Incoming General Insurance Association of Japan Chairman Shinichiro Funabiki, who succeeds Hiroaki Shirota, has pledged to push forward reforms in response to a series of high-profile misconduct cases in the non-life sector.
“The general insurance industry has severely damaged the trust of our customers and society as a result of a series of incidents,” Funabiki said in a written statement. He referred to persistent issues including price-fixing of corporate policies, fraudulent claims, and the unauthorised sharing of customer information by seconded employees at major insurers.
He highlighted that the GIAJ’s top priority under its 10th Medium-Term Master Plan will be “efforts to restore trust from customers and society.”
Funabiki’s appointment comes as the industry continues to face regulatory and public scrutiny. Building on initiatives introduced under Shirota, he said the GIAJ would now act with greater urgency to “fundamentally review outdated industry practices” and prioritise “customer-oriented business operations” and “a sound competitive environment”.
Building on measures initiated under his predecessor, Funabiki indicated that reforms will now be pushed forward with greater urgency and public accountability. These include the introduction of third-party evaluations for agency operations, reforms to agent qualification processes, and updated guidelines addressing key competition concerns such as employee secondments and business-related equity holdings.
Addressing market concerns around pricing coordination, the new GIAJ chair pointed to the launch of new procedures in March 2025 to prevent premium unification in co-insurance arrangements. He said the GIAJ is also considering an “arranger method”, based on syndicated loan structures, to further enhance competition.
Disaster preparedness, cyber risk, and insurance literacy also remain on the agenda. Funabiki highlighted planned upgrades to fraud detection systems, enhanced public outreach, and efforts to improve the resilience of Japan’s earthquake insurance claims framework.
“To fulfill this role and responsibility, we must swiftly rebuild the trust that was lost due to a series of inappropriate incidents,” he said.
