Japanese P/C, Life Insurers to Combine Operations

In what would be a first ever alliance, Japan’s second largest life insurer, Dai-Ichi Mutual Life Insurance, and leading p/c insurer, Yasuda Fire & Marine Insurance Co., have reportedly agreed to combine operations in what would become one of Japan’s largest insurance groups.

Reports from the newspaper Nihon Keizai Shimbun, carried by Reuters, quote company sources as saying that a cross selling agreement is definitely in the works , and would commence by the end of the year, when representatives of each insurer would offer the other’s products.

The companies reported plan to eventually combine back office operations, marketing and development costs in an effort to reduce overhead – which could eventually result in premium savings for consumers.