Press Conference by SUZUKI Shunichi, Minister of Finance and Minister of State for Financial Services

(Excerpt)

(Friday, August 25, 2023, 11:17 am to 11:27 am)

Q.

I have a question about BIGMOTOR. I understand that the Financial Services Agency (FSA) has issued an order for insurers to submit a report. The deadline is the end of August. Some media have reported that the FSA is considering inspecting Sompo Japan on-site in September. Would you please tell us how things are progressing at the moment and what direction you are going to take? What action will you take against the company? Will you carry out an on-site inspection?

A.

I know there was a media report that the FSA might carry out on-site inspection of Sompo Japan. It is not the case that the Agency has decided to carry out an on-site inspection of the insurer.
On July 31, the FSA issued an order for Sompo Japan to submit a report. We have required the insurer to submit a report primarily about what appropriate action they are going to take to compensate for the damage their customers incurred, what they recognized as a fact about this issue, all the facts about employees they loaned to BIGMOTOR, and the circumstances surrounding why only Sompo Japan resumed customer referrals.
The FSA would like to decide what statutory action to take once we receive a report and examine carefully what it contains to determine appropriate measures.

Q.

Let me ask again about Sompo Japan. You said nothing has been decided about the action the FSA should take against the insurer, officially. Do you consider an on-site inspection as one of the most likely options for the Agency to scrutinize the issue?

A.

As I just said, it is not the case that we have decided to carry out an on-site inspection.
We have already ordered the insurer to submit a report. We would like to scrutinize what they will present, what it will contain. Based on the findings, we will take appropriate action.