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Vision of CO-OP Insurance
Through CO-OP Insurance and the mutual assistance of CO-OP members, we are aiming toenrich society, promote cooperative activities, develop CO-OP and improve the lifestyles ofmembers based on covering economic loss caused by the various risks in members’ lives.

1

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

2

We will promote communication between members and CO-OP employees, and encouragea spirit of mutual aid among members.

3

We will offer members the opportunity to learn about insurance and acquire the ability toselect the insurance that suits them most.

4

We will increase the social credibility of cooperative business by the stable management of
the insurance and the expansion of the insured.

5

We will positively face the problems of aging, health and welfare, and conduct activities tocontribute to society, such as social welfare activities.

ANNUAL REPORT 2011
Year Ended March 20, 2011

CONTENTS
Financial Highlights ..... 1

Message from the President ..... 2

Eastern Japan Great Earthquake Disaster ..... 3
Outline of the JCIF ..... 4

Types of CO-OP Insurance ..... 6
Payment of Claims ..... 7

Risk Management and Compliance System ..... 8

Activities ..... 10

Fiscal 2010 CO-OP Insurance Business Overview ..... 12
Balance Sheet ..... 14

Income Statement ..... 15

Solvency Margin Ratio and Others ..... 16
The official name of our organization is the Japan CO-OP Insurance Consumers’
Co-operative Federation, commonly abbreviated as JCIF

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Financial Highlights
For the years ended March 20,

Millions of
U.S. dollars*2

Millions of yen*1

2010

2011

2011

Ordinary income¥142,335¥170,315$2,093

Ordinary expenses

109,410

136,695

1,680

Ordinary surplus

32,92433,620413

Net surplus

4,014

6,070

74

Total assets

179,102207,742

2,553

Total liabities

109,992

133,406

1,639

Total capital

69,11074,335913

Number of policies (total)

7,123,182

7,415,905—

Number of policies (direct insurance total)

6,694,884

6,983,602—¥10,139¥10,743

$132

929.4

984.9

—

As of March 20,

Amount insured (direct insurance total) (¥ billions / $ billions)
Solvency margin (%)*1. Yen Amounts are rounded down to the nearest ¥ 1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥ 81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 million.

Number of Policies (all total)(thousands)(thousands)

Amount Insured(¥ billions)(¥ billions)

8,0008,000

12,00012,000

7,415
7,415
7,123
7,123
6,869
6,869
6,677
6,677

7,0007,000

10,743
10,743
10,13910,1396,263
6,263
6,0006,000

9,0009,000

9,598
9,598
9,172
9,172
8,471
8,471

5,0005,000

4,0004,000

6,0006,000

3,0003,000

2,0002,000

3,0003,000

1,0001,00000200720072008200820092009 2010201020112011（As ofMarch20） 20）（As
of March

00200720072008200820092009 2010201020112011（As ofMarch20） 20）（As
of MarchJapan CO-OP Insurance Consumers’ Co-operative Federation

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Message from the President
We would like to offer our deepest condolences
and heartfelt sympathies to all those affected by theGreat East Japan Earthquake of March 11, 2011.
Following the earthquake, the Japan CO-OP
Insurance Consumers’ Co-operative Federation(JCIF) immediately established a national disaster
response division in preparation for serving
our policyholders in disaster-stricken areas. In
cooperation with co-ops in these areas as wellas other co-ops across the country, we visitedpolicyholders of insurance products offered by 12
co-ops in eight prefectures in an effort to make swift
payments of claims and relief money. The numberof residences we visited totaled around 30,000,
including evacuation centers.
Fiscal 2010 saw the commencement of ourvery first business plan focusing on a medium-range
perspective. Under the JCIF Medium-term Business
Plan 2010-2012 we tackled various challenges
toward our goal of becoming the first-choice provider
of mutual insurance that serves as the centerpieceof livelihood security for co-op member households.
In our CO-OP Insurance business, the policyholder
base of direct insurance products CO-OP Insurance
Tasukeai and i-Plus expanded steadily, respectively
reaching 6.98 million and 7 million as of the endof March and April 2011. The extremely popular
CO-OP Insurance Tasukeai Junior 18 1990-yen
Course, which was introduced at the end of theprevious fiscal year in response to strong demand
from members and officials of member co-ops,
attracted as many as 20,000 policyholders within
one year of launch. Both total premium income
and ordinary surplus increased year on year, while
the premium rebate rate amounted to 15% for the
CO-OP Insurance Tasukeai Junior 18 Course and
20% for other courses, maintaining the previous
year’s level. Total payment of insurance claims
for CO-OP Insurance Tasukeai and i-Plus stoodat 43.3 billion yen and 11.1 billion yen, paid out to1,086,000 and 88,000 policyholders, respectively,
both exceeding the figures recorded in the previous
fiscal year. We sincerely appreciate and respect
the support and cooperation afforded to us bymembers and officials of member co-ops and otherstakeholders, without whom we would not have beenable to operate so effectively.
In fiscal 2011, we will continue to respond to
the needs of disaster-affected policyholders while
endeavoring to accomplish our Medium-term

