• SHARE

Members of the Liberal Democratic Party will set up an informal study group to examine whether life insurers should be allowed to cut the interest rates they guaranteed their policyholders, LDP lawmakers said Thursday.

The controversial idea is being proposed as low interest rates and falling premiums continue to eat away at insurers’ profitability in what is known as a “negative spread,” in which the yields from companies’ investments fail to keep up with those promised to their policyholders.

Unable to view this article?

This could be due to a conflict with your ad-blocking or security software.

Please add japantimes.co.jp and piano.io to your list of allowed sites.

If this does not resolve the issue or you are unable to add the domains to your allowlist, please see out this support page.

We humbly apologize for the inconvenience.

In a time of both misinformation and too much information, quality journalism is more crucial than ever.
By subscribing, you can help us get the story right.

SUBSCRIBE NOW