31 MARCH 2025 – Tokyo – Numerical Technologies (“NumTech”) has successfully completed the implementation of NtSaaS® for 5 companies within the MS&AD Insurance Group Holdings, Inc. (“MS&AD Holdings”), one of the leading insurance and financial services groups in Japan.
- The 5 companies include:
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- MS&AD Insurance Group Holdings, Incorporation
- Mitsui Sumitomo Insurance Company, Limited
- Aioi Nissay Dowa Insurance Company, Limited
- Mitsui Sumitomo Aioi Life Insurance Company, Limited
- Mitsui Sumitomo Primary Life Insurance Company, Limited
MS&AD Holdings is a global insurance and financial group with Mitsui Sumitomo Insurance and Aioi Nissay Dowa Insurance as its core entities. The group has been utilizing NumTech’s solutions primarily as an internal risk management model for asset management risk measurement. However, previous system operations faced several challenges, such as variations in infrastructure across group companies, rising system maintenance costs, and difficulties in standardizing application versions due to differing server renewal cycles.
To address these issues, MS&AD Systems, the group’s system development arm, led the project management for the NtSaaS implementation across all five companies. Having implemented NtSaaS for MS&AD’s overseas subsidiaries in 2020, MS&AD Systems leveraged its experience to complete the transition—from initial design to full-scale production—in just one year.
About NtSaaS
NtSaaS is a SaaS-based financial risk management solution widely adopted by Japanese financial institutions. It includes:
- VaR Measurement Module: Covers market and credit risk assessments.
- ALM Module: Supports medium- to long-term financial simulations in accordance with financial instruments accounting standards.
Within MS&AD Group, the VaR measurement module is utilized across the group’s risk management departments, while Mitsui Sumitomo Insurance also applies the ALM module for its financial risk assessments.
Enhancing Risk Governance for Insurance Companies Amid Regulatory Changes
Starting in fiscal year 2025, Japan’s insurance sector will be subject to an economic value-based solvency regulation, requiring group-wide risk measurement and enhanced governance frameworks, including data generation processes for risk assessment. NumTech remains committed to supporting insurance companies in strengthening their risk management frameworks through NtSaaS, leveraging the latest advancements in cloud technology.
Numerical Technologies is a financial risk management software company and consulting firm that specializes in high-performance computing (HPC), parallel Monte Carlo simulation, and financial modeling. Since 1998, we have been helping some of the largest banks and insurance companies globally to quantify risk, identify opportunities, and meet economic and regulatory capital requirements. Numerical Technologies holds office in Singapore and Tokyo.