2

Business Plan 2010-2012. We will place particularfocus on the new whole-life mutual insurance
product to be introduced in September, which was
created to respond to strong demand from co-op
members, by making a concerted effort to publicize
the product as widely as possible among co-op
members in order to expand the circle of mutual
support. In addition, we are preparing to formulate
the JCIF Long-term Vision 2020 to lead us further
into the future. The vision, which will incorporate
the opinions of both co-op officials and members, isscheduled to be determined in detail by the end of
fiscal 2011 and be brought up at the ordinary general
meeting next year.
Our visits to disaster-hit areas have reaffirmed
our belief that co-ops and their insurance products
play tremendously significant roles in providing
mutual support, all the more so during toughtimes such as these. In collaboration with co-ops
nationwide, we hope to contribute to the restorationof disaster-stricken areas through our CO-OP
Insurance operations. We humbly ask for yourcontinued support and encouragement in the years
to come.

Tomomi Yano
President
Japan CO-OP Insurance Consumers’
Co-operative Federation (JCIF)Japan CO-OP Insurance Consumers’ Co-operative Federation

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Eastern Japan Great Earthquake Disaster
A massive 9.0 magnitude earthquake, the biggest-ever earthquake occurred at 14:46 JST on Friday,
11 March 2011, and the following tsunami caused huge damages on Tohoku and the neighboring areas.

The Co-ops in the stricken area has been fighting to support the victims’ living, by providing water, food, blanket andother relief supplies and establishing some evacuation shelters even though they themselves have gotten serious
damages on their staff and facilities.
With our principle of mutual cooperation, the other Co-ops across Japan have been supporting the victims torebuild their living.

Although damages caused by the earthquake and tsunami are not covered by Co-op insurance, a small relief
money* is delivered to victims to express co-ops condolence.
Also, we visited to the policyholder’s house to confirm the damaged situation and the policyholders’safety, and to inform the relief money and mutual aid money.
This activity is mainly focus in Tohoku region for now but later would be extended to cover areas in
Ibaraki and Nagano prefectures.
*Refer to page7, about Relief money

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Outline of the JCIF
JCIF, Co-op and JCCU
Our organization is a union of 155 consumer cooperative societies 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 union.
The JCIF has been established to take over and exclusively conduct all mutual insurance business previously
conducted by our Member Co-ops.
This new organization will have close relationships with purchasing, services and other CO-OP businesses,
making it the most useful and comprehensive in terms of providing for the day-to-day needs of individual members.
CO-OP members
CO-OP
members
Member
Co-opsRegional Co-ops, Co-op Associations etc.
Member Co-ops

Co-op Associations etc.
PromotionRegional
supportCo-ops,
of productsupply, social activities etc.
Promotion support of product supply, social activities etc.
JCCU
JCIF
● Improvement and development of CO-OP brand products, supplying business etc.
● CO-OP Insurance business
JCCU
JCIF
business etc.
●●Welfareof Life-Planning● Promotion
Improvement and development of CO-OP brand products, supplying business etc.
● CO-OP Insurance businessactivitiesetc.
and communication with foreign CO-OPs.
●●Support
Activities
Welfare business● Promotion of Life-Planningin international
meetings
Support activities
and communication
withetc.
foreign CO-OPs.
●Participation
Activities
Participation in international meetings etc.

