Aflac CEO Says Exposure to Japan Quake/Tsunami is ‘Limited’

March 14, 2011

U.S. insurer Aflac Inc , which is the largest foreign insurer in Japan, has “rather limited” financial exposure to the devastating earthquake and tsunami, Aflac’s chief executive said.

“Are we going to be hit in terms of earnings or major issues? The answer is not overall. We don’t like it and we are very sorry for the Japanese people, but we are going to manage through it,” said Daniel Amos, chief executive of the Columbus, Georgia-based company. “The impact in regard to the financials as far as we’re concerned will be uneventful.”

Aflac, which sells supplement disability insurance — not property insurance — generates about 75 percent to 80 percent of its sales and profit in Japan.

The company has evaluated all its offices and they are “in good shape,” Amos said. Its Tokyo office has resumed operation while its small Sendai facility remains closed.

Aflac plans to make a 100 million yen donation to the International Red Cross towards the relief effort, Amos said.

(Reporting by Scott Malone, editing by Gerald E. McCormick)

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