September 2, 2021 Appeal for Opinions on Draft Cabinet Order Amending Part of the Order for Enforcement of the Postal Service Privatization Act and the Draft Order Amending Part of the Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period

The Financial Services Agency (FSA) and the Ministry of Internal Affairs and Communications (MIC) will make an appeal for a wide range of opinions from Thursday, September 2, 2021 through Friday, October 1, 2021 on the Draft Cabinet Order Amending Part of the Order for Enforcement of the Postal Service Privatization Act and the Draft Order Amending Part of the Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period.

1. Outline and background of the revision

According to Article 138-2, paragraph 1 of the Postal Service Privatization Act (Act No. 97 of 2005, hereafter referred to as the “Act”), if Japan Post Insurance Company intends to underwrite insurance as prescribed in the main clause of Article 138, paragraph 1 of the Act, manage assets by methods other than those listed in the items of paragraph 2 of the same Article, or conduct business as prescribed in paragraph 3 of the same Article on or after the date on which Japan Post Holdings Co., Ltd. notifies the Minister for Internal Affairs and Communications that it has disposed of one-half or more of its shares in Japan Post Insurance Company, Japan Post Holdings Co., Ltd. shall specify the details of such activities and notify the Prime Minister and the Minister for Internal Affairs and Communications.
In light of the said provisions, the following revisions will be made to the Order for Enforcement of the Postal Service Privatization Act (Cabinet Order No. 342 of 2005) and the Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period (Cabinet Office and MIC Ordinance No. 3 of 2006).

• 1.
  Article 137 of the Act stipulates the amount of insurance (hereafter referred to as the “limits”) pertaining to an insurance policy that Japan Post Insurance Company may underwrite for one insured person. The Order for Enforcement of the Postal Service Privatization Act defines the significance of the types of insurance subject to such limits. Concerning the significance of this type of insurance, the Order for Enforcement of the Postal Service Privatization Act will be partially amended to specify the insurance for which notification has been given for underwriting the above insurance.
• 2.
  A part of the Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period will be revised to specify the procedures for notification pursuant to the latter part of Article 138-2, Paragraph 1 of the Act.

2. Subject and procedure of appeal for opinions

1. Subject:

• Draft Cabinet Order Amending Part of the Order for Enforcement of the Postal Service Privatization Act
• Draft Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period

2. Submission period:

From Thursday, September 2, 2021 through Friday, October 1, 2021. (Opinions, if submitted by postal mail, must arrive no later than the deadline date.)

3. Future plans

With consideration of submitted opinions, the Order for Enforcement of the Postal Service Privatization Act and the Order Concerning Restrictions on the Operations of Japan Post Bank and Japan Post Insurance Companies during the Transition Period will be revised promptly.

4. Where to send your opinions

1. Insurance System Planning Office, General Affairs Division, Planning and Market Bureau, Financial Services Agency

Postal mail: Central Government Building No. 7, 3-2-1 Kasumigaseki, Chiyoda-ku, Tokyo 100-8967
Fax: 03-3506-6244
URL: https://www.fsa.go.jp/

2. Postal Savings and Postal Life Insurance Policy Division, Postal Services Policy Planning Department, Information and Communications Bureau, Ministry of Internal Affairs and Communications

Postal mail: Central Government Building No. 2, 2-1-2 Kasumigaseki, Chiyoda-ku, Tokyo 100-8926
Fax: 03-5253-5991
URL: https://www.soumu.go.jp/
Email: chokinhokenka_comment_atmark_soumu.go.jp

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