Insurance Business Act

The business flow of insurance agents has changed significantly as a result of the revision of the Insurance Business Act that came into force in May 2016.

Previously, in the insurance business sector, while on the one hand, the Financial Services Agency monitored insurance companies strictly, it was less strict in its monitoring of insurance brokers. However, with the diversification of insurance products and sales channels in recent years, opportunities for general consumers to be solicited for insurance policies have increased dramatically. As a result, complaints from general consumers when entering into insurance contracts have become more frequent. In light of these circumstances, the Insurance Business Act was revised in May 2016 to restructure the regulations on insurance marketing imposed on insurance brokers, including independent brokers.

We have formed a team that is thoroughly familiar with various types of insurance and with the Insurance Business Act. While keeping up with the latest amendments to legislation and business practices, both insurance companies and brokers make it a point to exchange views with our attorneys on the various questions and issues they encounter in their day-to-day operations and to hold practical discussions.

In addition to these approaches, we have established systems for accumulating knowledge related to the Insurance Business Act as a whole and incorporating that knowledge into our clients’ insurance sales practices. We do this by providing advice on the insurance sales systems of various companies, and, more specifically, by proposing reviews of the flow of their current insurance sales systems and formulating and revising internal rules.