Roles of Member Co-ops and JCIFThe JCIF will work to enhance our relationship with Member Co-ops by fulfilling the requirements of our specified role
and acting cooperatively to achieve our common goals.
CO-OP members,
members, Policyholders
CO-OP
Policyholders
Window for the
Window
for thesubscription procedure

Contract ofContract of
CO-OP Insurance

subscription procedure

Member Co-ops

Member Co-ops

Member Co-op

CO-OP Insurance

Cooperative
Cooperative
businessbusiness

JCIF

JCIF

Window for CO-OP Insurance

Each member Co-op acts as a service window for the subscription procedure and also provides information about
CO-OP insurance. In addition, each member Co-op works to support its members by offering insurance products tailored to arange of needs.

JCIF (Japan CO-OP Insurance Consumers' Co-operative Federation)

The JCIF develops products tailored to the needs of its members and others.
As well as developing insurance products, the union receives premiums, undertakes procedures related to the payment of

insurance claims and provides administrative support services to Member Co-ops. It also provides consulting services andresponds to complaints.
Each of the three unions of consumer cooperative societies which jointly constitute an insurance group has the dual roles ofMember Co-op and JCIF.

JCIF is the Federation for Exclusively Providing
Mutual Insurance Products
JCIF (Japan CO-OP Insurance Co-operative Consumers’ Federation) was established in November 5, 2008.

Under the revised Co-op Law adopted last year, mutual insurance organizations exceeding a certain size areprohibited from engaging in subsidiary business such as those in the retail field.
Up until FY2008, the JCCU and Co-ops offering direct mutual insurance* (Co-ops that were writing direct“Tasukeai ” insurance policies) were also simultaneously engaged in retail activities such as operating stores,
cooperative purchasing and operating home delivery services. To avoid conflict with the newly revised Co-op Law, it
was decided to jointly establish a new organization, the JCIF, to exclusively provide mutual insurance products.

*Direct mutual insurance: a type of mutual insurance in which the insurer is directly responsible for paying claims to policyholders.

4Japan CO-OP Insurance Consumers’ Co-operative Federation

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Structure of JCIFAs of June 21, 2011

Administrative andDevelopment
OfficeGeneralAssembly

Product Development Dept.
Accounting Dept.
Asset Management Dept.
Personnel and Administration Dept.

Board
of
Auditors

Total Management
OfficeManagement Planning Dept.
Public Relations Dept.
Risk Management Dept.

Board
of
Directors

Lagal and Compliance Dept.
Customer Satisfaction Promotion Dept.

Sales Promotion
OfficeEducation and Learning Dept.
Promotion Management Dept.
Hokkaido and Tohoku Area Promotion Dept.
Central Area Promotion Dept.
Kansai Area Promotion Dept.
Cyuushikoku Area Promotion Dept.
Kyusyu Area Promotion Dept.
Publicity Dept.

ClericalOfficeClaims-related Service Management Dept.
Contract Clerical Dept.
Call Center Management Dept.
Planning Dept.
Information Systems Dept.

Japan CO-OP Insurance Consumers’ Co-operative Federation

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Types of CO-OP Insurance
CO-OP Insurance Tasukeai— Medical InsuranceThis insurance provides comprehensive coverage for outpatient care due to accident,
hospitalization, surgery, death, disability, family members' death of the insured, and damage
to residences caused by fire or other perils. It is designed to meet the Co-op members'
demands for coverage that is essential to their daily lives at a reasonable premium.
There are four plans for women, for children, mainly to cover medical, and uniform
medical and death cover.

CO-OP Insurance i.-Plus— Term Life Insurance up

This insurance simply provides cover for death, which can be added cancer, hospitalization,and surgery of the insured. The maximum sum insured is ¥20 million in death benefits for areasonable premium. Added coverage is available by combining i.-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.

Whole life Insurance*
This insurance provides cover for lifetime hospitalization, surgery and death.
There are 2 types. One is whole life insurance which covers lifetime death.
The other is medical insurance which covers lifetime hospitalization and surgery.
*The neme of this type will be decided in 2012.

