Nippon Life Insurance has completed its first commitment to a FinTech/insurance+a venture fund, the largest private insurer in Japan says in a statement.
Nippon Life is investing US$94 million in the NLI Strategic Venture Investment Fund managed by its wholly-owned subsidiary, Nippon Life Global Investors Americas (NLGI Americas). The fund will leverage the Silicon Valley network of NLGI Americas and others, and will access highly-respected accelerators like Y Combinator.
The fund will invest in areas like “Fintech” (Insurance, Asset Management, Wealth Management, Investment Infrastructure, etc) and “Insurance+a” (Childcare, Care of the Elderly, Healthcare, etc.) in which Nippon Life expects large investment opportunities to be generated by the development of Big Data and AI Technology.
To further accelerate the implementation of advanced technology, including AI, in order to promote and develop these businesses, Nippon Life has recently announced the establishment of a new Innovation Development Office in the current financial year which started on 1 April.
The NLI Strategic Venture Investment Fund has been designed not only to achieve a strong investment return but also to liaise closely with the Innovation Development Office.
Through its investment in this fund, Nippon Life is expecting to be able to gather information, co-invest in high-growth venture companies, jointly work on and also co-create new products and services, solve various social issues, and achieve an investment return of “+a” for the insurance policyholder.