Tokyo, 14th July, 2025: The Japan branch of Germany based Corporate & Specialty Insurer HDI Global SE, part of Talanx AG, one of Europe’s largest insurance groups, has received authorization from the Japanese Financial Services Agency to offer next-generation parametric earthquake insurance in the country.
To develop the most advanced solution possible for its clients, HDI Global collaborated with Descartes Underwriting SA (Head Office, Paris, France), a world leader in corporate parametric insurance solutions for natural catastrophic risks. In this endeavour, HDI Global leveraged its division dedicated to Risk Finance solutions, HDI Enablers.
This innovative parametric coverage has been designed to satisfy the unmet protection needs of Japanese corporations exposed to losses of any type arising from earthquakes. The next generation product provides insurance against all losses caused by earthquake, including property damage, direct and contingent business interruption, both tangible and intangible. Furthermore, no deductible or franchise payment is required.
Structured by Descartes, leveraging their recognized expertise in natural catastrophe risk, the coverage can swiftly pay a fixed, pre-arranged claim when an insured event occurs. Claims are triggered based on thresholds measured according to the clearly established Shindo seismic intensity of the Japan Meteorological Agency. Critical to the insured, claims are paid based on a simple declaration with notable speed, and intangible losses are easily covered in comparison to traditional insurance products. Triggers and coverage levels are outlined in a transparent, straightforward policy wording.
This new parametric earthquake coverage will be distributed through an expansive network of experienced insurance brokers and agencies across Japan. Descartes’ Director in Japan, Ikuya Shimada, will act as Descartes local representative for this initiative.
Dr Dirk Höring, Member of the HDI Global SE Executive Board, responsible for Property Insurance, Engineering Insurance, Marine Insurance, HDI Risk Consulting, says: “The Japanese insurance market landscape is in the middle of a structural change. Regulatory bodies are fostering heightened competition amongst major local insurers and encouraging the introduction of new insurance solutions to further improve customer protection. Acting as the preferred Partner in Transformation for our clients, the timing is ideal to deliver this innovative parametric earthquake solution and address longstanding coverage gaps in the Japanese market.”
Casey Sandler, Interim Managing Director of HDI Global’s Tokyo office, says: “It is a privilege to be able to provide this much overdue protection to our clients in Japan. The ever-present earthquake risk in Japan remains a challenge for businesses. Now the aspect of a coverage gap is drastically reduced by our innovative parametric solution.”
Violaine Raybaud, Chief Operating Officer of Descartes Underwriting, says: “Descartes is honored to further contribute to the resilience of the Japanese economy, given the suitability of our core parametric approach to earthquake risk. We are pleased to collaborate with HDI Global alongside our strategic partner Generali Global Corporate & Commercial, which will act as a key reinsurer of this new product. Together we have delivered a step-change in earthquake protection to the benefits of Japanese insurance ecosystem.”