CO-OP Insurance New i.i.— Life Insurance
Basic plan that provides cover for death with the rebate plan can be matched up with medical
cover and women’s health cover. The contract term is renewable after five years with theoption of a rebate after the five years. Coverage may be extended until the member reaches
the age of 80.
CO-OP Insurance i.i. was stopped offer.

CO-OP Fire InsuranceThis insurance provides coverage against damage to residences caused by a wide rangeof perils including fire, lightning, explosion, aircraft or vehicle crashes into residences,windstorm and flood, flooding from a third party residence, unexpected damage from a third
party and earthquakes etc.

Direct and Indirect Insurance Products Offered
CO-OP Insurance offers direct and indirect insurance products. Direct insurance products are offered by JCIF
and Member Co-ops approved by the Ministry of Health, Labour and Welfare or local government bodies.
CO-OP Insurance direct insurance products are Tasukeai, i.-Plus and Whole life insurance.
For insurance not covered by direct insurance products, CO-OP Insurance forms alliances withZENROSAI * and property and casualty insurance firms to offer indirect insurance products.
CO-OP Fire Insurance and CO-OP Life Insurance New i.i. are offered as indirect insurance products.
* ZENROSAI is Japan's largest workers and consumers insurance cooperative organization recognized by the Co-op Law.

   ZENROSAI is a member organization of JCIF.  ZENROSAI and JCIF work together to provide a full line-up of CO-OP Insurance.

6

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Payment 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 ZENROSAI.) Upon
receiving a claim request, we check the contract details and ask the policyholder for details about the request
and then send the necessary materials. CO-OP Insurance values swift and efficient payment proceduresfrom the viewpoint of policyholders. For example, basic information is printed on payment claims documents
in advance, and some procedures are simplified depending on the claim details and amount.
CO-OP Insurance shortens the time from the reception of a claims request to payment in order toenhance policyholder satisfaction.

Relief Money to Victims of Devastating Disasters
In the CO-OP Insurance plans, Tasukeai, i.-Plus and i.i. policyholders receive Relief Money in accordancewith the CO-OP Insurance Regulations on Devastating Disaster Relief Money. These regulations were madewith the aim of providing a token of our sympathy to victims of devastating disasters. CO-OP Insurance
offers special assistance in accordance with the magnitude of a natural disaster. In the event of a devastating
disaster occurring wherein policyholder are eligible for claim payment and Relief Money, Member Co-ops
across the country cooperate in order to ensure swift and certain payment so that the burden on policyholder
may be alleviated even slightly.

Japan CO-OP Insurance Consumers’ Co-operative Federation

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Risk Management andCompliance System
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 thefollowing: Product development risks; Insurance underwriting risks (risks stemming from fluctuations in therate of occurrence of insured accidents against the forecasts made at the time of setting the premium); Assetmanagement risks (risk of suffering a loss in the value of assets held, due to fluctuations in interest rates,
stock prices, foreign exchange rates and deterioration of the financial position of banks of deposit or bondissuers); Office work risks; and System risks, etc.

l Product Development Risks and Insurance Underwriting Risks

Product development risks and insurance underwriting risks are risks that stem from fluctuations in
the incidence rate of accidents covered beyond the forecasts made at the time of setting the premium.
We manage these risks with due consideration for business stability. For example, we make efforts toachieve an appropriate level of benefit payment rate by identifying, examining, analyzing and regularly
monitoring these risks, as well as verifying them when developing and reviewing products.

l Asset Management Risks

Asset management risks are the risks of suffering a loss in the value of assets held due to fluctuationsin interest rates, stock prices, foreign exchange rates, etc. or deterioration in the financial position offinancial institutions with which we conduct transactions.
We ensure appropriate management of these risks based on a set of rules including the Rules for
Asset Management and the Regulations for Managing Asset Management Risks, which we established inaccordance with the Ordinance for Enforcement of the Consumer Cooperatives Act. Under this system,
we confirm the status of asset management execution, risks, etc. on a regular basis at board meetings
etc. In addition, we carry out sound asset management that best suits the nature of each fund and debt,
focusing on safety, profitability and liquidity.

l ALM Risks

ALM risks are the risks incurred when asset and liabilities terms are mismatched, forcing the company tobuy and sell assets, or to take on liabilities, when conditions are unfavorable.
We manage to secure the funds corresponding to liabilities by the setting a fair guaranteed yields,
the monitoring of interest surplus and loss and so on.

