The Supreme Court ruled Thursday that insurance companies are obliged to pay out on contracts even when clients kill themselves solely for the designated beneficiary to receive the cash.

“Even if a client committed suicide to gain insurance money, life insurers are responsible for paying the benefits” after the agreed immunity period has expired, presiding Justice Tatsuo Kainaka said.

Kainaka was ruling on a case in which a company president took out life insurance with four life insurers in June 1994, with a special clause that insurance would not be paid if he committed suicide within one year of signing the contracts.

He killed himself in October 1995 to enable his company to receive the insurance money.

The top court sent the case back to the Tokyo High Court.

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