Your stand-alone medical product called EVER has been very successful for AFLAC in Japan. Why has it been so popular?

The reason for its success is very simple – we gave consumers exactly what they wanted. Before introducing EVER, we conducted extensive research and it became clear that consumers were interested in a stand-alone medical product with premiums that remained level for life. Following the launch of EVER in early 2002, we have been the number one seller of stand-alone medical insurance among all life insurance companies in Japan. And I absolutely believe we earned that distinction by offering the best medical product at the best price. But EVER is not only bringing us new sales, it’s bringing us new customers. Approximately 60% of people who purchased EVER last year were first-time buyers of an AFLAC product. And those new customers may prove to be a good market for other AFLAC products in the future.

Last year you introduced Japanese AFLAC Duck commercials. Did they get the same reaction as the U.S. commercials and what do you expect from the ads?

Like the AFLAC Duck commercials we air in the United States, the Japanese commercials have been very popular with consumers. In fact, the AFLAC Duck commercials in Japan were rated by a market research firm as the best in Japan among commercials from financial services companies. They are successful because they are humorous and they catch people off guard. But the purpose of the commercials is a bit different in Japan. For many years, we have had very high name recognition in Japan. And because of different regulations governing advertising content, the AFLAC Duck commercials in Japan were designed to support specific products we offer, such as EVER and Rider MAX. By comparison, we have used the AFLAC Duck in the United States to build our brand. And as a result, our brand recognition is now at a level that is equal with some of the best-known brands in the United States.

You have talked a great deal about the “AFLAC Brand.” What do you mean by that and why is defending the company’s brand important?

Awareness of the AFLAC brand is far more than just knowing our name. It’s about people understanding who AFLAC is and what we do. We have created strong brand awareness with our advertising campaign featuring the AFLAC Duck in both the United States and Japan. It’s critical that we do not let our brand or our image become tarnished in any way. Because consumers expect more from a well-known company, we will work even harder to protect our brand through continued improvement in our products and service.

The AFLAC Cancer Center is AFLAC’s primary U.S. philanthropic effort and you have had a successful initiative in Japan with the Parents House. Explain why it’s important for a company to be involved in such efforts.

It’s important because we are giving back to the communities in which we operate. Although we sell a variety of products, cancer insurance built our company. And we have never lost sight of the fact that cancer is a terrible disease and that it’s very important for us to help the children who suffer from it as well as their families. Many of our employees and sales associates have given their time and money to help the AFLAC Cancer Center, and several have talked about how they have been touched by the children there. We have been successful as a company, and I think we have a responsibility to share our good fortune in a way that helps people.

How would you describe AFLAC’s corporate culture?

We have a diverse, people-oriented culture. Like any people-driven business, we have many different constituencies with overlapping, but different, needs. For instance, we attempt to take actions that equitably impact policyholders, sales associates, employees and shareholders. Our goal is to provide the best relative product value and service to our policyholders, competitive compensation and rewards to our sales associates, a great place to work for our employees, and solid investment returns to our shareholders.