Discussion Papers

Findings from research and studies conducted at the Financial Research Center (FSA Institute) are organized and published as Discussion Papers to stimulate further discussion and comment. Please send comments to: frtc_comments★fsa.go.jp (replace the star sign with @).
The views expressed in the papers are those of the authors and do not necessarily reflect the views of the Financial Services Agency or the FSA Institute.

Discussion Papers (FY 2025)

No.	Title/Author(s)
DP2025-1 (June 2025)	Study on Insurance Agents Systems in Major Countries: Focusing on Large-Sized Shared Insurance Agents NAKAIDE Satoshi, YAMASHITA Tetsuya, DOKI Takahiro, and JUNG Chanok Abstract | Full text (PDF:1,731KB)(Full text is available only in Japanese)

Abstract

DP2025-1
Study on Insurance Agents Systems in Major Countries: Focusing on Large-Sized Shared Insurance Agents 

NAKAIDE Satoshi, Special Research Fellow, Financial Research Center (FSA Institute)
YAMASHITA Tetsuya, Special Research Fellow, Financial Research Center (FSA Institute)
DOKI Takahiro, Special Research Fellow, Financial Research Center (FSA Institute)
JUNG Chanok, Special Research Fellow, Financial Research Center (FSA Institute)

In recent years, there has been a series of misconduct in the insurance industry in Japan, such as the fraudulent insurance claim case by large-sized shared non-life insurance agents. The Financial Services Agency of Japan (JFSA) submitted a bill to amend the Insurance Business Act to the Diet in 2025, as part of its response to address such misconduct. To date, Japan’s system for insurance solicitation has progressed based on lessons learnt from experiences in, not only such misconduct, but also past incidents. This kind of improvement in insurance systems is also seen in other countries, and the designs of insurance agent systems of other countries that have been developed based on the circumstances of each country would provide useful knowledge when planning for the further development of Japan’s insurance agent system.

In this study, in order not only to respond to the misconduct but also to contribute to deliberating on the insurance industry from a medium- to long-term perspective, we conducted a survey on the insurance agent systems in the United States, the United Kingdom, Germany, and South Korea. We study each country’s regulation of insurance solicitation by agents, such as licensing and registration systems, regulation of internal management and compliance systems, and regulation of conduct, with a particular focus on large-sized shared insurance agents. There are elements that are common between countries, while there are also differences due to the features of the markets and variations in other economic systems behind the insurance industry. Therefore, we need to deliberate carefully on whether it is suitable to apply foreign systems to Japan directly. However, by studying the situations in the above four countries, we have learnt about the global trends and also recognize clearly the distinct features of Japan’s insurance agent system, and we have obtained implications for studying the ideal insurance agent system in Japan. In the conclusion of the report, we highlight some of the findings from the survey that are of particular interest.

Keywords: insurance, insurance agents, Insurance Business Act, and system for insurance solicitation.