Mar. 14, 2019
Sumitomo Corporation Invests in CXA to Develop Insurance Sales and Health Promotion Platform in Asia
Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Masayuki Hyodo), through the corporate venture capital company Sumitomo Corporation Equity Asia Limited (Head Office: Hong Kong Special Administrative Region), has invested in CXA Group Pte Limited (Head Office: Singapore; hereinafter, “CXA”), which provides insurance sales and health promotion platform to companies in Asia.
The general practice in Asian countries is for companies and other employers to purchase policies from insurance companies, paying the premiums in order to make insurance available to employees as part of their benefit packages, but these premiums have been rising year by year as societies age and the number of people suffering chronic illnesses increases. It is also difficult for employers to arrange optimal insurance coverage meeting the needs of all age groups, sexes, and family structures when seeking to provide insurance to employees across the board. Identifying the insurance best suited to the specific circumstances of employees while pursuing efforts to prevent illness and promote good health are thus regarded as necessary.
CXA develops and provides companies with online platforms that can offer centralized management of data on employee attributes and medical checkups and introduce insurance policies that match the situations of specific individuals. Employees are thereby able to choose and subscribe online to insurance policies that best fit their own circumstances as well as to purchase welfare goods and services that help improve their health. CXA currently offers services to around 600 companies in 20 countries, including Singapore and China, and will seek in future to expand its business in Asia and elsewhere, to cut the insurance premiums paid by companies, and to promote the health of employees.
By investing in CXA, Sumitomo Corporation will be contributing to digitalizing the health care market in Asia and improving the health of individuals. In its Medium-term Management Plan 2020, Sumitomo Corporation is seeking to enhance its existing businesses and to use platform business and DX to create businesses that will provide new primary sources of revenue for the next generation. In creating these new next-generation businesses, the Company has examined future megatrends and identified three growth sectors in which it can put its strengths to good advantage – technology x innovation, healthcare and social infrastructure – and will be actively investing management resources in these with an eye to the future.
|■ Profile of CXA|
|・Representative||:||Rosaline Chow Koo|
|■ Profile of Sumitomo Corporation Equity Asia|
■Sumitomo Corporation’s Material Issues
Sumitomo Corporation Group positions “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This Project especially contributes to “Contributing to the Development of Local Communities and Industries” and “Establishing a Foundation for Comfortable and Enriching Lifestyles”