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

(Excerpt)

(Tuesday, November 14, 2023, 9:35 am to 9:44 am)

Q.

I would like to ask a question about BIGMOTOR. Would you tell us what action the Financial Services Agency (FSA) is going to take and what schedule you have drawn up for that?

A.

We have decided, as a definite policy, to revoke the registration of BIGMOTOR as an insurance agent as of Thursday, November 30, according to the Insurance Business Act. Today, on November 14, the Kanto Local Finance Bureau has conveyed the decision to the company and notified them that the Bureau will hold a hearing with them next Tuesday, on November 21, according to the Administrative Procedure Act to grant the company an opportunity to express their opinions.
The FSA continued inspecting BIGMOTOR on site until Friday, November 10. Through the on-site inspection, we examined primarily whether BIGMOTOR, as an insurance agent, had operated with any defect in governance or prevalent malpractices harmful to the protection of customers. We have found that the company failed to establish a business management system required under the Companies Act and develop a system needed to secure appropriateness of their insurance solicitation. We have also concluded that there is no hope of an insurer offering the company any support for rehabilitation as all the insurers that BIGMOTOR is working for under contract intend to cancel the agency agreements. Given the facts, the FSA has decided as a definite policy to revoke the registration of BIGMOTOR as a non-life insurance agent.