T&D : MCEV as of March 31, 2023

May 15, 2023

T&D Holdings, Inc.

(Security Code: 8795, TSE Prime Market)

Taiyo Life Insurance Company

Daido Life Insurance Company

T&D Financial Life Insurance Company

Preliminary Market Consistent Embedded Value

as of March 31, 2023

T&D Holdings, Inc. (President: Hirohisa Uehara), Taiyo Life Insurance Company (President: Naoki

Soejima), Daido Life Insurance Company (President: Mutsuro Kitahara) and T&D Financial Life

Insurance Company (President: Masafumi Itasaka) of the T&D Insurance Group are disclosing the Group's Market Consistent Embedded Value ("MCEV") in compliance with the European Insurance CFO Forum Market Consistent Embedded Value Principles©1 as of March 31, 2023.

Preliminary results of MCEV as of March 31, 2023 are as follows. MCEV as of March 31, 2023 with the attachment of a third party opinion is scheduled to be disclosed on May 18, 2023.

For details of MCEV, please refer to the "Disclosure of Market Consistent Embedded Value as of March 31, 2023," which is scheduled to be released on May 18, 2023.

1 Copyright © Stichting CFO Forum Foundation 2008

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1. MCEV results of T&D Insurance Group

The embedded value on an MCEV basis as of March 31, 2023 is ¥3,440.3 billion, an increase of ¥25.7 billion from the value as of March 31, 2022, which is primarily related to the contribution of new business. The adjusted net worth has decreased due to the decrease in the market value of domestic and foreign bonds caused by higher interest rates and the value of in-force business has increased due to the contribution of new business and higher domestic interest rates.

The value of new business is ¥167.0 billion.

				(Billions of yen)
		March 31, 2022	March 31, 2023	Increase
		(Decrease)
MCEV	3,414.6	3,440.3	25.7
	Adjusted net worth	1,931.0	1,511.4	(419.5)
	Value of in-force business	1,483.5	1,928.9	445.3
		FY 2021	FY 2022	Increase
		(Decrease)
Value of new business	166.9	167.0	0.1
		March 31, 2022	March 31, 2023	Increase
		(Decrease)
Group MCEV(Note)	3,508.5	3,331.3	(177.1)
	Covered business MCEV	3,414.6	3,440.3	25.7
	Net asset value of non-covered	93.9	(109.0)	(202.9)
	business

Note: Group MCEV consists of the MCEV of covered business and the net asset value of non-covered business on a Japanese GAAP basis. The net asset value of non-covered business includes net assets of T&D Asset Management Co., Ltd., Pet & Family Insurance Co., Ltd., T&D United Capital Co., Ltd., All Right Co., Ltd., T&D Innovation Fund and T&D Holdings, Inc. (excluding shares of its subsidiaries and affiliates).

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2. Movement analysis

Movement analysis of MCEV as of March 31, 2023, from the previous fiscal year-end is as follows:

	(Billions of yen)
	MCEV
Opening MCEV	3,414.6
Opening adjustments	(58.5)
Adjusted opening MCEV	3,356.0
Value of new business	167.0
Expected existing business contribution	22.1
(reference rate)
Expected existing business contribution	115.5
(in excess of reference rate)
Experience variances	(57.2)
Assumption changes	(20.1)
Other operating variance	(5.6)
Operating MCEV earnings	221.6
Economic variances	(137.3)
Total MCEV earnings	84.2
Closing MCEV	3,440.3

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3. MCEV by Company
(1) Taiyo Life Insurance Company			(Billions of yen)
			March 31, 2022	March 31, 2023	Increase
			(Decrease)
	MCEV	1,134.5	1,084.2	(50.3)
		Adjusted net worth	671.0	503.3	(167.6)
		Value of in-force business	463.5	580.8	117.3
			FY 2021	FY 2022	Increase
			(Decrease)
	Value of new business	57.5	49.3	(8.1)
(2) Daido Life Insurance Company			(Billions of yen)
			March 31, 2022	March 31, 2023	Increase
			(Decrease)
	MCEV	2,148.1	2,222.5	74.3
		Adjusted net worth	1,145.4	933.1	(212.3)
		Value of in-force business	1,002.6	1,289.3	286.7
			FY 2021	FY 2022	Increase
			(Decrease)
	Value of new business	105.6	109.4	3.7
(3) T&D Financial Life Insurance Company		(Billions of yen)
			March 31, 2022	March 31, 2023	Increase
			(Decrease)
	MCEV	111.3	126.6	15.2
		Adjusted net worth	93.9	67.9	(25.9)
		Value of in-force business	17.4	58.6	41.2
			FY 2021	FY 2022	Increase
			(Decrease)
	Value of new business	3.8	8.2	4.4

[Contact Information]

T&D Holdings, Inc., Group Planning Department, Investor Relations Division Tel: [phone]

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