l Office Work Risks and System Risks

Office work risks are the risks of suffering a loss due to officers or staff executing inaccurate
administrative work, causing an accident, or committing a fraud.
System risks are the risks of suffering a loss due to flaws in our computer system including failure andmalfunction, or fraudulent use of our computers.
With respect to office work risks and system risks, we conduct analysis and assessment, identify
significant risks, and take protective measures. In addition, to prevent accidents in the office and insystem development and operations, we have in place the Rules of Conduct for Prevention of Serious
Accidents, the Information Security Policy and the Rules for Reporting Operational Accidents.

8

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Policy on Solicitation
Based on the Law on Sales of Financial Products, JCIF has established the following CO-OP Insurance
Solicitation Policy. These guidelines are posted visibly at the JCIF and at Member Co-ops handling CO-OP
Insurance. CO-OP Insurance sales personnel carry the guidelines in an all out effort to bolster compliance.

CO-OP Insurance Solicitation Policy

Notification to all members
Based on the Law on Sales of Financial Products, we have established the following CO-OP
Insurance Solicitation Policy.
1. When offering CO-OP Insurance, every effort will be made to comply with the Co-op Law, the Law
on Sales of Financial Products and the Consumer Contract Act to provide services in an appropriate
method.
2. When offering CO-OP Insurance, every effort will be made to ensure members fully understandproduct content and other important information.

3. When offering CO-OP Insurance, every effort will be made to respect the wishes of members, not takeup excessive amounts of members’ time or space.
4. When a claim is made, every effort will be made to ensure swift settlement.

5. Recognizing the importance of protection of privacy, contract information will be managed stringently
and appropriately.

6. Every effort will be made to gather member opinions and reflect these on future CO-OP Insurance
development and in offering CO-OP Insurance.

Business Operations Based on
Policyholder Feedback(1) The consultation center receives complaints and opinions by telephone
CO-OP Insurance, when developing products and paying claims, is making improvements basedon policyholder feedback. In order to receive more feedback and reflect the opinions in ourbusiness, we established the consultation center, which is dedicated to handling complaints,
opinions,and requests in 2006.
l Complaints we received at the consultation center in FY2010

We had 9,996 complaints and requests in fiscal 2010.
Viewing the opinions we received as representing
the voice of our policyholders, we are striving to
improve the problems.

Others

36.8%

51.9
%
Thanks51.9%

Requests

8.5%

Complaints 2.8%(2) Improvement efforts resulting from complaints and opinions we receive
We have introduced the management system to unify the management of complaints andopinions we receive so that related departments can share and swiftly resolve any issues. In
addition, we report all complaints and opinions to all departments once a week.

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Activities
Life-Planning Activities
Life-Planning activities enable Co-op members to learn about money matters in their lives. In the principle
topic of Revising Coverage, members gain the capability to independently select insurance that is reallynecessary.
As an integral part of Life-Planning activities, JCIF is training members and Co-op staff to be Life-PlanAdvisor (LPA). Participants of LPA courses learn about life planning, insurance, taxation and finance incomprehensive lectures
held by JCIF in order to
Co-op carries out the following
Life-Planning activities:
become LPA. As of Marchl Lectures on Revising Coverage20, 2011 there are 2,666
l Training sessions on revising lifestyles
advisors active at Memberl Life-planning lectures
Coops across Japan.
l Individual consulting
l Life-Planning Humorous poem “Senryu”

lDevelopments in Life-Planning Activities
Life-Planning activities
have now become firmly
established as Co-op
activities. In fiscal 2010,
more than 77,000 people
in total participated in theactivities, principally inrevision of coverage.

Participants in Life-Planning Activities

Number of participants

40,32540,000Fiscal 2009
Fiscal 2010

30,00024,015

10,00022,321

19,04320,00011,0438,838
3,356 2,958

0Lectures

Training
sessionTraining
session forchildren

2,624 2,016

2,737 2,080

1,785 2,161

Life-Planning
lectures

Indivisualconsulting“Senryu”
project

435 426
Institution of
Co-opʼs own
qualification

OthersHealth Improvement Activities
A fundamental issue for Co-op Insurance activities is the improvement of the health and welfare of people.
From the position of assisting members and policy holders 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 270 Co-op storesthroughout Japan. Since managing blood pressure is paramount for preventing all lifestyle-related illness,
it is essential to consistently measure blood pressure from day to day. Members are welcome to test theirblood pressure level while shopping, making the devices very useful for managing their day to day health.

