Tokio Marine launches TokioWeather

Japan's Tokio Marine and Fire Insurance has launched TokioWeather, the country's first software program that calculates the premium on weather derivatives, according to an official at the insurer in Tokyo.

The software is designed to simplify the process of determining premiums on weather derivatives by inputting data such as maturity, amount payable and underlying weather conditions, directly into the system. "Typically it can take several days to get a quote," the Tokio Marine official said.

He added that the weather derivatives market in Japan is set to grow significantly due to demand for contracts from the 70% to 80% Japanese corporates seriously impacted by weather changes.

"The weather derivatives market is getting more competitive," he said. "There are many insurers in Japan that are dealing with the derivatives and there are large banks and security companies going into this business."

Tokio Marine is currently marketing the product to regional banks in the country.

Speaking at the International Swaps and Derivatives Association AGM in Berlin, Masahiro Hosomi, senior manager for derivatives and structured products at Bank of Tokyo-Mitsubishi, said there had been 500 weather transactions since June 1999, with a notional value of between $60 and $80 million.

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Chartis RiskTech100® 2024

The latest iteration of the Chartis RiskTech100®, a comprehensive independent study of the world’s major players in risk and compliance technology, is acknowledged as the go-to for clear, accurate analysis of the risk technology marketplace. With its…

T+1: complacency before the storm?

This paper, created by WatersTechnology in association with Gresham Technologies, outlines what the move to T+1 (next-day settlement) of broker/dealer-executed trades in the US and Canadian markets means for buy-side and sell-side firms

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here