Meiji Yasuda holds 1.7x market share versus average life insurer

But profitability remains weak, with a return on capital of 2.1% in fiscal 2025.

Meiji Yasuda Life Insurance is expected to maintain a strong domestic market position despite ongoing challenges from low profitability and market volatility, according to Moody’s Ratings. 

The stable outlook reflects expectations that the insurer will preserve its competitive edge whilst managing asset-liability risks effectively.

As of fiscal 2023, Meiji Yasuda’s premium market share was about 1.7 times the typical Japanese life insurer.

Its economic solvency ratio stood at 216% at the end of fiscal 2024, though upcoming acquisitions in the US and UK are expected to modestly strain capital over the next 12 to 18 months.

Profitability remains weak, with a return on capital of 2.1% in fiscal 2025. High hedging costs from unhedged foreign bond holdings continue to weigh on investment returns, despite support from rising domestic interest rates. 

The insurer also holds a high level of high-risk assets relative to equity, exposing it to market fluctuations.