(2) CO-OP Insurance Health Call Center
JCIF offers a free phone consultation service madeavailable to Tasukeai, i.-Plus and New i.i. policyholders.
JCIF contracts specialist counselors including doctors
and nurses from governmental corporation to give
advice on health, treatment and care-giving as well as
instruction on which medical facility to use. During fiscal
2010 the call center fielded 39,945 calls for advice.

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Welfare Activities
Since 1996, CO-OP Insurance has been assisting Co-ops all overJapan to carry out their welfare activities through the Co-op Welfare
Activity Organization. A variety of activities are carried out includingChild-rearing support, Communication center activities, activities
to foster communication through dinners and meal deliveries andactivities for helping lifestyles. These activities have led to alliances
being formed with other organizations and local government bodies tocreate regional networks.
In fiscal 2010, JCIF contributed a total of ¥18.91 million inassistance for 55 welfare activities of 35 Member Co-ops.

Breakdown of fiscal 2010

(As of March 20, 2010)

Application by activities

Activities

Amount application

Child-reading support

18¥5,700,000

Communication center activities

12

3,836,000

Activities to foster communication through dinners
and meal deliveries

14

5,162,800

Other welfare and volunteer activities11

4,217,000

Total

55

¥18,915,800

		Environmental Activities
JCIF took out the certification of ISO14001 in 2010. We build the environmental
management by contriving ways to extract the factor of effect to the environment.

Topics of FY2010
l Turning off of lights project

We approved to the gist to the turning off of light campaign which the environmental ministry
lectures, executel its project on June 2nd and December 10th, 2010. We did the light down of
our office at 19:15. We could control the electrical amount used of approximately 500 kwh.

l Reuse the tool

We collected the office work supplies which have not been used in the desk to reuse.
Total of the collection was about 16,000 yen worth.

l Removal of fluorescent light

We removed the fluorescent tube which does not have hindrance in business for cutting
electricity use. We could be controlled the electrical amount used of approximately 900kwh
per a month.

Japan CO-OP Insurance Consumers’ Co-operative Federation

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Fiscal 2010 CO-OP Insurance
Business Overview
Overview of the financial results of the CO-OP Insurance business is as follows:

End of year policyholders totaled 7,415,905
When broken down by product, Tasukeai policyholders increased 1.9% from the previous year to
5,784,814, i.-Plus policyholders increased 17.6% to 1,198,788, CO-OP Fire Insurance policyholders
increased 2.0% to 390,287, i.i. policyholders decreased 50.8% to 11,306 and CO-OP Insurance New-i.i.
policyholders increased 29.0% to 30,710.

Insurance in force totaled ¥10,743 billions
CO-OP Insurance Group has total policies of ¥10,743 billions of direct insurance in force, an increase of
6.0% on the previous year.

Premiums totaled ¥151 billions
CO-OP Insurance Group has total premiums of ¥151 billions, an increase of 5.7% on the previous year.

1,180,557 payments made
CO-OP Insurance Group made a total of 1,180,557 payments, an increase of 2.0% on the previous year.

¥56,562.8 million in payments made
CO-OP Insurance Group has made a total of ¥56,562.8 millions in payments for insurance claims, anincrease of 1.0% on the previous year.
* Refer to Page 6, about direct and indirect insurance.

Asset Management
Investment Assets

Millions of yen*1

composition
ratio(%)

Thousands of
U.S. dollars*2

As of March 20,

2010

2011

Cash

¥65,645¥73,93244.9%$908,813

Negotiable deposit

22,50039,50024.0%

485,556

Public andcorporate bond

48,39547,77929.0%

587,326

499

255

0.2%

3,134

2,894

3,284

2.0%

40,368¥139,935¥164,751

100.0%$2,025,212

StocksOther securities
Total

2011

Stocks 0.2%

Other
securities

2.0%

Public andcorporate
bond

29.0%

Cash

44.9%

Negotiable
deposit

24.0%*1. Yen Amounts are rounded down to the nearest ¥ 1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥ 81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.
*3. Money held in trust are transferable warranty deposits.
*4. A portion of foreign securities in foreign currencies are hedged.
*5. Other securities are consist of investment trusts in which volatilities are suppressed.

