(Provisional Translation)
September 25,2002
Financial Services Agency

An Administrative Disposition against AXA Life Insurance Company Limited (JAPAN) and AXA Group Life Insurance Company Limited (JAPAN)

It has been confirmed, as a result of an on-site inspection by FSA, that AXA Life Insurance Co., Ltd. (JAPAN) and AXA Group Life Insurance Co., Ltd. (JAPAN) improperly renewed contracts with groups though their insurance enrollment rates fell short of the level specified in the document on the methods of business and were thus ineligible for contract renewal, by inflating the figures stated in relevant documents so that their insurance enrollment rates would meet the required level.

(Note)

Group term insurance means insurance payable at death (normally with a term of 1 year), having groups as policyholders and members of the groups as the insured.

Therefore, FSA has implemented the following administrative dispositions (issued business improvement administrative orders) against the two companies under the Insurance Business Law Article 132-1.

1. Strengthen their internal compliance system and further enhance education and instructions to the executives, employees and solicitors on compliance.
2. Strengthen their internal system to check and confirm the contents of contracts including the qualification of the insured for the renewal of group term insurance contracts.
3. Take appropriate measures against groups that do not meet the insurance enrollment rate required for renewing the group term insurance contract, such as improving the insurance enrollment rate or switching to alternative products.