄440＄23,866＄60,534＄ 15,360＄ 44,145＄ 2,776,491

2018

2019

2019

¥ 214
¥ 4,181¥0¥ 30¥ 2,709¥6,800¥ 1,485¥ 4,176¥ 141,138¥ 1,066¥ 142,205¥ 421,662¥ 227¥ 4,389¥0¥ 48¥ 2,601¥ 6,597¥ 1,674¥ 4,811¥ 150,160¥ -728¥ 149,431¥ 452,014＄1,377,867＄-6,680＄1,371,178＄4,147,678＊1. Yen amounts are rounded down to the nearest ¥1 million.
＊2. U.S. dollar amounts are converted, for convenience only, at ¥108.98=US $1.00 (as of March 19,2020)
and rounded down to the nearest $1 million.

Annual Report 2020 19

14
Income Statement
Fiscal 2018 and 2019

Ordinary Income
Premium and other income
Reversal of policy reserves
Investment income
Other ordinary income
Total ordinary income

Ordinary Expenses
Claims paid
Provision of policy reserves
Investment expenses
Business expenses
Other ordinary expenses
Total ordinary expenses
Ordinary Surplus

Extraordinary Income or Loss
Extraordinary income
Extraordinary loss
Surplus before taxes
Income taxes
Income taxes-deffered
Provision of rebate reserves
Net surplus
Net surplus for the period
Reversal of reserve for business continuity planning
Reversal of reserve for catastrophe solatium
Reversal of reserve for ofﬁce system maintenance
Reversal of subscriber contribution
Unappropriated surplus for the period

JPY¥ Million
2018

USD＄ Thousand

＊1

2019

¥ 192,327¥ 196,343¥ 225,541¥ 30,974¥ 1,752
¥ 487

2018

2019

＄1,801,642¥ 31,850¥ 2,073¥ 520¥ 230,788＄292,255＄ 19,021＄ 4,771＄2,117,709¥ 101,448¥ 104,069

2019

2019

¥ 18,826¥ 155¥ 57,462¥ 327¥ 180,842¥ 49,946＄ 954,936＄ 172,747＄1,422＄527,271＄3,000＄ 1,659,405＄458,304

2018

2019

2019

-

-

−

¥ 575

¥ 656

¥ 19,006¥ 128¥ 56,783¥ 430¥ 177,797¥ 47,743¥ 47,168¥ 4,609¥ -1,063¥ 34,856¥ 8,766¥ 517¥ 49,289¥ 4,883¥ -776¥ 35,401¥ 9,781¥ 441＄6,019＄452,275＄44,806＄-7,120＄324,839＄89,750＄4,046

¥ 51
¥ 876
¥ 286

¥7

＄64

−

¥ 10,498

−

¥ 356
¥ 203

¥ 10,790−＄3,266＄1,862＄99,008＊1. Yen amounts are rounded down to the nearest ¥1 million.
＊2. U.S. dollar amounts are converted, for convenience only, at ¥108.98=US $1.00 (as of March 19,2020)
and rounded down to the nearest $1 million.

20 Annual Report 2020＊2

15Management Index
Fiscal 2018 and 2019
JPY
¥ Million

Solvency Margin Ratio ＊3
Total solvency margin

＊4

2018

①

Total risks ②

Solvency margin ratio = ①÷（②× 1/2）
×100

Breakdown of Basic Proﬁt

Basic proﬁt¥ 50,980¥ 271¥ 44,723¥ 5,985＊6Mortality proﬁt ＊6
Expense proﬁt ＊6

Equity Capital Ratio

2018¥ 142,205¥ 49,090¥ 191,296¥ 421,662

Equity capital ①
Contingency reserves ②
Revised equity capital = ① + ②
Total assets ③
Equity capital ratio ＊7 = ① / ③

Revised equity capital ratio

1367.3%2018＊5Investment proﬁt¥ 196,744¥ 28,779

33.7%

＊8

45.4%

USD
＄ Thousand

＊1

2019

＊2

2019

¥ 208,816 ＄1,916,094¥ 29,474 ＄270,453
1417.0%

2019

2019

2019

2019

¥ 51,961 ＄476,793＄3,110¥ 339¥ 45,062 ＄413,488¥ 6,560 ＄60,194¥ 149,431 ＄1,371,178¥ 51,932 ＄476,527¥ 201,363 ＄1,847,706¥ 452,014 ＄4,147,678
33.1%

44.5%

＊1. Yen Amounts are rounded down to the nearest ¥1 million.
＊2. U.S. dollar amounts are converted, for convenience only, at ¥108.98=US $1.00 (as of March 19,2020) androunded down to the nearest $1 million.
＊3. The solvency margin rate of JCIF is calculated based on the Consumer Cooperatives Act as determined by the
Ministry of Health, Labor and Welfare.
Therefore, it is incommensurable with the solvency margin rate of life insurance companies and nonlife insurancecompanies.
According to the Ministry of Health, Labor and Welfare, the rate needs more than 200%.
＊4. The total solvency margin is limited to what can be divided in the CO-OP Insurance business.
＊5. Deﬁnitions are as follows:
Investment proﬁt : Differential between the projected investment return (expected yield) andthe actual investment return.
Mortality proﬁt : Differential between the projected insurance payment (expected mortality rate) andactual claims for payment.
Expense proﬁt : Differential between the projected operational expenses (projected operational expense ratio) andactual operation expenses.
＊6. Basic proﬁt is calculated by excluding capital gain/loss, such as sales gain or loss on marketable securities, andextraordinary gain/loss, such as provision for contingency reserves, from recurring surplus. It is the index thatshows the basic period income generated from the mutual aid business.
＊7. Equity capital ratio = Equity capital ÷ Total assets＊8. Revised equity capital ratio = Revise equity capital ÷ Total assets

Annual Report 2020 21

Year

Ended March 20, 202

0

ANNUALREPORT

Proﬁle of JCIFName
JCIF (Japan CO-OP Insurance Consumers' Co-operative Federation)
Head ofﬁce
4-1-13 Sendagaya, Shibuya-ku, Tokyo 151-0051, JAPAN
Established
November 5, 2008
Number of Member Co-ops
151 (as of March 20, 2020)
Detail of operations
CO-OP Insurance Business
JCIF is the Federation Specializing
in Mutual Insurance Businesses
JCIF (Japan CO-OP Insurance Consumersʼ Co-operative Federation)
was established in November 5, 2008.
Up until 2008, the JCCU and member co-ops were engaged in not
only mutual insurance business, but also retail business such as
operating stores and providing home delivery services. To avoid
conﬂict with the newly revised Co-op Law in 2008, it was decided
to jointly establish a new organization, the JCIF, to specialize inproviding mutual insurance products.

Japan CO-OP Insurance Consumers' Co-operative Federation
4-1-13 Sendagaya, Shibuya-ku, Tokyo 151-0051, JAPANTEL :+81-3-6836-1320
FAX:+81-3-6836-1321

http://coopkyosai.coop