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Sectral CO-OP Insurance Business Overview
CO-OP Insurance i.-Plus

CO-OP Insurance Tasukeai

2007

5,276,661

2007
2008

5,547,769

2008

2009

5,597,422

2009

2010

5,676,134

2010

2011

5,784,814

2011

As of March 20,
Number of Policies
Premium Income (¥ millions)
Claims Paid (¥ millions)2010
5,676,134¥109,448¥45,895

2007

1,018,750
1,198,788

Number of Policies
Premium Income (¥ millions)
Claims Paid (¥ millions)2010
1,018,750¥34,128¥9,6042007

2011
1,198,788¥39,391¥11,149

57,602

2008

357,613

2009

850,502

CO-OP Insurance i.i.
343,9622008

718,080

As of March 20,

2011
5,784,814¥112,300¥45,413

CO-OP Fire Insurance

585,154

48,113

2009

372,371

34,2092010

382,262

2010

2011

390,287

2011 11,306

22,243As of March 20,

2010

2011

As of March 20,

2010

Number of Policies

382,262390,287

Number of Policies

22,243

11,306Premium Income (¥ millions)¥6,157¥6,393

Premium Income (¥ millions)¥3,651¥2,033Claims Paid (¥ millions)¥1,024¥1,107

Claims Paid (¥ millions)¥6,016¥6,062As of March 20,

2010

2011

Number of Policies

23,79330,710Premium Income (¥ millions)¥2,962¥4,070Claims Paid (¥ millions)

¥304

¥447

2011

CO-OP Insurance New i.i.
2010
2011

23,79330,710Japan CO-OP Insurance Consumers’ Co-operative Federation

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Balance Sheet
As of March 20,

AssetsCash and time deposits
Money trust
Securities

Lones
Reinsurance account
Subcontracting accountContract account

Other mutual insurance assets
Advance payments

Outstanding earnings
Other assets
Fixed assets for business use
Investment in affiliates etc.
Deferred tax assets
Deferred assets

Thousands of
U.S. dollars*2

Millions of yen*1

2010

2011

2011

¥64,463
11,59663,875¥72,622
13,72878,399$892,710
168,752
963,724

379
—

133
16

1,634
196

19
151
6,969
—

16
121
7,432
399

196
1,487
91,358
4,904

—
2,133
23,613
159
5,304
436

197
2,071
22,286
192
9,913
208

2,421
25,457273,952
2,360
121,856
2,556¥179,102¥207,742$2,553,681

Policy reserves¥98,026¥116,515$1,432,267

Other liabilities
Allowance

6,265
641

5,996
4,525

73,70655,623¥109,992¥133,406$1,215,381

Membership capital
Others¥67,519
1,590¥72,828
1,506$895,242
18,512

Total Capital¥69,110¥74,335$913,767

Total Liabilities and Capital¥179,102¥207,742$2,553,681

Total Assets

Liabilities
Reinsurance account
Subcontracting accountContract account
Other insurance liabilities
Outstanding outlays

Price fluctuation reserves
Total Liabilities

179
3,081
413
0
1,083

300

181
4,072
417
35
1,067

594

2,224
50,055
5,125
430
13,116

7,301

Capital*1. Yen Amounts are rounded down to the nearest ¥1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.

