Sompo Holdings uses AI to address Japan's caregiver shortage

Japan is facing a serious shortage of workers to care for its elderly population. To tackle this issue, Sompo Holdings, one of the country's largest insurance companies, is using artificial intelligence. The CEO, Mikio Okumura, stated that AI can perform tasks that caregivers usually handle, leading to better care services. For instance, they use sleep measurement sensors to monitor patients without needing caregivers to check in person constantly. This technology allows staff to easily track and improve each patient’s sleep quality. Okumura also noted that a significant portion of caregivers' time is spent on paperwork, which takes up 20% to 25% of their work hours. To address this, Sompo is introducing digital solutions to streamline these tasks. This will enable caregivers to focus more on providing quality care. In 2024, Japan's elderly population reached 36.25 million, while the birth rate fell to a record low. The country is known for its high life expectancy, meaning older people are living longer than ever. Sompo Holdings is restructuring its business to better adapt to current challenges. Starting April 1, it will merge its four divisions into two: "Sompo Property and Casualty" and "Sompo Wellbeing." Okumura believes the property and casualty division will see most growth, especially in international markets. He aims to double the company’s profits by 2030, with most growth expected to come from abroad. However, he mentioned that they do not plan to expand their wellbeing services internationally due to cultural and regulatory differences. As Japan's population continues to decline, Sompo is focusing on finding new opportunities outside the country to ensure its growth and sustainability.