The Financial Services Agency began on-site inspections of Bigmotor and Sompo Japan Insurance on Tuesday, aiming to dig deeper into the insurance fraud scandal by the leading used-car dealership chain.

FSA officials will be stationed in Sompo Japan's Shinjuku headquarters and Bigmotor's branch in the city of Tama in Tokyo, where the firm is planning to move its headquarters, with the investigation likely to take several months. Bigmotor’s Tama branch is also overseeing the company's insurance agency business.

Based on the investigation, the FSA will consider whether to impose an administrative order, which could include instructing the two companies to draft a business improvement plan.