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Income Statement
For the years ended March 20,

Thousands of
U.S. dollars*2

Millions of yen*1

2010

2011

2011

¥138,613¥147,693$1,815,525

2,586

21,562265,052

Investment income

898

806

9,907

Other ordinary income

237

254

3,122

Total Ordinary income¥142,335¥170,315$2,093,607

Claims paid

¥56,873¥77,612$954,050

Provisions for policy reserves

11,82912,846

157,910Investment expenses

122

258

3,171

Operating expenses

40,29841,770513,460

Other ordinary expenses

287

4,208

51,727

Total Ordinary expenses¥109,410¥136,695$1,680,331

Ordinary Surplus¥32,924¥33,620$413,275

Extraordinary income

¥5

¥0

$0

Extraordinary loss

300

298

3,663

¥32,629¥33,322¥409,612

Corporate and other taxes

4,375

4,713

57,934

Adjustment of corporate and other taxes–1,930– 4,635– 56,976

Transfer to resreve for claim rebate

26,16927,174

334,038

Net surplus

4,014

6,070

74,615

124

276

3,392

—

0

0

¥4,139¥6,346$78,008

Ordinary Income:Premium and other income
Reversal of allowance for reserve of
insurance policy

Ordinary Expenses:

Extraordinary Profit and Loss:

Surplus before taxes

Net surplus for the period
Reversal of reserve for catastrophe solatium
Unappropriated surplus for the period*1. Yen Amounts are rounded down to the nearest ¥1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.

Japan CO-OP Insurance Consumers’ Co-operative Federation

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Solvency Margin Ratio and Others
Solvency Margin Ratio*

3(As of March 20)

Thousands of
U.S. dollars*2

Millions of yen*1

2010

2011

2011

Total solvency margin*4¥95,299¥106,948$1,314,665

Total risks

19,37921,717

266,957

983.5%

984.9%

984.9%

Solvency margin ratio = ÷× 1 / 2 × 100*1. Yen Amounts are rounded down to the nearest ¥ 1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥ 81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.
*3. The solvency margin rate of JCIF is calculated based on the Ordinance for Enforcement of Co-op low as determined by the Ministry of
Health, Labour and Welfare.
Therefore, it is incommensurable with the solvency margin rate of life insurance companies and nonlife insurance companies.
According to the Ministry of Health, Labour and Welfare, the rate needs more than 200%.
If it is calculated by the same basis, it is 929.4% on March 20th, 2010.
*4. The total solvency margin is limited to what can be divided in the CO-OP Insurance enterprise.

Breakdown of Basic Profit(As of March 20)

Thousands of
U.S. dollars*2

Millions of yen*1

2010

2011

2011

¥37,185¥37,801$464,671

Investment profit *3

335

339

4,167

Mortality profit *3

36,79536,030442,901

Expense profit

55

1,432

17,602

Basic profit *4*3*1. Yen Amounts are rounded down to the nearest ¥ 1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥ 81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.
*3. Definitions are as follows:
Investment profit : Differential between the projected investment return (expected yield) and the actual investment return.
Mortality profit : Differential between the projected insurance payment (expected mortality rate) and actual claims for payment.
 Expense profit : Differential between the projected operational expenses (projected operational expense ratio) and actual operationa
expenses.
*4. Basic profit is calculated by excluding capital gain/loss, such as sales gain or loss on marketable securities, and extraordinary gain/loss,
such as provision for contingency reserves, from recurring surplus. It is the index that shows the basic period income generated fromthe mutual aid enterprise.

Equity Capital Ratio

Millions of yen*1

Thousands of
U.S. dollars*2(As of March 20)

2010

2011

2011

Equity capital¥69,110¥74,335$913,767

Contingency reserves

15,682

19,986245,679

    Revised equity capital   =

84,792  

94,322

1,159,459

179,102207,7422,553,681

    Equity capital ratio    =

38.6%

35.8%

35.8%

		 Revised equity capital ratio*4 =

47.3%

45.4%

45.4%

Total assets*3*1. Yen Amounts are rounded down to the nearest ¥ 1 million.
*2. U.S. dollar amounts are converted, for convenience only, at ¥ 81.35 = US$1.00, the rate prevailing on March 19, 2011, and rounded
down to the nearest $1 thousand.
*3. Equity capital ratio = Equity capital ÷ Total assets*4. Revised equity capital ratio = Revise equity capital ÷ Total assets

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Profile of JCIFName

JCIF (Japan CO-OP Insurance Consumers’ Co-operative Federation)

Head office

1-5-2 Irifune, Urayasu, Chiba 279-8588  Japan

Established

November 5th, 2008

Number of Member Co-ops

157 (as of March 21st, 2011)

Detail of operations

CO-OP Insurance Business / Promotion of Life-Planning Activites

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