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JAKARTA, Indonesia, Nov. 24, 2022 /PRNewswire/ -- Tokio Marine Holdings, Inc. ("Tokio Marine") increased its shareholding in PT Asuransi Tokio Marine Indonesia (hereinafter "TMI") from 60% to 80% through its wholly owned subsidiary, Tokio Marine Asia Pte. Ltd. ("Tokio Marine Asia"). The stake was increased through acquisition of 20% of shares held by joint venture partner, PT Asuransi Jasa Indonesia ("Jasindo"), at the price of IDR 509 billion (approximately USD 33 million).
Since 1973, Tokio Marine started its non-life insurance business in Indonesia as an agent of Jasindo, one of the largest state-owned non-life insurance companies, by providing insurance products and services to Japanese companies doing business in Indonesia. In 1975, a joint venture was established with Jasindo as PT. Asuransi Jayasraya. After Tokio Marine took a major position in 1990, the company name was changed to PT Asuransi Tokio Marine Indonesia.
Leveraging on Tokio Marine's strong branding and financial position, TMI has been growing steadily through the expansion of its branch network in Indonesia. Currently, TMI is ranked 13th in the market in terms of Gross Written Premium and is one of the most profitable insurers in Indonesia.
Both parties reached an agreement to increase TMI's shareholdings to 80% from 60%. Tokio Marine Asia completed the acquisition of 20% shares of TMI from Jasindo on 23 November 2022 after obtaining local regulatory approval.
In line with Tokio Marine's international business strategy, the increase of shareholding in TMI will help to achieve sustainable growth and profit expansion as well as enhance diversified business portfolio through capturing growth opportunities in emerging countries.
Indonesian economy has seen a steady growth and is the second largest non-life insurance market in ASEAN with the fourth largest population in the world. The market size is expected to become the largest in ASEAN in 10 years, surpassing Thailand.
By further utilizing Tokio Marine's broad expertise and specialty on insurance, TMI aims to provide high quality products and services that meet customer needs and achieve further sustainable and profitable growth to contribute to Tokio Marine's international insurance business as well as the sound growth of the non-life insurance sector in Indonesia.
About Tokio Marine Group
Tokio Marine was established in the year 1879 as the first insurance company in Japan and has grown over the decades, now offering an extensive selection of General and Life insurance products and solutions in 46 countries and regions worldwide.
