Postal insurer finds unpaid benefits

JIJI

Japan Post Insurance Co. has discovered about 100,000 cases of possibly unpaid insurance benefits totaling some ¥10 billion over the past five years, according to its officials.

The insurer, one of the two financial units of Japan Post Holdings Co., plans to notify the policyholders and ask them to claim the unpaid benefits.

The firm adopted a stricter stance in June toward benefit payment claims by customers. As a result, the firm in some cases probably failed to pay proper amounts of benefits for customers who were hospitalized for long periods or incurred disabilities, officials said.

Japan Post Insurance will begin sending notifications in December to those who are believed to be underpaid, the company said. A special call center will be set up to deal with the matter.

The discovery came as it checked some 1.7 million benefit payment claims since October 2009 following an order from the Financial Services Agency in September.