Japan Post Insurance Problems May Have Hit 60,000 More Customers

Economy

Tokyo, Jan. 29 (Jiji Press)--Improper sales practices for Japan Post Insurance Co. <7181> products may have caused about 60,000 more customers to suffer disadvantage, it was learned Wednesday.

The Japan Post Holdings Co. <6178> group started last August to investigate 183,000 Kampo brand insurance contracts involving 156,000 customers that were possibly affected by questionable sales practices, such as having policyholders make double payments of premiums when switching from one contract to another.

The group will additionally look at the new suspected cases, informed sources said. The number of contracts subject to the additional probe may reach around 200,000, according to the sources.

The group is set to submit business improvement plans related to the sales irregularities to the Financial Services Agency and the internal affairs ministry on Friday. At a press conference later in the day, Japan Post Holdings President Hiroya Masuda is expected to give an explanation about details of the additional investigation, the sources said.

The additional survey will cover cases such as those in which policyholders had to pay massive sums of premiums as a result of being forced to sign multiple insurance contracts, according to the sources.

[Copyright The Jiji Press, Ltd.]

Jiji Press